Reporting by XinZhiyuan
Edit: Peach La Yan
After Musk became the largest shareholder of Twitter, his refusal to join the board of directors has attracted speculation from many people. On Tuesday, a Twitter shareholder directly sued Musk for delaying disclosure of his holdings and artificially depressing the stock price.
Could it be that everything was maliciously planned?
What is Musk's intention to refuse to join the board after snapping up more than 70 million shares of Twitter?
On Tuesday, US time, a shareholder directly sued Musk in court for delaying the disclosure of his shares in Twitter.
More importantly, the accusations point out that Musk has also "artificially depressed" the stock price.
As Fortune points out, if Musk joins the board, he will get more than 14.9 percent of the shares.
Instead, since he did not join the board, this opened the door to hostile takeovers.
Musk, fraudster?
The Twitter shareholder, Marc Bain Rasella, sued Musk for securities fraud in Manhattan federal court on ten pages.
File Address:
https://storage.courtlistener.com/recap/gov.uscourts.nysd.578187/gov.uscourts.nysd.578187.1.0_1.pdf
First, I explained that Musk is the richest man in the world (doge).
In fact, Musk's acquisition of Twitter stock began in January 2022, and by March 14, Musk had held more than 5% of Twitter shares.
The specific allegations in the document state that Musk was supposed to disclose his shares to the U.S. Securities and Exchange Commission (SEC) by March 24.
He delayed filing disclosures in order to buy more shares at a lower price. According to the documents, Musk saved $143 million.
That would prevent people who sold Twitter stock earlier from getting a higher yield.
Rasella said in the lawsuit that the SEC requires Musk to be obligated to disclose his shares within 10 days of holding ownership of more than 5 percent of the shares, with a deadline of March 24.
In fact, Musk only disclosed in his filing to the SEC on April 4 that individuals had bought a 9.2 percent stake in Twitter.
In this way, Musk quietly became The largest shareholder of Twitter, and as soon as the news came out, Twitter's stock price rose by 28%.
Currently, Marc Rasella is seeking to represent investors who sold Twitter shares between March 24 and April 1.
"Overhaul" tweet
Who would have thought that Musk joined Twitter to make a big deal out of it.
A Tesla is not enough for this old boy to play, this no, turn face to Twitter to show their ambitions.
According to outsiders, Musk is Twitter's "most passionate believer and intense critic."
Musk had just become a decision-maker at Twitter in early April, and he was already making suggestions.
On April 9 and 10, Musk began to think of ideas. He sent a barrage of tweets sharing countless adjustments he wanted Twitter to make (some of which have now been removed).
Twitter launched a "Twitter Blue" subscription feature last year, including bookmark folding, Twitter recall, reader mode and more. Musk said he wanted to add an auto-verified checkmark to Twitter and give the ads there.
Musk explained, "If Twitter survives on advertising dollars, then the ability of these advertising companies to control Twitter policies is strengthened."
In addition, in the follow-up post, Musk replied to the comments of several Twitter users (the original comment has been deleted), acknowledged that Twitter's payment is too expensive, and believes that it should match the ability to pay and use the local currency.
He even said, "Can I pay with the virtual currency Doge?"
At the same time, he also believes that ordinary users, public figures, and officials should be given different certification marks (the original tweet has been deleted).
Musk's series of tweets and his consistent performance on the Internet are quite matched - some are really like making suggestions, and some are just eyeball-catching exaggerations.
There are also pure funny ones. For example, Musk conducted an investigation into whether to remove the "w" from Twitter (the original tweet was deleted). Removed "w" into a titter? I don't know what to think.
He also said that he would solicit opinions to see if Twitter's headquarters in San Francisco should be converted into a home for homeless people (the original tweet has also been deleted, what can be done if it is not deleted).
In addition to suggesting and funny, there is also a category called "mentality", such as the following article.
Musk: "These top-notch accounts don't tweet much, they don't send much content, twitter is about to fall?" 」
To prove that it is not alarmist, he also "intimately" gave examples:
"Justin Bieber tweeted all year and mold hasn't been in 3 months."
I really can't guess what Musk's mental journey was when he sent these tweets, pure "funny man".
Maybe that's genius? It really echoes the saying, "Genius is on the left, madman is on the right", and "Genius and madman are only a line apart".
Musk's Tweet Bureau
You know, Musk is a heavy Twitter user.
He has manipulated Tesla's stock price through tweets; marketed Dogecoin and exaggerated the value of cryptocurrencies; argued with ex-wife Grimes; groundless accusations of Vernon Unsworth as a pedophile...
As you can see in the above chart, Musk's tweets have the most widespread influence on Tesla and SpaceX radiation. His words and deeds will attract the attention of more than 81 million fans.
Some platforms have concluded that the number of Tweets issued by Musk every year has basically increased year by year.
Take the recent events.
On March 25, Musk tweeted that he was concerned that the factual bias of Twitter's algorithms would have a significant impact on public discourse, and said that free speech is essential to a functioning democracy.
So far, though, there's not much indication that Musk plans to do anything malicious.
Tweet CEO Parag Agrawal noted in a tweet announcing Musk's refusal to join the board that Tesla's CEO must pass a background check.
It has also sparked speculation that Musk may not have passed the background check.
What exactly Musk is playing, we will wait and see.
Resources:
https://www.bloomberg.com/news/articles/2022-04-12/elon-musk-sued-over-delay-in-disclosing-twitter-holdings?srnd=technology-vp
https://www.businessinsider.com/elon-musk-sued-twitter-stake-disclosure-2022-4
https://futurism.com/the-byte/elon-musk-possible-twitter-hostile-takeover
https://www.nbcnews.com/tech/tech-news/elon-musk-lawsuit-twitter-sued-sec-disclosures-rcna24138
https://mashable.com/article/elon-musk-twitter-changes
https://www.visualcapitalist.com/a-decade-of-elon-musks-tweets-visualized/