Action against Defendants, a car company and its CEO and former Chairman, in connection with a series of allegedly false and misleading Twitter communications by Defendant CEO.  According to the SEC, Defendant CEO tweeted to followers that, subject to a shareholder vote, Defendant company had secured sufficient funding to go private at a higher price than its trading price.  The SEC alleges that Defendant CEO knew that the transaction was not definite and that he had not yet discussed or agreed to terms with any financing partners.  The SEC further alleges that Defendant company failed to implement controls or procedures to determine whether Defendant CEO’s tweets were accurate or contained information that should be disclosed in SEC filings.  Each Defendant has agreed to pay a civil penalty of $20 million.

SEC Press Release 

SEC Statement 

SEC Complaint – Tesla 

SEC Complaint – Musk