Will retain CEO position.
Tesla CEO Elon Musk has agreed to a settlement with the U.S Securities and Exchange Commission (SEC). He will step down as chairman of the company board, as well as pay a $20 million fine. He will, however, retain his position as CEO, in addition to keeping a seat on the board.
As per the agreement, Musk will step down from the chairman position within 45 days of signing the agreement, which was filed Saturday 29th, September. He is also not allowed to seek the chairman position for three years. Moreover, he doesn’t have to Admit or deny the SEC allegations against him.
The allegations stem from a tweet Musk made on August 7th, in which he stated he had enough funding for a private takeover of Tesla at $420 per share. Tesla was served a subpoena a week later. The SEC’s complaint states that Musk violated anti-fraud provisions of federal securities laws in doing so.
Source: TechCrunch
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