Legal Rollercoaster Ride

The SEC accused Elon of securities fraud, alleging his tweets had deceived investors and artificially inflated Tesla’s stock price. After negotiations, Tesla and the CEO reached a settlement, with each paying a hefty $20 million fine. He was also compelled to step down from the board while the company implemented a strict policy requiring legal approval for his future tweets on “material information.”

A U.S. judge later determined that Elon’s 2018 tweets were inaccurate and reckless, finding no concrete evidence to support his funding claims. The SEC’s ongoing investigation and a revised settlement underscored the need for tighter oversight of his Twitter activity.

Next: A new model and a factory to boost production.