Elon Musk Suffers Big Setback over Tweets — and Sells $4B of Tesla Stock
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Elon Musk Suffers Big Setback over Tweets — and Sells $4B of Tesla Stock

3mo ago

The world's richest man says he has no further plans to offload stock in the electric vehicle company, which saw $126 billion wiped from its value in a single day this week.

Elon Musk Suffers Big Setback over Tweets — and Sells $4B of Tesla Stock

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Elon Musk has suffered a big setback after losing a legal fight with the U.S. Securities and Exchange Commission.

Since 2018, the world's richest man has been required to seek approval for tweets about Tesla from the company's lawyers.

That was part of an agreement reached with the SEC as punishment for tweeting that he had "funding secured" to take Tesla private.

Shares in the electric vehicle manufacturer surged at the time — and regulators accused the billionaire of misleading investors.

Now that Musk is on the brink of buying Twitter in a $44 billion deal, it's clear that he really doesn't want to be restricted in what he can post on his own site.

But unfortunately for him, a court threw out his request — meaning his legal team will still need to scrutinize his musings.

Judge Lewis Liman said Musk hadn't been forced to enter into this agreement — and he can't back out now he wishes he hadn't.

Although the 50-year-old claims the rules affect his rights to free speech, the SEC disagreed.

Still Tweeting about Tesla, Though…

Despite all of this, it hasn't stopped Musk from tweeting about Tesla.

It's recently emerged that he sold $4 billion worth of Tesla stock in the days after his Twitter deal was announced.

Tesla's "technoking" has since stressed that no further sales are planned.

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