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SEC Asks Manhattan Federal Court to Hold Elon Musk in Contempt

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Re: SEC Asks Manhattan Federal Court to Hold Elon Musk in Contempt

#3
At this point, the board of directors should just demand deletion of his Twitter account.

I admire Elon for his vision, and actually also admire his radical style despite of its unpopular image - I watched the video where he smoked pot on the radio show. It was a really amazing conversation about future of humanity. He just needs to stop tweeting. You may say it’s fixing the symptom, but here if we take Twitter away, he would stop yelling stupid FCC punishable things.

As a side note, Twitter has hardly done anything useful for the society. I never got into twitter and never understood its value. Conversations are one sided, blog posts are separated into incomprehensible chain of tweets, people are insulting with no repercussion - it’s a giant echo chamber of loud people. One thing it has done is to improve customer support by shaming companies publicly, which is a really sad state of affairs.

Re: SEC Asks Manhattan Federal Court to Hold Elon Musk in Contempt

#5

Offending Tweet: https://twitter.com/elonmusk/status/1098009983931707393

Was that particular tweet the offender, or the two subsequent tweets?

> "Tesla made 0 cars in 2011, but will make around 500k in 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."

The article seems to suggest it was tweets about projected numbers.

Edit:

From the filing:

> "On February 19, 2019, Musk tweeted, “Tesla made 0 cars in 2011, but will make around 500k in 2019.” Musk did not seek or receive pre-approval prior to publishing this tweet, which was inaccurate and disseminated to over 24 million people. Musk has thus violated the Court’s Final Judgment by engaging in the very conduct that the pre-approval provision of the Final Judgment was designed to prevent. "

Re: SEC Asks Manhattan Federal Court to Hold Elon Musk in Contempt

#7
post #5

Offending Tweet: https://twitter.com/elonmusk/status/1098009983931707393

Was that particular tweet the offender, or the two subsequent tweets? > "Tesla made 0 cars in 2011, but will make around 500k in 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." The article seems to suggest it was tweets about projected numbers. Edit: From the filing: > "On February 19, 2019, Musk tweeted, “T…

According to the filing posted by another user, the first one.

Re: SEC Asks Manhattan Federal Court to Hold Elon Musk in Contempt

#9
post #6

Can the SEC really do this given the content of this tweet? Surely they can’t seek approval for every tweet about Tesla? What if he says he’s driving home from “the Tesla factory”. Does this count as a breach if he didn’t seek approval?

The order was to get approval for tweets that would have "material consequences for investors", so presumably just mentioning Tesla as part of his day to day routine would be fine.

But honestly, its not like its that hard to just not tweet about Tesla.

Re: SEC Asks Manhattan Federal Court to Hold Elon Musk in Contempt

#10
post #6

Can the SEC really do this given the content of this tweet? Surely they can’t seek approval for every tweet about Tesla? What if he says he’s driving home from “the Tesla factory”. Does this count as a breach if he didn’t seek approval?

Its about tweeting material information or disinformation about the company.

If he's saying he's driving home from the Tesla factory, that isn't material information. Him tweeting that Tesla is going to make 500k vehicles is material information and needs to be vetted by the agreed upon process per the settlement.

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