Elon Musk potentially faces another Securities and Exchange Commission (SEC) probe after he allegedly made huge profits after delaying the announcement of his stock purchase in Twitter Inc (NYSE:TWTR).
The billionaire and Tesla chief executive acquired a 9% stake in the social media site earlier this week and missed the deadline in declaring he had shares in Twitter, according to the Daily Mail.
He made approximately $156mln in profits as a result, with the SEC said to be looking into the matter, the report said.
Musk became a major shareholder on 14 March, but failed to disclose this by March 25, breaking an SEC law that requires investors to notify regulators when they pass a 5% stake in a company.
The deal was disclosed on 4 April, with shares in Twitter surging 30% from when Musk purchased the stock to US$50, allowing him to make millions.
He may face further investigation as well after allegedly filing a misleading SEC report claiming to be a passive investor in the company, before filing proper documentation later, according to the Daily Mail.
Musk has had prior run-ins with the US body and has been under investigation for matters relating to other securities law violations.