Why is Elon Musk accusing the SEC of targeting him?

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Elon Musk Accuses SEC of Targeting Him Due to His Government Criticism

Elon Musk's attorneys have accused the U.S. Securities and Exchange Commission (SEC) of engaging in "endless unfounded investigations" into him and Tesla, suggesting the regulator's actions are largely motivated by Musk's outspoken criticism of the government. This accusation was detailed in a letter sent to U.S. District Judge Alison Nathan, who oversaw a previous settlement between Musk, Tesla, and the SEC.
Allegations of Unrelenting Investigation

The core of the accusation, as articulated by Musk's attorneys, is that the SEC is pursuing a pattern of relentless investigation against both Musk and his company, Tesla. This intensified scrutiny is purportedly linked to Musk's public stance and critical commentary regarding government policies and actions. The legal team posits that this critical stance is the primary driver behind the SEC's persistent investigative efforts.
Previous Settlement and Social Media Restrictions

This current dispute stems, in part, from a 2018 settlement where Musk and Tesla each paid US$20 million to resolve SEC charges. These charges related to Musk's use of Twitter to make misleading statements about a potential go-private transaction for Tesla. As part of that settlement, strict regulations were imposed on Musk's social media communications, mandating that Tesla counsel pre-approve any statements containing material financial information.
Claims of Delayed Investor Payouts and Subpoena

Musk's legal representatives also contend that the SEC is deliberately delaying the distribution of US$40 million designated for investors. Simultaneously, they allege the commission is aggressively enforcing the social media restrictions placed upon Musk. This criticism follows Tesla's disclosure, just ten days prior to the letter being filed, of receiving an SEC subpoena. This subpoena specifically requested information regarding Tesla's adherence to the terms of the 2018 agreement.

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Why is Elon Musk accusing the SEC of targeting him?

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