WSJ: SEC accuses Elon Musk of violating settlement agreement with 2 tweets

Securities regulators told Tesla Elon Musk twice violated court orders requiring company lawyers to approve his tweets earlier than he posts, in step with records obtained by The Wall Facet dual carriageway Journal Tuesday.

Riding the news: The Securities and Trade Commission wrote to Tesla in 2019 and 2020 announcing Musk had tweeted about Tesla’s photo voltaic roof production quantity and its inventory note with out pre-approval, breaching a 2018 settlement deal, the WSJ experiences.

Finish on prime of potentially the most up-to-date market traits and economic insights with Axios Markets. Subscribe free of price

Flashback: Tesla and Musk reached the $20 million settlement with the SEC after the regulator alleged he’d dedicated fraud with a tweet just a few doable buyout of the company and its inventory note.

  • The SEC asked a federal court in 2019 to defend Musk in contempt of court over a Twitter submit. The 2 aspects later agreed to vary the requirements when it comes to “communications about production figures, new industry traces and the company’s monetary condition,” the Journal notes.

What they’re announcing: Tesla told the SEC in 2019 that Musk’s tweet that August about ramping up production photo voltaic roof production to “1000 photo voltaic roofs/week by pause of this one year” used to be “wholly aspirational,” so the requirement did now not apply, in step with the WSJ.

  • The corporate said a May maybe perhaps fair 2020 tweet all the map thru which Musk said that the “Tesla inventory note is too excessive imo,” used to be suitable his “non-public thought.”

  • Tesla and the SEC did now not immediately reply to Axios’ query for observation.

Rush deeper: Elon Musk says he decides when to submit his tweets for Tesla’s approval

Extra from Axios: Register to fetch potentially the most up-to-date market traits with Axios Markets. Subscribe free of price

Study Extra

LEAVE A REPLY

Please enter your comment!
Please enter your name here