Elon Musk, who announced last week that he was buying 9.2% of Twitter for about $3 billion, then announced he would join its board of directors and then resign, these moves caught the attention of many investors. One of these investors, Marc Bain Rasella, who owns a stake in Twitter, appeared in Manhattan federal court yesterday. He filed a complaint, of which he was somewhat justified.

Rasella Announces Musk’s Stock Purchase in Her Complaint That She’s Filed a Jury Trial Against Musk violation of the legal term emphasizes. In the complaint, Musk’s estimated time-out He made another $143 million expressed. It was also stated that the complaint is intended to represent all investors who sold Twitter shares between March 24 and April 1. Let’s take a look at the dimensions of this complaint and Musk’s purchase.

First, let’s remember Musk’s purchase:

Table showing how many shares Elon Musk bought, when and for how much (SEC)

Elon Musk reported to the U.S. Securities and Exchange Commission (SEC) on April 4 that he had bought Twitter stock. Another document shared by the SEC showed how many shares Elon Musk bought from Twitter on which date. According to this document, Musk runs from January 31, 2021 to April 4 He had bought shares on 43 different days.

Musk was supposed to report his purchase, but didn’t:

Under US law, after Elon Musk reached 5% stake in Twitter stock Notify SEC within 10 days was obliged to† But Elon Musk made this statement 11 days later. Elon Musk’s share in the past 11 days It had already gone from 5% to 9.2%. In other words, Musk held Twitter stock for 11 days. continued to collect cheaply.

To give you an idea of ​​how much Elon Musk has made from this tactic, let’s take a look at Twitter’s stock adventure since the start of the year. Share prices, which started the year at $42, hovered in the $43-$33 range between January 31 and April 4, when Musk raised the stock. The region where stocks are most concentrated It was in the $38-$33 range† With the announcement on April 4, Twitter’s share price was over $50† Elon Musk, 3 months in total It had amassed nearly 73.5 million shares…

In the aforementioned legal filing, the investor generally states that if Musk announces his shares on time, those who will sell their Twitter shares. because he wouldn’t have made such a mistake. he complains. The point is, the investor who made a loss by getting the wrong (perhaps the correct one for the time) stock of Twitter stock, Musk had also broken the law. will use it as an opportunity to make up for the loss.† What punishment is sought in the indictment for Musk has not been specified for the time being.