Archive for Twitter

Lawsuit Filed Against Billionaire Elon Musk for Twitter Stock Purchases

A lawsuit has been filed against billionaire Elon Musk in a New York federal court accusing Musk of violating a regulatory deadline in which he would reveal he had accumulated a stake of at least five percent in the social media company Twitter.

The complaint, filed by an investor in Twitter named Marc Bain Rasella, alleges that Musk did not expose his position in Twitter until he increased his stake to nine percent in the company. By doing this, it is alleged that Musk negatively affected investors who do not have as much money as he does and sold shares that they had in Twitter about two weeks before Musk acknowledged that he was holding a major stake in the San Francisco-based company. Musk’s regulatory filings reveal that he purchased a little over 620,000 shares at a price of $36.83 each on January 31st and bought more shares every single day after that through April 1. At the time of the filing of the complaint, Musk was holding 73.1 million shares in Twitter, which represents a 9.1 percent stake in the company.

The complaint also states that as of March 14, Musk’s number of shares in Twitter had reached the five percent threshold that then required him to disclose his number of holdings publicly. This requirement falls under the United States security law and Musk should have made his purchase of the shares public by March 24 but did not make the required disclosure on time by waiting until April 4. When it was revealed that Musk had bought a large amount of stock in Twitter, the value of Twitter’s stock rose by 27 percent, valuing the stock at $50 per share, but by concealing the number of stocks he was purchasing, Musk was able to purchase his shares at $37.69 to $40.96.

Rasella seeks to have his lawsuit certified as a class-action lawsuit which will include Twitter shareholders who sold their shares in Twitter between March 24 and April 4.

It is estimated that Musk has a total wealth of about $265 billion. He spent $2.6 billion on Twitter stocks.

San Bernardino attack Victims Sue Google, Facebook, Twitter over aiding Terrorism

Family members of the San Bernardino attack victims are suing Twitter, Facebook and Google accusing them of providing platforms that aid terrorists. The lawsuit filed on behalf of families of three of the victims of the December 2nd attack mirrors similar suits filed in cases involving terror attacks in Orlando and Dallas. The Lawsuit filed in a Los Angeles’ Federal court accuses the 3 tech giants of aiding and supporting terrorism by providing material support to these groups and are liable for the death of several victims of the December 2, 2015, attack.

The ISIS supposedly inspired Tashfeen Malik and Syed Rizwan Farook, the couple that carried out the attack. According to authorities, Malik had pledged allegiance to the Islamic State Group on her Facebook page around the shooting time, which wounded 22 people.

The same law firm filing this suit has sued the same companies severally, with some of their lawsuits being dismissed because federal laws shield online providers from taking responsibility for the content posted by their users.

The lawsuit claims that without YouTube, Twitter, and Facebook, the tremendous growth of the Islamic State Group would not have been remotely possible. It also claims the tech giants are liable for aiding & abetting acts of terrorism as well as providing support to designated foreign terror groups.

The law filed against the tech giants was on behalf of Tin Nguyen, Nicholas Thalasinos, and Sierra Clayborn, who were among the 14 killed by the terrorist duo of Tashfeen Malik and Syed Rizwan Farook. On Dec. 2nd, the couple targeted a Christmas party in San Bernardino that left 14 people dead and 22 others injured.

Currently, Facebook and Twitter claim to be doing everything in their power to prevent such instances where terror groups use their sites. All three companies have expressed their sympathy to the victims of the unfortunate event, and they have stated that they are not liable for the terror attack. They also argued that the families of the victims relied on a speculative chain of events to blame the tech giants for gunmen’s self-radicalization.

The companies further stated that accepting such claims would expose online platforms to possible liability for every terrorist attack in the world. Simply because the terrorist are affiliated with the online platforms does not mean that they supported the terror attack.

Shortly after the attack, James Comey-FBI Director- said that there was connected to a larger terror network although there were signs foreign terrorist organizations inspired them. Comey also said that the internet allows the opportunity for users to consume information and radicalizes.

Investigators also uncovered private messages sent by Malik to a Facebook group of Pakistani friends, pledging her support for Islamic Jihads and expressed her desire to join their fight. On the day before the shooting, Malik used Facebook to pledge her allegiance to ISIS. Facebook stated that they saw they post and alerted the FBI before they took it down.