A US District Judge has approved a $1.5 million penalty against Elon Musk to settle a lawsuit filed by the SEC. The lawsuit was over Musk's handling of his Twitter takeover, specifically his failure to disclose his growing stake in the company in a timely manner.
The SEC argued that Musk's failure to disclose his stake saved him $150 million. Musk reached a settlement with the SEC in May, which included a $1.5 million penalty without admitting wrongdoing.
The judge noted that while she had 'significant misgivings' about the settlement, it met the minimum standards of fairness and reasonableness. The settlement brings an end to the lawsuit, which was filed in early 2025.
