The U.S. Securities and Exchange Commission is suing Tesla CEO Elon Musk, alleging securities fraud a month after he announced that he planned to take the publicly traded electric-car company private. The lawsuit claims that, "Musk's false and misleading public statements and omissions caused significant confusion and disruption in the market for Tesla's stock and resulting harm to investors."
The SEC is asking the court to ban Musk from acting as an officer or director of any publicly traded company. In addition to being at the helm of Tesla, he is also the CEO and founder of SpaceX.
Musk denies the allegations of wrongdoing and insists he did not mislead investors. "This unjustified action by the SEC leaves me deeply saddened and disappointed. I have always taken action in the best interests of truth, transparency and investors," Musk told NPR in an emailed statement.
"Integrity is the most important value in my life and the facts will show I never compromised this in any way," he added.
Thoughts? Why is the SEC going after Musk? Did Musk mislead investors?
SEC Sues Tesla CEO Elon Musk.
ReplyDeleteThe U.S. Securities and Exchange Commission is suing Tesla CEO Elon Musk, alleging securities fraud a month after he announced that he planned to take the publicly traded electric-car company private. The lawsuit claims that, "Musk's false and misleading public statements and omissions caused significant confusion and disruption in the market for Tesla's stock and resulting harm to investors."
The SEC is asking the court to ban Musk from acting as an officer or director of any publicly traded company. In addition to being at the helm of Tesla, he is also the CEO and founder of SpaceX.
Musk denies the allegations of wrongdoing and insists he did not mislead investors.
"This unjustified action by the SEC leaves me deeply saddened and disappointed. I have always taken action in the best interests of truth, transparency and investors," Musk told NPR in an emailed statement.
"Integrity is the most important value in my life and the facts will show I never compromised this in any way," he added.
Thoughts? Why is the SEC going after Musk? Did Musk mislead investors?