Tuesday, March 19, 2019
SEC Claims Elon Musk Continuing Reckless Tweets About Tesla
The U.S. Securities and Exchange Commission said in Monday in a legal filing that Elon Musk is continuing to send out "reckless" tweets about Tesla, despite a legal agreement by Tesla and Elon Musk to ensure that his tweets about Tesla production numbers and other information that might be material to the company. The SEC claimed that Musk "made no diligent or good faith effort to comply with the pre-approval provision" of the court order which settled the SEC's earlier lawsuit against Tesla and Musk. The filing said that Musk has "not sought pre-approval for a single one of the numerous tweets about Tesla he published in the months since the court-ordered pre-approval policy went into effect." Both Tesla Motors and Musk agreed to a settlement with the SEC in October of 2018, where Musk and Tesla agreed that he would seek pre-approval for his tweets from Tesla on anything "material" to investors or the company.