How serious is the SEC investigation for Lucid & DWAC?

MillionaireTiger
2021-12-07

Hey Tigers!

During the holiday season, do you spend quality time with family and friends? I believe almost everyone does it,  except… the Securities and Exchange Commission.

The SEC spent today opening up new investigations.

  • $Lucid Group Inc(LCID)$ sharply dropped Monday after the luxury electric vehicle maker said it received a request for information from the Securities and Exchange Commission. Lucid went public in July following a merger with Special Purpose Acquisition Company Churchill, a so-called a blank check company started by investment banker Michael Klein.
  • Lucid said in its filing, "Although there is no assurance as to the scope or outcome of this matter, the investigation appears to concern the business combination between the Company (f/k/a Churchill Capital Corp. IV) and Atieva, Inc. and certain projections and statements."
  • $Digital World Acquisition Corp(DWAC)$: The SPAC that plans to merge with Trump’s new social media company revealed Monday, the SEC and another regulator weeks ago asked it for information regarding stock trading and communications with Trump’s firm before the deal was announced.

There are some comments，

 

Source: Stocktwits

Source: Stocktwits

What do you think of Lucid receiving a subpoena from the SEC?

How serious is the SEC investigation?

Leave your comments! You may be rewarded with Tiger Coins💸💸💸

免责声明：上述内容仅代表发帖人个人观点，不构成本平台的任何投资建议。

精彩评论

  • 盐焗小星球_
    2021-12-07
    盐焗小星球_
    SEC tried to bring it down to help their short buddies but it didn’t work, hopefully this isn’t a trap
  • koolgal
    2021-12-10
    koolgal
    SPAC companies are under increasing scrutiny from SEC to prevent fraud. Lucid & DWAC are no exceptions. Once cleared, their share prices will jump. Till then, investors are jittery & will sell off! 🎊
  • 东北星
    2021-12-07
    东北星
    Sec investigate companies all the time. SPACs especially as historically many of them were scams. but media always like to use headlines to draw attention. i would say, nothing will come out of the it
  • Michane
    2021-12-25
    Michane
    Lucid mentioned that "The Company is cooperating fully with the SEC in its review,".
    I believe there won't be much issues.
    As for DWAC, arrow on Trump aside, it's no secret that they broke some rules.
  • mark01bravz
    2021-12-08
    mark01bravz
    to reiterate, lucid got subpoena by the sec which essentially means a court order. While this doesn't necessarily mean anything, it is best to stay on the sidelines and see how it pans out.
  • koolgal
    2021-12-08
    koolgal
    SEC plays important role in preventing fraud. News of SEC investigation into Lucid & DWAC trigger negative market reaction. Once they are cleared by SEC, prices will soar. So good time to bargainhunt!
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