Yellen sees “no basis” to investigate Elon Musk’s purchase of Twitter

Bali, Indonesia — In an interview with CBS News on Tuesday, Treasury Secretary Janet Yellen mentioned she sees “no basis” for launching an investigation into Elon Musk’s purchase of Twitter. Her feedback got here days after President Biden mentioned the acquisition was “worth being looked at” on nationwide safety grounds.

While Musk, the world’s richest man, financed most of the $44 billion deal to purchase Twitter, in accordance to Reuters, $7.1 billion was backed by non-public fairness traders and international traders from Saudi Arabia and Qatar, which might probably topic the transaction to a nationwide safety evaluation overseen by the treasury secretary.

But Yellen mentioned an investigation is unlikely to occur.

“Well, I’m not sure precisely what [the president] had in mind, but we are — we have really no basis — to the best of my knowledge — to examine his finances of his company. I’m not aware of concerns that would cause us to [investigate],” Yellen advised CBS News chief White House correspondent Nancy Cordes.

US Treasury Secretary Janet Yellen attend the launch of a pandemic fund as half of the G20 dialogue, in Nusa Dua on the Indonesian resort island of Bali on November 13, 2022.

BAY ISMOYO/AFP by way of Getty Images

Asked to make clear whether or not she has any considerations in regards to the transaction, Yellen mentioned, “I don’t think we have the basis to launch some investigation.”

Mr. Biden didn’t specify what form of evaluation he would favor and took pains clarify he was not accusing Musk of wrongdoing.

Yellen chairs the Committee on Foreign Investment within the United States (CFIUS), a panel of cupboard secretaries and senior government department officers with the authority to evaluation business offers involving funding from overseas. If the panel determines a deal threatens nationwide safety, it may well droop the transaction.

“CFIUS is committed to taking all necessary actions within its authority to safeguard U.S. national security,” a Treasury Department official mentioned. “Consistent with law and practice, CFIUS does not publicly comment on transactions that it may or may not be reviewing.”

Musk, cofounder of Tesla and founder of SpaceX, took management of Twitter in late October.  His temporary tenure on the social media agency has to date been marked by uncertainty and looming mass layoffs.

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