Elon Musk Agrees to Pay "Settlement" of Rp 26 Billion

CEO of Tesla and SpaceX, Elon Musk, has agreed to pay a fine of $1.5 million (approximately Rp 26 billion) for being late in reporting his purchase of Twitter (now X) shares during the 2022 acquisition process.

The fine is part of a settlement agreement between Musk and the US Securities and Exchange Commission (SEC), the American capital market regulator, regarding a lawsuit for violating securities rules.

In court documents, it is stated that the civil fine will be paid through one of Musk’s trust entities. However, this agreement still awaits judge’s approval.

According to regulations, ownership above the threshold must be reported to the public within 10 calendar days.

However, Musk was late in submitting that report. The SEC assessed that this delay benefited Musk.

This is because he was able to buy shares at a lower price than he should have, potentially harming other investors.

Musk’s lawyer, Alex Spiro, stated that the fine relates only to the delay of one reporting document (filing) and its value is relatively small.

In 2018, he also reached an agreement with the regulator regarding his statement about plans to take Tesla private.

At that time, Musk and Tesla were each fined $20 million, or approximately Rp 347 billion.

Outside of this case, Musk is also facing various other legal issues, including a dispute with OpenAI CEO Sam Altman regarding the direction of the organisation’s development.

Regarding the Twitter acquisition, this business move was completed at the end of 2022 with a value of around $44 billion (approximately Rp 765 trillion).

After that, Musk renamed the platform to X and integrated it with his artificial intelligence company, xAI, and Space, as summarised by KompasTekno from CNBC.