Musk Wins Court Battle Against SEC Over $44 Billion Twitter Case

Elon Musk has scored a major win against the SEC, as a federal judge rejected the agency’s push to sanction him for missing court-ordered testimony. The case, tied to Musk’s $44 billion Twitter takeover, took a dramatic twist when Judge Jacqueline Scott Corley ruled in his favor, leaving the SEC empty-handed.

SEC’s Push for Penalties Denied

The SEC had sought penalties for Musk’s failure to attend a scheduled testimony on September 10, 2023. The agency argued that Musk’s absence violated a court order from May 2023. However, U.S. District Judge Jacqueline Scott Corley disagreed.

She noted that Musk had already testified on October 3, 2023, and paid the SEC’s travel costs of $2,923, making sanctions unnecessary.

Judge Corley made it clear that there was no valid reason for the SEC’s request. She stated,

“Because the present circumstances forestall any occasion for meaningful relief that the court could grant, the SEC’s request is moot.”

This ruling effectively closed the case without imposing any further penalties on Musk.

Musk Explains His Absence

Musk’s legal team explained that he missed the September hearing because he was in Florida overseeing SpaceX’s Polaris Dawn mission. His lawyers also emphasized that he had fully complied with the court order by testifying in early October, addressing any concerns about his absence.

Musk Slams the SEC

After the ruling, Musk took to X (formerly Twitter) to celebrate his victory. He quoted a tweet from a user who praised him for overcoming the SEC’s attempt to penalize him.

Crypto Community Supports Musk

Musk’s win was widely celebrated, especially by those in the crypto community. Dogecoin creator Billy Markus (aka Shibetoshi Nakamoto) called the SEC an “annoying organization.” Many XRP fans also rallied behind Musk, criticizing the SEC for its ongoing legal battle with Ripple, which started in 2020.

And once again, the SEC is left empty-handed.