Elon Musk accuses regulatory bodies of misuse of power, calls for a thorough rehaul.
The comments came in the wake of the SEC's legal move to push Musk's testimony regarding his $44-billion acquisition of Twitter, now renamed X.
Following the SEC's filing on October 5th in a California District Court, which aims to force Musk into honoring a prior subpoena, Musk took to social media to voice his disapproval. He not only called for a "comprehensive overhaul" of the SEC but also expressed that both the SEC and DOJ should be the subjects of scrutiny.
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Elon Musk stated:
A comprehensive overhaul of these agencies is sorely needed, along with a commission to take punitive action against those individuals who have abused their regulatory power for personal and political gain.
He further replied to a social media post highlighting the government’s actions against his enterprises, saying, “Can’t wait for this to happen.”
When questioned by a user about the likelihood of such a probe into the agencies taking place, Musk confidently stated, “I estimate the probability at 100%.”
The SEC had earlier issued a subpoena to Musk in May 2023, asking him to testify at their San Francisco office on September 15th. Initially, Musk had agreed to this, but two days before the scheduled appearance, he informed the SEC that he would not attend and raised several objections, which the SEC dismissed as lacking legal grounds.
The SEC revealed:
None of Musk’s objections has any legal validity, and he has no justifiable excuse for his non-compliance with the SEC’s subpoena.
Despite this, they also mentioned making an earnest attempt to negotiate an alternative date and location for Musk's testimony but to no avail, as Musk flatly refused.
Relevant to cryptocurrency enthusiasts, the social media platform X has become an epicenter for discussions around cryptocurrency regulations, especially concerning the SEC's approach.
Elon Musk has also shown interest in the crypto space, having recently acquired a currency transmitter license from Rhode Island in late August, signaling his intention to integrate cryptocurrency payments into the platform.
Elon Musk’s latest clash with regulatory bodies, particularly the SEC, has brought attention to ongoing tensions between government agencies and private enterprises. Musk's call for a thorough review of these agencies signifies a growing discontent, especially relevant in an era where conversations around regulatory practices in fields like cryptocurrency are becoming more heated than ever.
