The long-running feud between Musk and the SEC has escalated, as the Tesla owner now faces a lawsuit over the company’s purchase of social media platform Twitter, now rebranded as X.

The SEC is investigating whether Musk broke federal law in 2022 when he bought stock in the platform and the paperwork that he filed in relation to the transaction.  

Before the billionaire obtained full control over Twitter, Musk bought a 9.2 per cent stake in the company, becoming its majority shareholder. The purchase was not disclosed in an SEC filing until the following month and led the company's other shareholders to sue Musk, with no success. 

Musk’s purchase of Twitter stocks merely months before his acquisition of the platform could see him facing charges of insider trading, market manipulation or even violation for fair market disclosure.

As part of the investigation, the SEC subpoenaed Musk. However, days before the scheduled date for the testimony, on September...