The reports demanded that a specially appointed Twitter-nanny, a lawyer inside Tesla, be claimed, although in the past Musk had systematically violated this requirement.
The US Securities and Exchange Commission came to an agreement with Tesla head Elon Musk about his public speaking on Twitter – the main information channel through which the entrepreneur communicates with the rest of the world. Because of the situation with the sudden statement by Mask on Tesla shares, control over his twitter has been tightened, according to court documents on the Commission’s claim against the entrepreneur.
In fact, now Musk is obliged to approve the text of public statements (including tweets) about everything that concerns Tesla’s financial indicators or what directly affects them – for example, reports about the launch of a new business line within the company. Here is a list of all that now have to say a businessman:
- Reports or forecasts for Tesla’s financial indicators, for example, revenue;
- Potential or proposed deals, takeovers, joint ventures;
- The number of units issued or sales that the company has not yet disclosed or that differ from those that the company has disclosed;
- New areas of Tesla business;
- Changes in Tesla’s financial operations – new loans, the status of securities and so on;
- Non-public decisions of regulatory bodies on Tesla;
- Other areas related to Tesla, information about which should be pre-approved – in the opinion of most independent members of the board of directors.
The Commission and Musk first came to an agreement back in September 2018, two months after the initial conflict over a series of Tesla promotions tweets. Tesla CEO had to leave the post of head of the board of directors, pay a $ 20 million fine and pledge to get approval from a full-time lawyer for all public statements about the company, including tweets.
However, Musk repeatedly violated the last requirement, as he considered it too harsh. From the court documents, it follows that he actually never once asserted the text of his tweets before publication. The only time he agreed to intervene occurred in February – he first stated that the company was going to produce 500,000 cars in 2019, but then he corrected expectations ( reportedly , at the request of the lawyer himself), since they diverged from the company.
Tesla made 0 cars in 2011, but will make around 500k in 2019— Elon Musk (@elonmusk) February 20, 2019
Meant to say annualized production rate at end of 2019 probably around 500k, ie 10k cars/week. Deliveries for year still estimated to be about 400k.— Elon Musk (@elonmusk) February 20, 2019
Musk has repeatedly reported through his Twitter about new directions of their companies and products. For example, it was there that he announced the appearance of the boring company, a flame thrower and, most recently, silent leaf blowers.
Tesla is going to develop a quiet, electric leafblower— Elon Musk (@elonmusk) April 23, 2019
Want to collab on a dual purpose electric blower?— Pornhub ARIA (@Pornhub) April 24, 2019