The SEC says Elon Musk ghosted its request for more information about his Twitter acquisition plans
A newly released letter from the SEC says Elon Musk ghosted the agency's information requests.
Lawyers for Musk responded a month later, saying a tweet putting the deal on hold wasn't a "material change."
Musk is already in hot water with the agency over failure to disclose his initial 5% stake in Twitter.
The Securities and Exchange Commission on Thursday released a letter it sent Elon Musk on June 2 asking for additional information about his disclosures — or lack thereof — regarding his tumultuous deal to buy Twitter.
In it, the agency asks why Musk did not update his public filings when he tweeted on May 17 that the "deal cannot move forward."
The letter says the SEC spoke to Musk's counsel by phone on May 18, but by June 2 had still not received a response. Musk's lawyers eventually responded on June 7.
In spite of what the tweet said, Musk's lawyers argued, "there was no material change to Mr. Musk's plans and proposals."
The following month, Musk officially said he was terminating the deal, duly filing the notice with the SEC. In response, Twitter filed a lawsuit seeking to force the deal to continue.
Twitter's lawsuit also highlights several examples of Musk ghosting the company, including ducking meetings with CEO Parag Agrawal and acting defensively in response to requests for information about financing.
Musk is already in hot water with the agency over his failure to disclose his stake in the company when it reached the 5% threshold as required by law. Musk only revealed his investment when it topped 9%, a move which likely saved him an estimated $156 million.
In the June 7 letter, Musk's lawyers told the SEC he would "continue to be mindful" of filing requirements.
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