You may recall a lawsuit that was filed last month in which a Twitter shareholder accused Elon Musk of failing to disclose his acquisition of Twitter shares in a timely manner. That lawsuit also appears to have caught the eye of the Securities and Exchange Commission (SEC).

This is according to a report from the Wall Street Journal (paywall) which cites people familiar with the matter as a source.

Much like the lawsuit, the SEC is investigating whether Musk failed to file a Schedule 13 after acquiring 5 percent of Twitter shares. It is alleged that Musk then continued to purchase shares which is where the SEC and the aforementioned lawsuit come into focus.

By not disclosing his 5 percent stake in Twitter, Musk was able to hoover up more shares and at a vastly discounted rate compared to the price those shares rose to once Musk did declare his stake in the firm.

What the WSJ report reveals that caught our eye was details about Musk’s disclosures when he did file them. In his initial purchase, Musk said he was a passive shareholder with no intention of taking the platform over or influencing management of the business.

One week later, Musk offered to purchase Twitter.

There is reportedly a probe into this to determine whether Musk’s initial disclosure should have detailed his plans.

As WSJ points out, the SEC is unlikely to stop the acquisition as the board of directors has approved the transaction and the SEC generally can’t stop private transactions or mergers.

Should the SEC find that Musk didn’t file a disclosure in time it’s unclear what it will do. Given this isn’t the first tussle Musk has had with the SEC though, this won’t be the last we hear of this.