Securities and Exchange Commission files complaint against Elon Musk

Posted at 2:52 PM, Sep 27, 2018
and last updated 2018-09-27 16:53:37-04
Elon Musk
Tesla CEO and founder of the Boring Company Elon Musk. (AP Photo/Kiichiro Sato)

DETROIT (AP) – U.S. securities regulators have filed a complaint against Tesla CEO Elon Musk alleging that he made false and misleading statements about plans to take the company private in August.

The Securities and Exchange Commission says in the complaint filed Thursday that Musk falsely claimed in an Aug. 7 statement on Twitter that funding was secured to take the company private at $420 per share.

The complaint filed in the U.S. District Court in Manhattan says that Musk had not discussed or confirmed key deal terms including price with any funding source.

The commission is asking the court for an order stopping him from making false and misleading statements along with repayment of any gains as well as civil penalties.

A message was left Thursday seeking comment from Tesla.

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