On September 10, 2023, Mr. Musk responded to Neuralink’s animal welfare concerns via a post on the social media platform X, which he also owns. He wrote:
“No monkey has died from a Neuralink implant. Firstly, our first implants, in order to minimize the risks to healthy monkeys, we chose the my terminal[k]eyes (already close to death)[.]»
Yet Mr. Musk knows this claim is false. Health records of the monkeys show that although several animals suffered physical trauma and were previously used in experiments at UC Davis, there is no evidence that they were “on the verge of death,” as the Mr. Musk said. Rhesus macaques often live up to around 25 years in captivity, with some living up to 40 years. But the average age of the 12 monkeys euthanized by Neuralink was 7.25 years old when they were subjected to the company’s experimental protocol.
The deaths of animals and the reasons for their deaths are directly related to the safety and market value of Neuralink’s brain-computer interface. It is essential that the company provide investors with accurate factual information, and we are therefore concerned that Mr. Musk may have violated SEC Rule § 240.10b-5:
It shall be unlawful for any person, directly or indirectly, to use any means or instrument of interstate commerce, or the mail or any facility of a national securities exchange…[t]o make a false statement of a material fact or omit to state a material fact necessary so that the statements made, in light of the circumstances in which they were made, are not misleading… in connection with the purchase or of the sale of complete security.
In its 2018 complaint against Mr. Musk for posting misleading messages on the platform then known as Twitter, the SEC referenced his 22 million followers, emphasizing the reach of his social media account: “ His tweets were posted instantly to these people and were also publicly distributed. accessible to anyone with access to the Internet.
Mr. Musk’s online reach has grown significantly since 2018. Today, he has 162.9 million followers on X, the most accounts on the platform, and his September 10 post has already received more of 788,000 views.
The company claims to have raised $280,274,981 in investments, with a minimum investment accepted from any outside investor of $14,995, according to its Form D notice from August 2023. Given the scale of these investments and the track record of Mr. Musk’s misleading investors, it is crucial that the SEC investigate whether Mr. Musk’s September 10, 2023 message violated the SEC Rule § 240.10b-5.
Thank you for considering this request.
