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Complaint against Elon Musk due to illegal manipulation of Twitter stock value

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According to Bloomberg news agency, Giuseppe Pampena; The American Twitter investor filed a lawsuit against Elon Musk in the San Francisco Federal Court and accused him of manipulating the value of Twitter shares.

Regarding Elon Musk’s decision to buy Twitter in early October with an initial price of 44 billion dollars, Mr. Pampena claimed that the billionaire’s statements about withdrawing from this deal were only bluffing, and Mr. Musk basically admitted this. . It is also claimed in this complaint that Elon Musk has manipulated the stock price of this company by blaming Twitter for bots and other problems. Therefore, this billionaire has tried his best to get a discount in the deal; But at the same time, it has caused financial damage to investors who own shares of Twitter.

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By publishing statements, tweets and participating in various activities, Elon Musk tried to create doubts in relation to the above deal and through a significant reduction in the price of Twitter shares, he used leverage to exit the deal or renegotiate it with a discount of 25%. get a percentage Such a discount, if applied, will reduce the value of the transaction by 11 billion dollars, and according to Mr. Pampena, such behavior is illegal and an example of fraud.

In the text of the class action lawsuit that was filed on Monday in the San Francisco Federal Court; It has been stated: “Elon Musk has tried to create doubts regarding the implementation of this deal by making controversial statements, publishing messages on Twitter and other measures and reducing the value of Twitter’s shares in the stock market. He hoped that in this way, he would provide the conditions to withdraw from the initial contract and renegotiate it with a 25% discount (equivalent to 11 billion dollars).

Elon Musk has faced numerous lawsuits before and at different stages of the Twitter purchase process.

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Adib

Adib Zahedi is the CEO and Founder of mazhd.com. He has nearly a decade of experience in IT, including two years spent working on a Youtube Chennal. He is also an author and writes articles for mazhd.com. Has articles include tutorials and covers everything from Windows PCs to smartphone's software.

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