Facebook post by Netflix CEO Reed Hastings leads to investigation by the SEC


In yet another example of potential litigation due to Social Media, CNN Money has reported that Netflix CEO Reed Hastings is under investigation from the SEC for making a posting that Netflix customers were viewing more than 1 billion hours of video content a month.

The posting was widely reported and Netflix stock rose 13% the day of the posting.

On Thursday, Netflix disclosed in a new posting, an SEC filing and a news release that Hastings and the company received a Wells Notice from the SEC. The notice says the agency staff will recommend regulators institute a cease-and-desist proceeding and/or bring a civil injunctive action for violations of the agency’s fair disclosure rules.


Jeff Goodwin


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