Elon Musk is in for a difficult October. In addition to the Twitter litigation, he will have to negotiate with Tesla shareholders.
On Friday, a federal court ruled that shareholders of Elon Musk and Tesla unhappy with his social media activity will meet at a settlement conference on Oct. 3.
Madness on Twitter
The conflict with investors who invested in Elon Musk’s company concerns records that the billionaire posted on Twitter in 2018. He then stated that he had enough money to privately take over Tesla and take the company off the stock exchange.
The Securities and Exchange Commission considered this statement misleading. Musk agreed to pay a $20 million fine and stepped down as CEO of Tesla. However, the controversy does not end there, as the record caused sharp fluctuations in the value of the company’s shares. Shareholders believe that they have lost billions of dollars because of this.
If the parties fail to reach an agreement during the October meeting, Musk’s trial with shareholders will begin in January next year.
Process with Twitter
Muska will have a difficult October, including due to a lawsuit with Twitter authorities. The billionaire had to buy the portal for $44 billion. However, he unexpectedly resigned, explaining that Twitter did not want to provide him with fake account data.
Twitter filed a forced sale lawsuit, alleging Musk changed his mind after a market crash that slashed his personal fortune by more than $100 billion. Last week, a Delaware judge granted Twitter’s request for an expedited process. The five-day trial period will begin in October.
Source: Wprost
