SEC Lawsuit Against Musk Wiped $7.3 Billion From Tesla’s Market Value

SEC Lawsuit Against Musk Wiped $7.3 Billion From Tesla’s Market Value

Shares of Tesla Inc jumped 18 percent on Monday as signs it had met targets for quarterly auto production added to relief at Chief Executive Elon Musk's settling of a lawsuit with regulators that had threatened to force him out.

Still, despite the ever-present controversy and turmoil surrounding Musk and his baby, Tesla still has a ton of believers on social media.

Shares of Tesla jumped almost 16% today after chief executive Elon Musk settled with the US Securities and Exchange Commission (SEC) over charges of misleading investors, heading off moves to force him out. Musk will be able to continue as CEO, but the SEC's aim is to give Tesla's board more independence from Musk-and hence to subject Musk to more vigorous oversight. The SEC claims that Musk's actions caused "significant market disruption".

He accepted the deal with the SEC "without admitting or denying the allegations of the complaint", according to a court document. It alleged that Musk's statements - including the assertion that he had "funding secured" to take Tesla private - "were premised on a long series of baseless assumptions and were contrary to facts that Musk knew". On Friday, its stock dropped nearly 14 per cent. Musk had wanted to personally pay the fine for money-losing Tesla but the SEC rejected that proposal, the person said. Tesla's Denver drivers' club president Sean Mitchell said on Twitter that a team of "30 volunteers were providing 40 [plus] hours helping deliver and teach new owners" about the cars' different features.

"The ideal chairman is someone with operational experience in the automotive industry because that's really where they've struggled, on the operational side in terms of the model 3 ramp", CFRA analyst Garrett Nelson said.

Hundreds of flights cancelled as typhoon approaches Japan
Most of local trains and bullet trains in western areas will suspend operations on Sunday, operator West Japan Railway said. This is the second major typhoon to threaten Japan in as many months, as the country is still recovering from Typhoon Jebi.

However, the CEO of Tesla, of course, Elon Musk may resume this position within 3 years and managed to remain as the CEO of Tesla.

The Justice Department has opened its own investigation into Musk's August 7 tweet, in which he said he would take the company private at $420 a share.

After filing the lawsuit, SEC officials were anticipating a drawn-out legal battle, but settlement talks started up again late Friday after Musk's attorney Steven Farina sent an email asking to reopen the discussions. Tesla is required to appoint two new independent directors to its board.

Under the agreement with the Securities and Exchange Commission (SEC), Musk and the company each will pay a $20m penalty, and Musk will be barred from serving as chairperson for at least three years.

Related News:

  • The Nokia 7 plus to join the Android Pie line-up

    The Nokia 7 plus to join the Android Pie line-up

    The only noticeable difference is the addition of a Google Assistant shortcut on the search bar at the bottom of the screen. The image leaked renders that it will hold the phone at an angle to accommodate the Smart Display function.
    Coverage of Kavanaugh, Ford testimony at Senate hearing

    Coverage of Kavanaugh, Ford testimony at Senate hearing

    The letter emerged before a planned vote Friday by the Judiciary Committee to advance the Kavanaugh nomination to the full Senate. It was one of several agonizing exchanges in the hearing, Kavanaugh fumed about the process, branding it "a national disgrace ".
    Duchess of Sussex Closes Her Own Car Door on First Solo Outing

    Duchess of Sussex Closes Her Own Car Door on First Solo Outing

    The Sun royal correspondent Emily Andrews hailed it as well, saying, "a princess who still takes the time to shut her auto door". Another wrote: "I give up on this world when people are congratulating a person shutting a vehicle door on their own".
  • Ronaldo allegedly apologized after hotel 'rape': 'I'm usually a gentleman'

    Ronaldo allegedly apologized after hotel 'rape': 'I'm usually a gentleman'

    He has been named player of the year five times and recently completed a €100m (£89m) transfer to Juventus from Real Madrid. According to her account, he went on to rape her anally without a lubricant and then assured her he didn't have HIV/AIDS.
    Brett Kavanaugh and accuser to testify at Senate hearing

    Brett Kavanaugh and accuser to testify at Senate hearing

    Although she did not explicitly mention Kavanaugh or Judge were offenders, she said they were present at the time of the incident. The committee is set to vote on whether to recommend Kavanaugh's nomination to the full Senate on Friday.
    Ryugu’s Surface Photographed By The Two Japanese Rovers In Mid-Jump

    Ryugu’s Surface Photographed By The Two Japanese Rovers In Mid-Jump

    Initial images were blurry but, a few days later, one of the rovers transmitted relatively clear video from space. Hayabusa2 is scheduled to drop a German-French lander with four observation devices onto the asteroid next week.
  • Former Yale Classmate Now Says Kavanaugh Lied About His Drinking Problem

    White House counselor Kellyanne Conway said the investigation will be "limited in scope" and "will not be a fishing expedition". Ludington says he was deeply troubled by Kavanaugh appearing to blatantly mischaracterize his drinking in Senate testimony .
    Aaron Ramsey's contract talks with Arsenal collapse with no offer on table

    Aaron Ramsey's contract talks with Arsenal collapse with no offer on table

    Arsenal secured their seventh successive victory yesterday after seeing off Watford 2-0 at the Emirates. "He doesn't hide. We did that, so we feel we deserved more. "Only the result was bad but the performance was very good".
    Talks intensify between Canada and US with NAFTA deadline looming

    Talks intensify between Canada and US with NAFTA deadline looming

    He has repeatedly said he is ready to walk away from the talks rather than sign a document he thinks is bad. Canadian officials say they never requested a meeting. "We don't have any comment beyond that".
  • Micronesia air crash turns fatal as passenger's body found

    Micronesia air crash turns fatal as passenger's body found

    However, Jaynes said the only scenario he can imagine is that it hit the end of the runway and continued into the water. Chuuk is in the Caroline Islands between the Northern Mariana Islands to the north and Papua New Guinea to the south.
    Epic Games plans to patch out Fortnite Season 6 jiggling breasts animation

    Epic Games plans to patch out Fortnite Season 6 jiggling breasts animation

    These new areas contain Shadow Stones , a powerful new item that grants you temporary invisibility (but more on that later). Loot Lake is no longer a boring ghost town; there's now a floating platform in its center that attracts plenty of action.
    Flake casts key vote but asks for Federal Bureau of Investigation  inquiry

    Flake casts key vote but asks for Federal Bureau of Investigation inquiry

    Ramirez and she has agreed to cooperate with their investigation", Ramirez's attorney, John Clune, told CNN and other outlets . Gallagher confirmed via phone to The Associated Press that it was her, and she consented to the use of her name.


Most liked

Cubs set for tiebreaker game to settle NL Central
The victor of the Cubs-Brewers tiebreaker will move on to the NLDS on Thursday and play the victor of the Wild Card Game. Kris Bryant, Anthony Rizzo and the Cubs begin the doubleheader drama when they host Milwaukee for the NL Central crown.

Rapper Cardi B surrenders to police
Cardi will appear in court on October 29 for a "Best appearance ticket", which means she has to appear to pay a fine. A source close to Cardi tells TMZ the attack was "spontaneous" and was triggered after someone threw a drink.

Indonesian tsunami warning lifted
This natural disaster came after a series of strong quakes in August killed hundreds on the island of Lombok, south of Sulawesi . Spokesman Sutopo Purwo Nugroho told a press conference earlier today four hospitals in Palu reported hundreds were also injured.

Graham Thinks Kavanaugh Will Be Confirmed
He will forever be known as the man who helped pave the way to a conservative-controlled Supreme Court for an entire generation. Dianne Feinstein , D-Calif., on August 20 that she had had these allegations for 20 days and had recommended a lawyer to Ford.

Ashley Young says Manchester United must bounce back quickly for Valencia clash
Luke Shaw insists the players are to blame for Manchester United's poor run of form and not manager Jose Mourinho . He's really better than I thought before". "Everyone wants to play Champions League, not everyone can do it".

New Jersey man dies after contracting brain-eating parasite
Fabrizio "Fab" Stabile , 29, of Ventnor, N.J., died September 21 - five days after complaining of a severe, sudden headache . Centers for Disease Control and Prevention is reportedly testing BSR Cable Park's Surf Resort for Naegleria fowleri .

Rosa weakens to tropical storm on way to Baja, Southwest US
A tropical storm watch was in effect for the peninsula's east coast, from Bahia de los Angeles to San Felipe. It is expected to make landfall on the western coast of Mexico late Monday or early Tuesday.

Tsunami Death Toll in Indonesia Jumps to 832
It was hoped up to 1,500 people could be taken out every day, with children, women and the injured the priority, he said. A massive 2004 quake triggered a tsunami that killed 220,000 throughout the region, including 168,000 in Indonesia .

EPL: Manchester United players believe Mourinho will be sacked this week
Asked whether Pogba was performing the role of team mouthpiece in his comments of late, Rio replied: "I'd lean towards that, yes". It's disappointing and a very, very bad day for us. "We have to look at ourselves as players", said Shaw.

'House of Cards' Trailer Shows President Claire Underwood in Action
Spacey left the series when allegations of sexual misconduct came to light by actor Anthony Rapp when he was young. She's there talking about her first 100 days in office, which by her own admission, have been hard .

Three takeaways from Ohio State's win over Penn State
Dobbins on a screen pass, who carried it 26 yards for a touchdown with 1:50 to go before the break. He finished the game 22-of-39 passing for 270 yards with three touchdowns and one interception.

Senate Judiciary Committee refers ‘false statements’ against Brett Kavanaugh to Federal Bureau of Investigation
The FBI, however, can not force interviews in background check investigations, or in criminal investigations for that matter. The Supreme Court has the final say on some of the most contentious matters in the U.S. and appointments are for life.

As a teen, Kavanaugh was never a legal drinker in Maryland
He also told Fox News in his interview Monday: "Yes, there were parties, and yes, the drinking age was 18". The Senate Judiciary Committee is slated to vote on Kavanaugh at 9:30 a.m.

Ryder Cup 2018, final day
Woods arrived in Paris on a high after ending a five-year victory drought when he won the Tour Championship in Atlanta on Sunday. Woods has failed to win seven consecutive matches, dating to his singles victory against Molinari in Wales in 2010.

Kim Jong Un And I ‘Fell In Love’
But the Trump Administration has said that sanctions should stay in place until North Korea denuclearises. He said the continued sanctions are "deepening our mistrust" and deadlocking the current diplomacy.