In a court filing on Monday, the regulator pointed to a Musk Feb. 19 tweet: “Tesla made 0 cars in 2011, but will make around 500k in 2019,” noting that Musk did not seek or receive pre-approval before publishing this tweet, which was inaccurate and disseminated to over 24 million people.Under the deal that headed off the regulator’s lawsuit seeking Musk’s removal last year, the two sides agreed that material statements made by Musk on social media would be vetted in advance by the company.
Brinkman said that could push Tesla shares back to close to a one-year low. Tesla shares reached $244.59 last April, their lowest since early 2017 and more than $50 below Monday’s close of $298.77. “If the SEC were to seek Mr. Musk’s removal , we believe the shares may approach the mid-$200 levels.” Tesla’s general counsel Dane Butswinkas, hired as an outside counsel to help settle the case with the SEC, resigned a day after Musk made the tweet to which the new SEC case refers.Musk corrected his tweet four hours later to say that the “annualized production rate” at year-end 2019 would probably be about 500,000, with deliveries expected to be about 400,000.
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