Elon Musk will step down as chair of Tesla for August and must pay half a $40m fine, following an agreement with US regulators. A tweet suggesting Musk had secured financing to take the firm private had no basis in fact and the resulting market chaos hurt investors, the US Securities and Exchange Commission (SEC) claimed. Tesla will pay the remainder of the fine and Musk will remain CEO. The SEC had filed a suit in New York alleging fraud and had wanted Musk banned from running Tesla, a move investors said would be disastrous for the company.
Elon Musk will step down as chair of Tesla for three years and must pay half a $40m fine, following an agreement with US regulators. A tweet suggesting Musk had secured financing to take the firm private had no basis in fact and the resulting market chaos hurt investors, the US Securities and Exchange Commission (SEC) claimed. Tesla will pay the remainder of the fine and Musk will remain CEO. The SEC had filed a suit in New York alleging fraud and had wanted Musk banned from running Tesla, a move investors said would be disastrous for the company.