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Elon Musk Reach Deal with SEC requiring greater monitoring of his bad tweets




Tesla's CEO Elon Musk waves as he leaves the Manhattan Federal Court in New York, Thursday, April 4, 2019
Photo: Richard Drew (AP)

Elon Musk has entered into an agreement with the Securities and Exchange Commission after a dispute over his bad tweets and what he can or cannot share on platform after he was accused of breaking the terms of a previous agreement. It looks like Musk will (for real) clear some of his Tesla-related tweets with a lawyer.

The deal between Musk and the agency was filed in a federal court in Manhattan and will now be approved by US District Judge Alison Nathan. The deal was reached after Nathan essentially ordered the two to find out after the SEC's request that the referee hold Musk contempt for a February tweet.

The current problematic tweet was related to Tesla's production figures and appeared to oppose figures represented in a previous letter to the company's shareholders. While Musk hours later corrected the apparently misstated production number in his first tweet, the SEC said in a hearing that Musk "did not seek or receive pre-approval before publishing this tweet, which was inaccurate and communicated to over 24 million people." [19659005]

The agency saw Musk's tweet as a violation of the settlement it reached with Tesla CEO last year over his now infamous "420" tweet about taking the company private. This settlement required that in addition to paying a $ 20 million fine and going down as Tesla's chairman, Musk would also need to approve some of his statements related to Tesla's business.

According to the New York Times, one of Musk's attorneys John Hueston in a court hearing this month claimed that vigilance around these restrictions on Musk's tweets created a "scary policy". But if there were any questions specifically about what those terms meant, it shouldn't be now.

This week's filing statistics Musk must "get pre-approval by an experienced securities lawyer employed by [Tesla] of written communication" related to company-financed numbers, statements, agreements, legal decisions, forecasts, estimates or "such other topics as the Company or the majority of those Independent members of the board may require, if they or they believe the prior approval of communications on such additional topics, to protect the company's shareholders. "

Yes, we will.



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