Elon’s Out! (And Out $20 Million)

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Looks like Elon’s mouth is finally catching up with him.

The SEC just forced him out as chairman of Tesla and imposed a $20 million dollar fine  – not chump change, even for a billionaire.

Musk will be allowed to stay as CEO but must leave his role as chairman of the board within 45 days. He cannot seek re-election for three years, according to court filings.

He accepted the deal with the SEC “without admitting or denying the allegations of the complaint,” according to a court document.

The announcement from the SEC comes two days after the agency filed a lawsuit against Musk, claiming he misled investors. The suit centers on tweets Musk sent on August 7 in which he said he had secured funding to take Tesla private at $420 a share, causing the company’s stock to soar. He had not secured the funding, the SEC said.

Musk called the SEC’s suit “unjustified.”

“I have always taken action in the best interests of truth, transparency and investors,” he said. “Integrity is the most important value in my life and the facts will show I never compromised this in any way.”

The SEC’s lawsuit sought to ban Musk from serving as an officer or director of any publicly traded company.

 

11 COMMENTS

  1. I often wonder what dictionary these technocrats draw their vocabulary from, it certainly isn’t Webster’s. Of course, it may be just that, “websters”, as in the lingo used by anyone on the “world-wide-web”. At any rate, these people are all in collusion with one another. You can’t get a group of crooks to take down another of their own, especially not a “love-child” like SchMusk!

  2. So, Elon gets fined a whopping $20 million for jilting thousands of investors, and Tesla buyers, but VW gets fined $Billion$ for fudging a bit of math, and making their cars more drivable? There is no justice anymore.

    • Musk serves the greater agenda while VW was undermining it. Musk’s crazy behavior was a mere endangering of the agenda while VW’s actions were squarely against it. Nothing odd about it at all. The only thing was I was beginning to think that Musk may have outlived his usefulness. Apparently not as they decided to smack him back on course.

  3. Least he is starting to get zinged finally. Up to now he has completely skated on everything. Granted its not much, but it is something, he is slowly losing this favored status.

    Due to his “followers”, they can’t take him down quickly now. People would actually defend him at this point. If he was truly smart, he would quietly retire and fade from public view. Don’t see that happening though.

    And like most major criminals, he won’t ever be convicted of fraud (his actual crime). It will be something else like conspiracy since they won’t be able to convict him of fraud. Remember Al Capone never went to prison for bootlegging or murder. No, he went to prison for tax evasion. Capone could cover his tracks, bribe, or otherwise outmaneuver the government agents.

    Just like the mobsters weren’t convicted of being mobsters, new crimes had to be invented to get these guys. Income tax and the RICO acts are the results of that. And now they get used on normal people. There is a reason why the conviction rate is so high. You charge someone now a days with twenty crimes, so even if they skate on nineteen of them they still “win”. The fifth amendment is dead as the dodo.

  4. will the DEA begin investigating claims one of the Mexican cartels is using one of his factories for drug distribution?
    More trouble for Eloon?

  5. If any of us did what he did we would be spending 60 months in a federal prison camp. Martha Stewart went to prison for a lot less. His net worth is 19.7 billion so his fine was a whooping .01%=chump change!

    • Hi Mr. Big,

      You make an excellent point. The government went to the mattresses to criminally convict Martha Stewart of… something. When they couldn’t find anything criminal they could tag her with, they prosecuted her for “conspiracy.” Basically, for not cooperating with her own criminal prosecution.

      And whom did she harm?

      Elon, meanwhile, is a complete fraudster who has bilked thousands of people – and millions of taxpayers.

  6. “not chump change, even for a billionaire.”

    I disagree but either way, this was barely a slap on the wrist for what he did.

    Small fine and he has to sit in a different chair at Tesla meetings. What a joke.

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