SEC Lawsuit

[R1Fast]

Might be a little off-topic for any sub-forum, but just curious what everyone's perspective is on the SEC lawsuit. I'm concerned how it will affect Tesla amidst everything else in the melting pot (bad press, debt repayment, ramping/logistics issues) especially if Elon is forced to step down.

Tesla has endured some crazy $hit in the last couple of years which would have broken many companies. Yet the big T has always bounced back (and I am very happy about that). But this time it's the Fed and that seems like.... well.... serious trouble.

The crazy part is a small fine could have squelched the SEC mess (with no admission of guilt) but Elon chose to fight to be "true to himself". IMO - despite his reasons, it doesn't seem responsible to egg the Fed on with the current company climate. But I guess Elon will be Elon.

I am not a securities expert, but I am a shareholder, and today's drop definitely stung in an ominous way. On top of everything else this is a pretty heavy straw. What do you guys see as the outcome for Elon? Tesla? Anyone going as far as to reconsider purchase?

 

[MXWing]

There’s 29,999 other employees at Tesla.

If he’s not CEO, he’s chief product officer or “not a ceo” like not a flame thrower.

I’m probably the harshest on Musk of all the bulls and Tesla fans and I do not believe the vehicles will be negatively impacted short term or long term.

Giving up some control to the right person would be of benefit. Particularly someone who has high EQ and can spot traps set for them.

 

[Stacks]

I don’t see this mattering much for the future of the company. The media is saying the company is only Elon Musk, but that’s not why I believe in Tesla. I believe in the products and innovation. Elon has certainly been behind a lot of that but innovation can happen without him too.

 

[Tam]

...Elon chose to fight...

The settlement was a bargaining position from SEC. It failed so SEC increased its position to a lawsuit.

My take is: Elon Musk wanted to go private in order to get more controls and to be free from the nuisance of short sellers'.

The proposed settlement included:

1) banning him from his job for 2 years
2) the Board to appoint 2 independent Directors.

Accepting that settlement would make him lose more controls.

That's why the Board is supporting him to reject the settlement and will fight in court.

By going to court, the jury and the judge might see that the punishment does not fit the accused crime.

If he lost, Tesla has a very good history of taking in unpaid volunteers, thus, he could become the most powerful volunteer.

The stock price fluctuations are a normal knee-jerk reaction. Tesla will be fine in the long run.

 

[trini0t3y]

I think this is much to do about nothing and that Elon won’t even bat an eye about considering leaving as CEO (the best visionary and innovator in modern U.S. history - IMHO). The best and brightest want to work for him, be apart of a positive culture, and a revolutionary approach to transportation. Not one thing wrong with a young company that is disrupting the entire ICE industry and all things associated with it. That’s more than likely where all of the associated negativity is coming from. My vote is to keep on pressing the envelope.

 

[Fellsteruk]

Nothing to see here, keep moving....

I just hope Elon takes this as a chance to maybe relax a little more but we know he won’t.

A chairman looks after the investors a ceo looks after the conpany and profile so I honestly thing this is a good thing. He’s still captain of the ship!