A United States jury has found Elon Musk liable for misleading Twitter shareholders during his $44 billion acquisition of the social media platform.
Gatekeepers News reports that the verdict followed a civil trial in California where investors accused Musk of making statements that affected Twitter’s stock price during the 2022 takeover bid.
The case focused on comments and tweets Musk made at the time, particularly claims that the deal was “on hold” and concerns about fake accounts on the platform, which shareholders argued created uncertainty and led to financial losses.
The jury agreed that some of Musk’s public statements were misleading and contributed to fluctuations in Twitter’s share value, prompting investors to sell at lower prices. However, jurors did not conclude that he carried out a deliberate, broader fraud scheme.
Legal filings show the lawsuit was brought on behalf of shareholders who traded Twitter stock between May and October 2022, a period marked by volatility as Musk attempted to renegotiate or withdraw from the deal.
While the exact financial penalty is yet to be finalised, damages could run into billions of dollars, with estimates ranging above $2 billion.
Musk has denied wrongdoing, maintaining that his statements reflected genuine concerns about the platform. His legal team has indicated plans to appeal the ruling.
The verdict adds to a series of legal challenges linked to the high-profile acquisition, which was eventually completed in October 2022 and later saw Twitter rebranded as X.
