A U.S. Federal jury concluded that Elon Musk misled investors in Twitter Inc. In 2022, with statements that impacted the company’s value during his campaign to acquire the platform for $44 billion, according to Bloomberg. The verdict marks a rare legal defeat for the billionaire, often referred to as “Teflon Elon” for his ability to avoid unfavorable outcomes in court.
The decision, issued in a San Francisco court on Friday, March 21, 2026, found that Musk intentionally acted by claiming the social network, now known as X, had a high number of fake accounts while attempting to withdraw from or renegotiate the deal. The jury did, however, dismiss two of the four fraud accusations leveled against Musk. His legal team announced plans to appeal the final decision.
The eight-member panel assessed the impact of Musk’s statements on the stock’s performance over a roughly five-month period. The amount Musk will be required to pay in damages has not yet been determined and will be decided in a subsequent phase, but could reach hundreds of millions or even billions of dollars, depending on shareholder claims. The case underscores the scrutiny faced by high-profile executives regarding public statements that could influence market value.
Investors argued that Musk’s posts, including one stating the acquisition was “temporarily on hold,” were part of a deliberate strategy to lower the stock price. This acquisition, completed in October 2022, has been closely watched as a test case for the future of social media and content moderation.
Following the verdict, the investors’ attorney, Mark Molumphy, stated, “These were not innocent mistakes, nor were they dumb tweets that he didn’t think through. They were intentional, deliberate actions designed to convey to investors that Twitter was riddled with spam.” Molumphy estimated the damages could total $2.6 billion.
Musk acquired Twitter in October 2022 after months of negotiations with the social media company’s board of directors. The deal, valued at approximately $44 billion, followed Musk’s initial investment and subsequent attempts to back out of the agreement.
Notably, a Texas court exonerated Musk in a separate defamation case on the same day as the San Francisco verdict, demonstrating a mixed legal outcome for the entrepreneur. In 2023, a jury in the same San Francisco federal court had previously acquitted Musk of similar accusations brought by Tesla shareholders following tweets in 2018 regarding funding for a Tesla acquisition.
(RT)
More news and more analysis from LaIguana.TV on YouTube, X, Instagram, TikTok, Facebook and Threads.
Also to stay informed follow us on:
Telegram of Miguel Ángel Pérez Pirela https://t.me/mperezpirela
Telegram of Laiguana.tv https://t.me/LaIguanaTVWeb
WhatsApp https://whatsapp.com/channel/0029VaHHo0JEKyZNdRC40H1I
The portal of Venezuela.
