Elon Musk Angers the SEC — Again
The Securities and Exchange Commission filed a request yesterday for the Tesla CEO to be held in contempt of court for his unrestrained tweeting. A $20 million settlement last year requires Musk to get preapproval for public statements that could impact Tesla’s valuation. But he allegedly violated that deal in a series of tweets this month, including a claim, which appeared to contradict company reports, that Tesla would make around 500,000 cars in 2019.
What punishment will he face? Experts say the judge will likely fine Musk and warn him that further violations will get him temporarily banned from serving as an officer in a public company.
Check out this OZY explainer on Musk’s controversial Twitter habit.