Elon Musk is being sued by the SEC for securities violations, but it appears this entire situation could have been avoided on two distinct opportunities.
Elon Musk is being sued by the SEC for securities violations, but it appears this entire situation could have been avoided on two distinct opportunities.
The Securities and Exchange Commission has opened a case against Tesla and SpaceX CEO Elon Musk.
The first and most obvious was Musk’s continued use of Twitter, where he posted the “funding secured” tweet that got him into hot water with the SEC. The second, according to reporting by the Wall Street Journal, was a settlement the agency offered, and which Musk rejected at the last minute:
A source who spoke to CNBC’s Robert Ferris added [emphasis ours]:
The terms of the SEC’s suit call, among other things, for Musk to be barred from acting as an officer or director of a public company, though the settlement also stipulated Musk’s temporary removal as a director, according to CNBC.
We’ve reached out to Tesla for comment and will update if we hear back.
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