Elon Musk Mocks the SEC on Twitter: ‘Shortseller Enrichment Commission’

Company News For Oct 2 2018

Companies In The News are TSLA,FB,WSC,HONMore

The SEC alleged that Musk hadn't locked up the estimated $25-billion to $50-billion that it would have required to pull off that deal.

An e-commerce website is selling merchandise with the slogan "Save Elon" to raise awareness about Tesla CEO Elon Musk's lawsuit with the Security Exchange Commission (SEC).

It is reported that some Tesla directors have proposed James Murdoch, a fellow board member of Tesla and Chief Executive Officer of Twenty-First Century Fox Inc.to succeed Elon Musk as its Chairman.

"Just want to that the Shortseller Enrichment Commission is doing incredible work", he said. "And the name change is so on point!" he tweeted, a jeering reference to the Securities and Exchange Commission, whom he'd settled with five days earlier.

The SEC declined to comment about the latest tweet, and a spokesperson for Tesla was not immediately available for comment. The company also accepted a $20 million fine, despite not being charged with fraud.

But Musk and Tesla might not even be out of the woods yet.

Shares of Tesla closed down $12.97, or 4.4 percent, at $281.83, and fell another 2.1 percent to $276 following Musk's tweet after market hours.

On September 27, the SEC had filed charges against Musk, claiming that he made false statements about taking his company private at $420 a share.

FILE PHOTO: A newly installed vehicle charger at a Tesla Super Charging station is shown in Carlsbad, California, U.S. September 14, 2018. However, the government was annoyed with Musk's decision to bail on the original agreement so they doubled down on the conditions for the new settlement.

As part of the settlement, Musk must also step down as the chairman of the board for three years.

The 2nd Circuit has jurisdiction over Nathan's court, and lawyers said Musk's settlement would likely win approval, though orders such as Nathan's are not too common.

Latest News