Report: Feds investigating whether Musk’s buyout tweet broke the law

Enlarge / Elon Musk speaks at the 68th International Astronautical Congress 2017 in Adelaide on September 29, 2017. (credit: PETER PARKS/AFP/Getty Images)

The Securities and Exchange Commission is investigating whether Elon Musk broke federal law on Tuesday when he tweeted about plans to take Tesla private at a price of $420 per share, The Wall Street Journal is reporting.

“Am considering taking Tesla private at $420,” Musk tweeted on Tuesday. “Funding secured.”

US law makes it a crime to “spread false or misleading information about a company” with the intent of manipulating its stock price, according to the SEC.

Read 8 remaining paragraphs | Comments

Source: Ars Technica

Leave a Reply

Your email address will not be published. Required fields are marked *

ten + five =