Judge Denies Musk's Bid To Move SEC Twitter Lawsuit

A federal judge, Sparkle L. Sooknanan, denied Elon Musk’s motion to transfer an SEC lawsuit over his delayed disclosure of a growing Twitter stake from Washington, D.C., to Texas or New York. The SEC alleges an 11-day delay in revealing an initial 5% stake in early 2022 that allowed Musk to purchase more than $500 million of additional Twitter shares, and it seeks roughly $150 million in disgorgement plus a civil penalty. Judge Sooknanan rejected Musk’s claim that travel to D.C. would impose “substantial burdens,” noting his considerable means, frequent travel (she said he spends at least 40% of his time outside Texas), and that her court can proceed with “reasonable alacrity,” while observing Texas’s heavier caseloads. Musk has moved to dismiss the case, arguing selective enforcement and lack of intent or harm. The decision also denied his alternative bid to move the litigation to Manhattan where related shareholder suits are pending. The ruling came as Musk’s net worth topped $500 billion, underscoring the high-profile stakes of the dispute.