6/2, 12:40 AM (Source: TeleTrader)
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SEC: Musk's tweets violated 2018 court ruling twice

United States Securities and Exchange Commission complained to Tesla in 2020 that its chief executive officer Elon Musk had violated a court order twice after publishing Twitter posts without preapproval from Tesla's lawyers, the Wall Street Journal reported citing obtained official records.

"In the face of Mr. Musk's repeated refusals to submit his covered written communications on Twitter to Tesla for pre-approval, we are very concerned by Tesla's repeated determinations that there have been no policy violations because of purported carve-outs," the SEC wrote in a letter to Tesla in 2020 following the two violations.

In 2018 the SEC accused Musk of committing fraud by tweeting about a potential buyout of his company. In a settlement deal Musk and Tesla paid $20 million each and agreed to have lawyers preapprove relevant tweets. Since then the two posts that concerned the SEC are "Spooling up production line rapidly. Hoping to manufacture ~1000 solar roofs/week by end of this year" and "Tesla's stock price is too high imo".

Breaking the News / LH