SEC letters have recently revealed that Tesla had failed its task that was imposed in 2018 to monitor Elon Musk's tweets and have them preapproved before being publicly published via the social media platform. The tweets emphasized by an SEC official were about Tesla ventures, after initially settling a total of $40 million charges to the lawsuit.
SEC Letter Address Elon Musk's Tweets to Tesla
It seems that Elon Musk has not learned his lessons yet with run-ins with the U.S. Securities and Exchange Commission (SEC), known to be one of the closest monitoring bodies of his actions. Recent developments show (as obtained by the Wall Street Journal) that Tesla has been given a warning, saying that it failed yet again on its end.
A senior SEC official has said that "Tesla has abdicated the duties required by the court order." This particular letter's context was about Musk's previous tweets about the Tesla Solar Roof production volumes made in 2019 and 2020. It also talked about stock prices and was allegedly left unchecked by Tesla before it made its way to publishing.
Elon Musk's Tweets
The technology multi CEO is known to be an active Twitter user (@elonmusk) and shares most of the innovations, development, and updates of Tesla and other subsidiary companies like SpaceX and Neuralink via social media. Musk is also known to do the "hard work," and be his PR person for all of his company, as part of the CEO's job.
Apart from that, the CEO is also known to address personal opinions via the same Twitter account, involving topics including Cryptocurrency (Bitcoin and Dogecoin), social media platforms (Signal, WhatsApp), Mars colony establishment, and more.
These are the two tweets @SEC_Enforcement wrote to Tesla about in 2019 and 2020
— Whole Mars Catalog (@WholeMarsBlog) June 1, 2021
Nothing burger 🍔 pic.twitter.com/iehPQru8Am
Will Elon Musk, Tesla Face Another Lawsuit?
Currently, Elon Musk, Tesla, and SEC have not yet reached out for a comment regarding the issue which WSJ reported, and no developments were seen regarding this matter. It is unknown whether the SEC has already or will file a new lawsuit against the CEO and the clean energy company, and what claims it would bring.
The recent settlement made by Musk amounting to $20 million, with Tesla also settling the same amount has lost them $40 million in total, for a previous tweet also made by the CEO.
The billionaire has never made the same mistake of talking about a potential buyout of his company again or going private, but it seems that another thing has shaken up SEC's tree again.
This article is owned by Tech Times
Written by Isaiah Richard
