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SEC accuses Elon Musk of securities violation in new suit

Elon Musk

STR/NurPhoto via Getty Images

  • The Securities and Exchange Commission has filed suit against Elon Musk.
  • The new suit alleges Musk violated securities law related to his purchase of Twitter shares.
  • It's not the first time the Tesla leader has gone toe-to-toe with the SEC.

The Securities and Exchange Commission has filed suit against Elon Musk, alleging he violated securities law related to his $44 billion acquisition of Twitter, according to a federal docket.

The complaint alleges Musk "failed to timely file with the SEC a beneficial ownership report" disclosing his purchase of Twitter shares before he announced his ownership of the company.

"As a result, Musk was able to continue purchasing shares at artificially low prices, allowing him to underpay by at least $150 million for shares he purchased after his beneficial ownership report was due," the complaint reads.

Musk's attorney, Alex Spiro, told Business Insider in an email that Musk "has done nothing wrong."

"Today's action is an admission by the SEC that they cannot bring an actual case β€” because Mr. Musk has done nothing wrong and everyone sees this sham for what it is," Spiro said. "As the SEC retreats and leaves office β€” the SEC's multi-year campaign of harassment against Mr. Musk culminated in the filing of a single-count ticky tak complaint against Mr. Musk under Section 13(d) for an alleged administrative failure to file a single form β€” an offense that, even if proven, carries a nominal penalty."

This isn't the first time the SEC has sued Musk. A 2018 complaint from the commission stemmed from Musk's "funding secured" tweet, indicating he'd planned to take Tesla private, which eventually resulted in a settlement under which Tesla and Musk both paid fines of $20 million.

The SEC has not responded to a request for comment from BI.

Correction: January 14, 2025 β€” An earlier version of this story mistated the defendant in the story's URL and meta description. The SEC sued Elon Musk, not Tesla.

Read the original article on Business Insider

I'm a luxury bag authenticator and I can tell the viral Walmart Birkin isn't the real deal from afar — here's how

Photo collage featuring Walmart 'Birkin' Bag and a hand holding a HERMES Birkin 35 Handbag Bag
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Walmart; Getty Images; Alyssa Powell/BI

  • Koyaana Redstar, a luxury bag authenticator, has decades of experience identifying fake HermΓ¨s Birkin bags.
  • She said that the viral "Walmart Birkin," or "Wirkin," has several telltale signs of being a dupe.
  • But Walmart is also not trying to convince anybody that the Wirkin is the real deal, she added.

This as-told-to essay is based on a conversation with Koyaana Redstar, the head of luxury buying at Luxe Du Jour, an online luxury boutique for vintage designer handbags. It has been edited for length and clarity.

I've worked for Rebag, The RealReal, and other vintage consignment stores and have 20 years of experience in the resale industry.

To me, the Hermès Birkin and Kelly are the most iconic bags in fashion. They are classic and retain value more than almost any other bag.

So, of course, I have thoughts on the viral $78 "Walmart Birkin" bag.

Signs that the Wirkin is an obvious dupe

First, the proportions of the Wirkin wouldn't look right to anyone who knows their stuff β€” and knows Birkins.

The handles are too long, and the fact that it comes with a crossbody strap is a dead giveaway β€” the Birkin doesn't come with one. To my knowledge, the only Birkin with a strap is the Micro Birkin if you exclude Jane Birkin's first Birkin.

The hardware is also almost too gold and has a slightly green undertone, which a real Birkin wouldn't have.

From afar, the imitation leather-like material looks almost puffy, which also throws off the shape. I can also tell the size of various components isn't of regular Birkin proportions.

As far as I'm concerned, the Wirkin's design doesn't seem to have been intentionally created to convince anyone that it's a Birkin.

It does look similar — but major changes have been made to avoid confusion, and they haven't used trademarked branding that would lead someone to believe that it's a real Hermès Birkin.

I think it's likely not the last we'll see of Birkin dupes from other brands, partly due to the demand for this particularly iconic style.

Dupes are fair game

The Birkin is the most coveted handbag in the world, so it's not surprising that there are so many dupes and replicas.

Replicas are attempted duplicates of a luxury bag, down to the types of hardware, fonts, materials, and branding.

Dupes are not branded, like the bags they are trying to imitate. They use a style or concept, alter it, and remove its branding. However, these products may use similar materials and have similar functionalities.

I don't approve of replicas, but I can get behind the idea of dupes because they aren't made to trick people into confusing them with the real deal.

I do find that consumers I've interacted with have become more conservative about spending on luxury products. Now, what I see is that there is brand loyalty β€” especially among consumers who enjoy buying products from specific brands.

However, an uptick in prices and the idea that dupes are readily available could drive some people to find cheaper alternatives to items that are way out of their budget.

A word of warning, though. Knowingly purchasing, distributing, or shipping inauthentic items is illegal under federal law.

It constitutes "trafficking in counterfeit goods," which can result in significant fines and potential jail time depending on the severity.

Read the original article on Business Insider

Israel's Air Force blazes air superiority path to Iran's border

Israel's Air Force now dominates the skies right up to Iran's border, thanks to advanced aircraft like the F-35I stealth fighter.
Israel's Air Force now dominates the skies right up to Iran's border, thanks to advanced aircraft like the F-35 stealth fighter.

JACK GUEZ/AFP via Getty Images

  • Israel has used its Air Force to strike its enemies with impunity.
  • Syria's collapse now gives it unprecedented power in the air, right up to Iran's border.
  • "Israel now has open skies to Iran," a Middle East analyst told BI.

The Israeli Air Force has long been regarded as the Middle East's premier aerial fleet, supplied in large part with US-made aircraft and munitions. But in the past year it has gone further, showing its aircraft can strike any of its adversaries with impunity and establishing unprecedented air superiority across wide stretches of the region.

It gutted Russian and Iranian-made air defenses in Iran, daring Iranian leaders to strike back with fewer defenses. It destroyed stocks of Hezbollah's missile arsenal in southern Lebanon and killed its top leader with a precision airstrike on his underground headquarters.

Its power was so formidable in Syria that the Assad regime and Russia secretly asked Israel to spare Assad's military, according to allegedly classified documents found in the country after that brutal regime collapsed in December.

In the wake of that collapse, Israel seized the opportunity. The Israeli Air Force (IAF) destroyed the country's vast majority of air defenses and Syrian military stockpiles.

Across 15 months of war, instigated by the Oct. 7, 2023 terrorist massacre by Hamas into Israel, the IAF has emerged supreme and is basking in its moment.

"Fighter pilots, if they wanted, could now merrily fly in pairs, with visible operating systems, at any altitude, to any range, to any spot in Israel's first circle of defense," reported the Israeli news site Ynet in late December.

Israel has long possessed the most powerful air force in the Middle East and one of the most powerful and technologically advanced anywhere in the world. It boasts over 600 aircraft and over 30,000 active personnel, with no less than 50,000 in reserve. It operates the second-largest fleet of F-16s in the world and is the only regional country that currently flies the F-35 stealth jet. Furthermore, Israel has its own version of that fifth-generation aircraft, a privilege no other country enjoys.

The IAF overwhelmingly consists of American-made aircraft that also include Apache and Black Hawk helicopters. Israel also flies a large fleet of F-15s and recently signed a $5.2 billion deal for 25 highly advanced F-15IA variants.

The IAF plays a pivotal role in the defense of Israel. It gave the small country a critical qualitative edge over its larger Arab adversaries in historical conflicts, most notably the June 1967 Six Day War.

Israel's Air Force flies numerous US-made aircraft like the F-15 Strike Eagle.
Israel's Air Force flies numerous US-made aircraft like the F-15E Strike Eagle.

JACK GUEZ/AFP via Getty Images

The IAF's newfound supremacy goes beyond previous wars. For example, it previously destroyed several Soviet-built Syrian surface-to-air missile batteries in Lebanon's Beqaa Valley in a complex operation in 1982 and shot down over 80 Syrian fighter jets without incurring any losses in return. While December's operation saw the IAF strike all across Syria, the operation wasn't nearly as sophisticated or dangerous as that historical episode; many of the air defenses in the latest operation were abandoned or in low states of readiness.

"We know one reason possibly restraining Israel was a recently exposed secret agreement with Russia and Syria in which Israel agreed to refrain from wider targeting of Syria's military," said Sebastien Roblin, a widely published military aviation journalist.

Israel launched an enormous long-range air and drone attack against Iran on the night of October 26 in retaliation for an Iranian missile barrage against it on October 1. The IAF targeted some Syrian air defenses in the lead-up to the attack.

The IAF also used Iraqi airspace that October night and reportedly targeted early warning radars and sensors in both Syria and Iraq, which were part of a network Iran established in the region to detect incoming Israeli attacks. While the IAF used standoff munitions, including air-launched ballistic missiles, some Israeli aircraft are believed to have penetrated Iranian airspace.

"From what we currently know, some Israeli aircraft did reportedly breach Iranian airspace, though not, from what I've seen, very far," Ryan Bohl, a senior Middle East and North Africa analyst at the risk intelligence company RANE, told BI.

"That was in part a demonstration of capability and in part an operational necessity to effectively hit deep targets," Bohl said.

Israel stated some aircraft entered Iranian airspace, which were likely stealthy Lockheed Martin F-35 Lightning II jets and newly revealed long-range drones. Roblin said it's unclear if these aircraft released weapons over Iran. They could have been there to help "precisely locate key targets" and guide weapons fired by other aircraft over significant distances.

"The strike certainly had the effect of dispelling deterrence benefits of Iran's more advanced air defenses (Russian S-300 systems)," Roblin said. However, as in the case with Syria before December, Iran's remaining air defenses "still have some value in compelling use of more expensive standoff munitions and perhaps absorbing a percentage of incoming weapons."

Israel's campaign against the remnants of the Syrian military has major implications for Iran. Should Syria's airspace remain permissive to Israeli aircraft, Israel can fly its tanker aircraft closer to Iranian airspace than previously possible.

"If medium/high-altitude air defenses were truly fully destroyed, then Israel's ordinarily vulnerable tanker aircraft could indeed theoretically access Syrian airspace and refuel fighters, which could enable higher volume attacks on Iran," Roblin said.

With Syrian air defenses eliminated, Bohl believes that "Israel now has open skies to Iran."

It will likely take years before Syria manages to reestablish significant air defenses.

"The one-two-punch of Assad regime's collapse followed by Israeli strikes on surviving equipment mean Syria will require a much longer time-frame to reconstitute an air- and ground-based defense capability through expensive new equipment purchases," Roblin said. "So, Israel's ability to attack targets at will has been improved, though it was already more than adequate."

Airpower, of course, has its limits. Israel's aerial bombing has damaged roughly two-thirds of all buildings in Gaza, but it was a foot patrol that found and killed Hamas' hardline leader, who orchestrated the 10/7 attacks. Similarly, waves of Israeli airstrikes have failed to stop Iran from nuclear weapons development and uranium enrichment.

With Russia's influence diminishing, Turkey appears destined to become the new Syria's main military backer. Ankara has already offered to help Damascus rebuild the Syrian military.

"For now, Israel can ignore Syria as a defensive layer for Iran; it's just geography to fly over now," RANE's Bohl said. "But that is unlikely to be a permanent condition, and eventually, Syria's air defenses will, in some capacity, return."

"And should Turkey provide them, (that) might complicate Israel's regional strategy in a new way."

Paul Iddon is a freelance journalist and columnist who writes about Middle East developments, military affairs, politics, and history. His articles have appeared in a variety of publications focused on the region.

Read the original article on Business Insider

Trump team uses skip-the-Senate playbook for Pete Hegseth

The Trump transition proved today that it can impose its will on the Hill, even with a nomination that looked cooked before the holidays.

Why it matters: Not a single Republican showed signs on Tuesday of opposing Defense nominee Pete Hegseth. Now he's got a clear path to the Pentagon.


  • "Pete Hegseth hit a home run," Sen. Jim Banks (R-Ind.) said on Fox News after the hearing.
  • Senate Majority Leader John Thune (R-S.D.) told reporters Tuesday that Hegseth did well and expects he'll be quickly confirmed.

Here's the formula:

  • Survive the first two weeks: Trump's team got past the news cycles about Senate Republicans being quietly concerned about Hegseth's nomination. They've told us for a month that if he can get to his nomination hearing, he'll be fine.
  • Sic MAGA foot soldiers on anyone suspected of falling out of line. Sen. Joni Ernst (R-Iowa) was noticeably friendly at today's hearing. Ernst told local radio on Wednesday that she'll vote to confirm Hegseth.
  • Stonewall the Dems: Only the committee's top Democrat β€” Sen. Jack Reed (D-R.I.) β€” was allowed to see Hegseth's background check. Democrats were denied second rounds of questioning today. Hegseth didn't meet with any of the rank-and-file Dems ahead of today's hearing.
  • Take advantage of the media's shattered glass: Today's most TV-ready moments from Senate Dems β€” Tim Kaine's hypotheticals on Hegseth's red lines and his behavior … Kirsten Gillibrand's condemnation of his comments on women in the military … Mazie Hirono's questions on his drinking β€” are unlikely to reach MAGA viewers.

Zoom in: If you look past the spicy back-and-forth on Hegseth's character, there was a strong line of questions about whether he can do the job.

  • The most prominent: Sen. Tammy Duckworth (D-Ill.) tried to pin down Hegseth on whether he's ever led a major negotiation. She asked if he's familiar with high-level pacts like ASEAN.

The Republicans on the panel were very clear that this isn't a dealbreaker. They even suggested that his lack of traditional experience running bureaucracies would benefit someone trying to clean house at the Pentagon.

  • They backed him as he suggested he'd purge top brass and cut hundreds or thousands of civilian support staff in the Pentagon.
  • "The Dems struggled to land a blow or a gotcha moment," Banks told Axios after the hearing.
  • "With today's performance, I believe Pete Hegseth's path to confirmation has been assured," Sen. Lindsey Graham (R-S.C.) said in a statement.

Go deeper:

Liberal dark money group plays both sides on RFK Jr.

A progressive group that bolstered Robert F. Kennedy Jr. during the 2024 presidential campaign is also supporting a new war room that wants to scuttle his nomination for Health and Human Services Secretary.

Why it matters: The two tracks of support from the Sixteen Thirty Fund β€” which can accept unlimited and anonymous contributionsβ€” show how the dark money group takes a flexible approach to countering President-elect Trump's MAGA agenda.


  • During the campaign, a super PAC it funded, Retire Career Politicians, tried to boost RFK, with ads claiming he "isn't afraid to tell the truth about vaccines." Republicans were convinced the effort was part of a broader scheme to siphon votes away from Trump.
  • More recently, the Sixteen Thirty Fund is accepting donations on behalf of a new "Stop RFK War Room" effort, run by Protect Our Care, a liberal group that's running ads accusing RFK of spreading "deadly lies about vaccines."

Driving the news: Protect Our Care plans to spend close to $1 million on its new war room, which is running digital ads and coordinating opposition to the RFK nomination ahead of his confirmation hearing, according to a person familiar with the matter.

  • Its executive director, Brad Woodhouse, a longtime Democratic strategist, told Politico that RFK's ideas are '"too dangerous" not to counter.

Zoom out: The Sixteen Thirty Fund acts as a clearinghouse for progressive causes, funneling unrestricted money β€” around $400 million in the 2020 campaign, according to the New York Times β€” to various organizations.

  • Organized as 501(c)(4), contributions to the Sixteen Thirty Fund are not tax-deductible. But donors' names remain confidential.
  • The group can spend up to 49% of its budget on political activities, including transfers to super PACs.

Zoom in: In the 2024 cycle, Sixteen Thirty Fund gave some $2 million to Retire Career Politicians, a super PAC that spent most of its $18 million on trying to defeat Sen. Deb Fischer (R-Neb.).

  • But the super PAC also spent some $400,000 on behalf of RFK. Some of that money was spent after RFK dropped out of the race and endorsed Trump.
  • The Sixteen Thirty Fund's relationship with Protect Our Care goes back longer. It has been providing "fiscal support" for several years. Protect Our Care launched its "Stop RFK War Room" in November.

What they are saying: "We are proud to provide administrative and back-office services to support their (Protect Our Care) work to ensure that Americans can get the high-quality health care they need and deserve," said a spokesperson for the Sixteen Thirty Fund.

  • "With regard to Retire Career Politicians PAC, Sixteen Thirty Fund provided the organization with unrestricted contributions in 2024. That is the extent of the relationship," the spokesperson said.
  • "Neither of these efforts are at odds with the values of Sixteen Thirty Fund to achieve progressive outcomes."

The bottom line: It is difficult to estimate the total amount that Sixteen Thirty Fund spent on political activities in 2024.

  • But they have been involved with both pro- and anti-RFK efforts.

SEC accuses Elon Musk of securities violation in new suit

Elon Musk

STR/NurPhoto via Getty Images

  • The Securities and Exchange Commission has filed suit against Elon Musk.
  • The new suit alleges Musk violated securities law related to his purchase of Twitter shares.
  • It's not the first time the Tesla leader has gone toe-to-toe with the SEC.

The Securities and Exchange Commission has filed suit against Elon Musk, alleging he violated securities law related to his $44 billion acquisition of Twitter, according to a federal docket.

The complaint alleges Musk "failed to timely file with the SEC a beneficial ownership report" disclosing his purchase of Twitter shares before he announced his ownership of the company.

"As a result, Musk was able to continue purchasing shares at artificially low prices, allowing him to underpay by at least $150 million for shares he purchased after his beneficial ownership report was due," the complaint reads.

Musk's attorney, Alex Spiro, told Business Insider in an email that Musk "has done nothing wrong."

"Today's action is an admission by the SEC that they cannot bring an actual case β€” because Mr. Musk has done nothing wrong and everyone sees this sham for what it is," Spiro said. "As the SEC retreats and leaves office β€” the SEC's multi-year campaign of harassment against Mr. Musk culminated in the filing of a single-count ticky tak complaint against Mr. Musk under Section 13(d) for an alleged administrative failure to file a single form β€” an offense that, even if proven, carries a nominal penalty."

This isn't the first time the SEC has sued Musk. A 2018 complaint from the commission stemmed from Musk's "funding secured" tweet, indicating he'd planned to take Tesla private, which eventually resulted in a settlement under which Tesla and Musk both paid fines of $20 million.

The SEC has not responded to a request for comment from BI.

This story is developing. Please check back for updates.

Read the original article on Business Insider

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