Teslas Musk, ordered to defend fraud settlement, takes aim at SEC

Teslas Musk, ordered to defend fraud settlement, takes aim at SEC

Teslas Musk, ordered to defend fraud settlement, takes aim at SEC

Elon Musk is at his antics again.

West made the comments Tuesday as he checked out student projects at the Detroit College for Creative Studies, a private art school.

On Thursday, the judge in the case requested a joint letter from Musk and the SEC explaining why the court should approve the settlement.

Under its terms, Musk doesn't admit or deny the allegations in the agency's lawsuit but will step down as the chairman of Tesla's board of directors for three years and pay a $20 million fine.

The SEC filed a lawsuit on September 27 charging fraud and seeking to bar Musk from serving as an executive at any public company.

According to an account by the Detroit Free Press, West had a busy day in the Motor City, which he documented on social media.

Musk renamed the SEC in a tweet as the Shortseller Enrichment Commission. The company also agreed install two new independent directors on its board and establish a committee to oversee Musk's communications. "And the name change is so on point!" he said on Twitter.

By Randy PennellElon Musk can't say he did anything wrong, but he can let you know how he feels about the Securities and Exchange Commission. U.S. District Judge Alison Nathan today ordered the SEC, Musk and Tesla to filed documents by October 11 explaining why the agreement is "fair and reasonable".


BlackRock declined to comment on Musk's tweet.

Greenlight said it also sold its last Apple Inc shares in August at $228 per share, eight years after buying the iPhone maker at less than one-sixth that price, on growing fear of "Chinese retaliation against America's trade policies".

Thomas Gorman, a partner at Dorsey & Whitney in Washington, D.C., said Musk might argue that the latest tweet might be a mere "personal lament", and not a violation of the settlement.

A Tesla spokesman said the company had no comment on the tweet.

Shares of Tesla extended earlier losses after Nathan issued her order, and were down $12.78, or 4.3 percent, at $282.02 in late afternoon trading.

Teresa Goody, a former SEC attorney and CEO of The Goody Group, said Musk's "contempt for the SEC is sending a message that he has no regard for the securities laws that are meant to protect investors and ensure a fair and efficient marketplace".

The SEC settlement still needs court approval. "It also bolsters the SEC argument that the motive for the false and misleading tweets about taking the company private was to thwart the short sellers".

"Someone has to get a hold of his Twitter account and stop him", Henning said.

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