Federal jury rules South African-born tech mogul defrauded shareholders with false bot claims to renegotiate acquisition deal
Blue Press Journal – A San Francisco federal jury has delivered a stunning verdict against Elon Musk, finding the South African-born tech mogul liable for securities fraud during his turbulent $44 billion Twitter acquisition. According to Reuters, jurors determined that Musk deliberately manipulated the social media platform’s stock price by falsely claiming the deal was “temporarily on hold” and exaggerating bot account prevalence to secure leverage or abandon the transaction entirely.
The ruling, first reported by Bloomberg Law, exposes the immigrant billionaire to estimated damages exceeding $2.5 billion, compensating investors who sold shares between May and October 2022 at artificially depressed prices. “Musk’s status as the world’s richest man is not a free pass,” plaintiffs’ attorney Francis Bottini declared, emphasizing accountability via The Guardian.
This outcome contrasts sharply with Musk’s earlier courtroom victories, including his defense against Tesla “funding secured” claims. While his legal team views the verdict as “a bump in the road,” CNBC reports he faces ongoing SEC settlement negotiations over disclosure delays. The judgment shows that social media influence can lead to serious legal consequences, regardless of wealth or background.
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