Four members of the US House of Representatives are calling for an investigation by the Securities and Exchange Commission (SEC) into Elon Musk's statements concerning the welfare of animals used in experiments by his company, Neuralink.
The SEC alleges that Musk made misleading claims about the deaths of 12 macaque monkeys used in research for the brain-chip interface company.
These allegations follow a report by WIRED highlighting serious animal welfare concerns and possible misinformation from Musk about the experiments conducted at a primate centre in California between 2018 and 2020.
Surgical complications
The lawmakers, led by US Representative Earl Blumenauer, assert that Musk's assertions about the animal subjects not dying due to Neuralink implants and being close to death already are false.
They contend that these statements, made in a September post on the social media platform X (formerly Twitter), might constitute a violation of SEC rules against material omissions and misstatements in securities transactions.
These claims come amidst revelations from a WIRED investigation that found multiple instances of suffering and death among the monkeys due to surgical complications linked to Neuralink's implant procedures.
Musk's history with SEC
This request for investigation builds on Musk's history with the SEC, including a 2018 case where he was charged with securities fraud over misleading tweets about Tesla (NASDAQ:TSLA).
The SEC is also involved in a separate inquiry related to Musk's acquisition of Twitter.
Neuralink, valued at approximately US$5 billion, recently raised more than US$280 million in funding.
The lawmakers emphasise the need for accurate information for investors, particularly given the scale of investments and Musk's track record.
They argue that the integrity of information is vital, citing the 'fraud on the market' theory upheld by the Supreme Court in a 2014 case against Halliburton (NYSE:HAL).
Musk has not responded to inquiries regarding these allegations, and a spokesperson for the University of California, Davis, overseeing the primate centre, declined to comment. The SEC has yet to announce any official investigation into the matter.