Elon Musk no longer Tesla chairman, keeps CEO title

Elon Musk no longer Tesla chairman, keeps CEO title

Elon Musk no longer Tesla chairman, keeps CEO title

The stock's somewhat muted reaction may be a reminder of the position in which Tesla now sits-just past a trying period in which CEO Elon Musk agreed to step aside as chairman to settle an SEC lawsuit, and ahead of its third quarter financial results.

Mr Musk settled fraud charges with America's stock market watchdog and said that the company was close to profitability. Musk has told upset customers that "we've gone from production hell to delivery logistics hell", and the CEO has incomprehensibly suggested the solution is for Tesla to build its own auto carriers, despite no evidence of any shortage of vehicle haulage capacity. According to Tesla's statement, "8,048 Model 3 vehicles and 3,776 Model S and X vehicles were in transit to customers at the end of Q3, and will be delivered in early Q4". This sees the CEO and Tesla each paying a $20 million fine, while Musk will be replaced by an independent Chairman, unable to put himself up for re-election for a minimum of three years.

The news comes after Musk and the SEC reached a settlement to resolve a lawsuit alleging that Musk's August tweet that he had "funding secured" to take Tesla private was misleading to investors. These 7 tweets about taking the company private have proven to be pricey enough and Tesla and Musk combined have to pay a hefty price of $40 million to settle the case. "Go Tesla!" Tesla stock has been fluctuating since the August tweet. As CEO, Musk will essentially remain in day-to-day charge of the firm, but he will likely face more oversight and control from the board and the new chairman.

Tesla sharply boosted the number of vehicles rolling off the assembly line between July and September, the electric auto maker said Tuesday.

Tesla fans cheered the signs of a manufacturing jump while business analysts said the company needed to fulfil the spirit of the settlement by appointing a strong independent chair and new directors.

From Friday to Monday, Tesla swung from a 15% loss to a 17% per cent gain - from $US265 to $US311. Andrew Doane, who has a Model S sedan, Model X crossover and Model 3 vehicle and is president of the Tesla Owners Club of the Mid-Atlantic region, mustered club members to pull shifts at delivery hubs in Virginia and Maryland, and worked one himself.

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