SEC alleges Tesla CEO Musk's Tweets violated federal securities law

Wil James Murdoch be the new Chairman of Tesla?

Facepalm: On Thursday, Elon Musk tweeted "Just want to that the shortseller enrichment commission is doing incredible work".

In the settlement announced over the weekend, Tesla and Musk agreed to pay $20 million each to the regulator while Musk, also a large Tesla shareholder, would step down as chairman but continue as CEO.

The SEC has responded by denying any plans for a name change, but won't be drawn on the content of the Tweet.

"Mr. Musk has excellent attorneys", said Marc Leaf, a partner at Drinker Biddle & Reath in NY who used to work for the SEC as an adviser to a commissioner. Ryan White, an SEC spokesman, declined to comment.

The SEC's allegation of fraud against Mr Musk related to tweets he posted in August in which he said he was considering taking electronic auto maker Tesla off the stock market and into private ownership. Many Tesla investors took to Twitter to complain that Musk was burning their money with his tweets, one going so far as to even say: "I have lost 30 years of my life savings all on Tesla thanks to your tweets, please stop".

"Tesla and the board of directors are fully confident in Elon, his integrity, and his leadership of the company, which has resulted in the most successful USA auto company in over a century", the board said.

Possible discovery of exomoon excites astronomers, but what is it?
The new alien moon is roughly the size of Neptune, which has a diameter four times larger than Earth's and is 17 times as massive. This is in fact a second method used to detect exoplanets, and help find planets that have a large mass (not necessarily size).

United Kingdom said to plan compromise on Irish border to get Brexit deal
However, Foster was unequivocal in rejecting any solution that created a de facto border between Britain and Northern Ireland. When asked if she was prepared to vote down PM May on a Brexit deal, she said: "We don't want to be in that position".

Russia, India to sign S-400 missile deal this week
As of October 1, however, the Indian government has not publicly confirmed that the CCS approved the $5.5 billion acquisition. The last annual summit was held on June 1, 2017, during the visit of PM Modi to Russian Federation .

Tesla also accepted a $20 million fine, despite not being charged with fraud. "The vast majority of settlements like this are approved by courts". Despite burning through approximately $3.48 billion over the course of a year, Elon Musk hinted that Tesla may soon be profitable in recent emails to employees.

The Tesla boss dislike of short-sellers is well-known: He once called them "jerks who want us to die". "One Barclays analyst told CNN that shares in Tesla carry a "$130 Musk Premium" which would evaporate if he were deposed.

About 40 minutes later, he doubled-down on the tweet and apologized for the typo in the original post.

The stock's decline follows a series of tweets from CEO Elon Musk on Thursday night.

Last week, Musk came to an agreement with the SEC to settle fraud charges in connection with his tweet on 7th August about taking the company to become private. They don't include any provision that would prohibit him from voting, as a director of Tesla, on its new chairman or its new directors. The deal also requires Tesla's board to "establish a new committee of independent directors and put in place additional controls and procedures to oversee Musk's communications".

Musk doubled down on the tweet shortly after.

Related news:

Hot News

isis-killer-beheading-video-story-top Bitterly divided Senate pushes Supreme Court nominee Brett Kavanaugh past procedural hurdle
Oct 06, 2018 - 12:29
After he played a central role delaying the confirmation vote of Supreme Court Brett Kavanaugh last week , GOP Sen. Protesters chanted "Shame" at Manchin later when he talked to reporters outside his office. "Me", Rice responded.

isis-killer-beheading-video-story-top Government Announces Relief On Fuel Prices By Reducing Excise Duty
Oct 06, 2018 - 12:28
Jaitley expressed confidence in maintaining the fiscal deficit target for the current financial year despite the reductions. In response, the governments of Maharashtra and Gujarat have also announced a reduction in excise duties.

isis-killer-beheading-video-story-top Suspect in shooting of 7 officers is competitive rifleman
Oct 06, 2018 - 11:58
Florence Police Chief Allen Heidler fought back tears as he talked about the slain officer and referred to him as family. During the ordeal, Hopkins also allegedly barricaded himself inside the home with children, but they were unharmed.

isis-killer-beheading-video-story-top Interpol president Meng Hongwei missing in China
Oct 06, 2018 - 11:46
It was not clear whether Mr Meng had travelled to China on official business or for personal reasons. French police are investigating what is officially termed in France a "worrying disappearance".

isis-killer-beheading-video-story-top Kavanaugh was questioned by police after bar fight in 1985
Oct 05, 2018 - 00:53
The Washington Post reported that Ludington planned to deliver a statement to the FBI's Raleigh office Monday. Kavanaugh was not arrested for the attack, but he and four other men were questioned by police.

isis-killer-beheading-video-story-top General Electric ditches boss John Flannery and takes $23bn hit
Oct 05, 2018 - 00:31
In June GE said it would spin off its health-care business and sell its interest in Baker Hughes, a massive oil services company. Culp, 55, is credited with leading a turnaround at Danaher , which makes everything from dental tools to consumer packaging.

Russian Federation 'targeted chemical weapons body'
Oct 05, 2018 - 00:28
They had planned to travel on to a laboratory in Spiez, Switzerland used by the OPCW to analyse chemical weapons samples, he said. Moscow accused the West of "spy mania" after Dutch security services said they had thwarted a Russian cyber attack on the OPCW .

isis-killer-beheading-video-story-top Apple, Amazon deny report that Chinese spy chips infiltrated their hardware
Oct 05, 2018 - 00:28
Apple never had any contact with the Federal Bureau of Investigation or any other agency about such an incident. That one-time event was determined to be accidental and not a targeted attack against Apple.

isis-killer-beheading-video-story-top Dem Ex-Boyfriend Doesn't Believe Third Kavanaugh Accuser, Swetnick
Oct 05, 2018 - 00:12
Hatch's office posted on Twitter a link to the letter on the Senate Judiciary Committee's website. Julie Swetnick sat down with Kate Snow in what everyone thought would be a bombshell interview .

isis-killer-beheading-video-story-top Iran says Saudi Arabia, Russia violated OPEC deal on output cuts
Oct 04, 2018 - 01:21
Trump criticized oil producers in his speech before the U.N. Trump for his first overseas trip as president. We want them to stop raising prices.

isis-killer-beheading-video-story-top David Luiz reveals Sarri is giving Chelsea ‘a lot of happiness’
Oct 04, 2018 - 01:21
After a poor season last time out, and missing out on the Champions League, Chelsea are at the races again. Sarri is a former banker who has a sense of perspective and has helped revive Luiz's Chelsea career.

isis-killer-beheading-video-story-top Aston Villa preparing to sack Steve Bruce
Oct 04, 2018 - 01:14
But the improvement in form has not been forthcoming and Bruce has now been axed by new owners Nassef Sawiris and Wes Edens.

isis-killer-beheading-video-story-top Trump calls Kavanaugh allegations 'scary time' for men
Oct 04, 2018 - 01:14
The second Trump's speech hit the internet, angry followers, including politicians and regular users, posted tweets of disgust. "All I can tell you is it came from somebody with a political motive", he said.

isis-killer-beheading-video-story-top Saudi Aramco to boost oil capacity by 550,000bpd in Q4
Oct 04, 2018 - 01:10
USA light crude futures were up US$2.05 a barrel at US$75.30, the highest since November 2014. Total volume traded was about 18 percent below the 100-day average.

Federal Bureau of Investigation completes interview of Kavanaugh's high school friend
Oct 04, 2018 - 01:08
The complaints from Ford's attorneys are the latest controversy to emerge since the FBI began its investigation five days ago. White House adviser Kellyanne Conway told Fox News that "the president is pointing out factual inconsistencies".