Elon Musk watches as President Donald Trump speaks at the U.S.-Saudi Investment Forum at the John F. Kennedy Center for the Performing Arts in Washington, Nov. 19, 2025.
Brendan Smialowski AFP | Getty Images
Elon Musk is in talks with the Securities and Exchange Commission to settle a lawsuit brought by regulators last year alleging that the world’s richest man violated securities laws ahead of his acquisition of Twitter.
In a court filing Tuesday, the SEC said it was “discussing a potential resolution with Musk that could mean no further proceedings are required.”
The SEC first filed the lawsuit in January 2025, and the case is ongoing in federal court in Washington, DC. A separate class action lawsuit filed by former Twitter investors against Musk is currently being heard in federal court in San Francisco, with a jury expected to deliberate soon.
Mr. Musk, who is also the CEO, tesla SpaceX acquired Twitter for $44 billion in late 2022 and changed its name to X the following year. Prior to the acquisition, he held a position of more than 5% within the company and was required to make his holdings publicly available within 10 calendar days of reaching that threshold. He was late in filing that disclosure.
The SEC said in its complaint that Musk’s failure to disclose the stock allowed him to buy stock at “artificially low prices” to the detriment of other investors.
Musk and an SEC attorney did not respond to requests for comment.
Musk previously settled civil securities fraud charges brought against him by the SEC. tesla. Musk and the car company each had to pay a $20 million fine, and Musk had to temporarily relinquish his position as chairman of Tesla’s board.
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