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action or later. Please see Debugging in WordPress for more information. (This message was added in version 6.7.0.) in /home4/scienrds/scienceandnerds/wp-includes/functions.php on line 6114Source:https:\/\/techcrunch.com\/2023\/05\/15\/chief-twit-elon-musk-loses-appeal-to-be-able-to-tweet-about-tesla-unchecked\/<\/a><\/br> Elon Musk lost another bid to end a 2018 settlement with the U.S. Securities and Exchange Commission that requires oversight of some of his Tesla-related tweets.<\/p>\n The 2nd U.S. Circuit Court of Appeals in Manhattan rejected Musk\u2019s argument that the consent decree reached in 2018 is a \u201cprior restraint\u201d on his speech. Musk, who is the majority shareholder and CEO of Tesla, bought Twitter<\/a> in October 2022.<\/p>\n \u201cHad Musk wished to preserve his right to tweet without even limited internal oversight concerning certain Tesla-related topics, he had \u201cthe right to litigate and defend against the [SEC\u2019s] charges\u201d or to negotiate a different agreement \u2014 but he chose not to do so,\u201d the three-judge court panel ruled Monday.<\/p>\n The Twitter sitter \u2014 a Tesla lawyer who is supposed to review some of Musk\u2019s company-related tweets \u2014 is one of the requirements in an SEC securities fraud settlement agreement that stemmed from Musk\u2019s now infamous \u201cfunding secured\u201d tweet. The SEC alleged in a complaint filed in September 2018 that Musk lied when he tweeted on August 7 that he had \u201cfunding secured\u201d for a private takeover of the company at $420 per share.<\/p>\n Under the settlement, Musk agreed to\u00a0step down as chairman<\/a> of Tesla and pay a $20 million fine. Tesla also agreed to pay a separate $20 million penalty. The SEC said the charge and fine against Tesla is for failing to require disclosure controls and procedures relating to Musk\u2019s tweets.<\/p>\n The settlement didn\u2019t end the issue with Musk\u2019s tweets. The SEC later took issue with a Musk tweet that posted previously unknown material information that Tesla would produce \u201caround\u201d 500,000 cars this year. He corrected himself hours later to clarify that he meant the company would be producing at an annualized rate of 500,000 vehicles by year-end.<\/p>\n The SEC sought to hold him in contempt<\/a> for violating the 2018 agreement. A judge in that dispute required Tesla, Musk and the SEC to work out their differences and come to a new resolution. An agreement was reached in April 2019<\/a>\u00a0that gave Musk freedom to use Twitter \u2014 within certain limitations \u2014 without fear of being held in contempt for violating an earlier court order.<\/p>\n Musk can tweet as he wishes except when it\u2019s about certain events or financial milestones. In those cases, Musk must seek pre-approval from a securities lawyer, according to the agreement filed with Manhattan federal court.<\/p>\n In 2022, Musk\u2019s lawyers made a motion to end the 2018 consent decree over allegations that the SEC had misused it to \u201claunch endless, boundless investigation\u201d of Musk\u2019s speech and intrudes on his First Amendment right to free speech.<\/p>\n U.S. District Judge Lewis Liman denied the motion<\/a> and the settlement agreement stood. Lawyers appealed the ruling, sending the issue to the 2nd U.S. Circuit Court of Appeals.<\/p>\n<\/p><\/div>\n <\/br><\/br><\/br><\/p>\n
\nChief Twit Elon Musk loses appeal to be able to tweet about Tesla unchecked<\/br>
\n2023-05-15 21:36:45<\/br><\/p>\n