Elon Musk, Tesla reaffirm settlement with SEC despite snarky tweets, Murdoch report denied

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Tesla Inc. and the US Securities and Exchange Commission have set aside tweets that offend the agency to ask a judge to accept a proposed settlement in a fraud charge against the electric car manufacturer and its outspoken CEO.

In a joint submission, which sought legal approval, the SEC, Tesla and CEO Elon Musk stated that the proposed deal – paying a combined $ 40 million to resolve the claims that Musk misled the public by tweeting about his plan to take Tesla privately – in the "best interest" of investors, according to a court that filed Thursday.

A few days after the settlement of September 29, Musk called the SEC as the "Shortseller Enrichment Commission" in a tweet and made the insult before he tried to get court approval for the hard-fought deal. The agreement also requires that Tesla appoint an independent chairman to replace Musk and to add two directors to the board.

Neither Tesla nor Musk admitted that something had gone wrong with the settlement, which was reached two days after the regulator had sued the billionaire on the basis of his tweeted claims that he had the financing and investor support to buy shareholders for $ 420 per part. The deal alleviates the uncertainty about Tesla's future after the SEC's lawsuit had tried to dismiss Musk from serving as an officer or director of a public company, a prospect that rammed investors.

The parties had until Thursday the opportunity to explain to the District Court of the American district of Alison Nathan in Manhattan, whose approval was required, why the agreement was reasonable and reasonable. used to be.

Murdoch report refused

Separately, Musk denied a report in the Financial Times that James Murdoch is about to replace him as chairman, prolonging the uncertainty about Tesla's leadership after the SEC deal.

Murdoch, the CEO of Twenty-First Century Fox Inc. and a member of the board of directors of Tesla, is the main candidate for the job, said the Financial Times, citing two people referring to the discussions.

The newspaper is wrong, Musk tweeted in answer without elaborating.