Elon Musk sued for fraud
New York, Sep 28 : The Securities and Exchange Commission (S.E.C.) has filed a lawsuit accusing Tesla Inc. founder Elon Musk of committing fraud by making false public statements with the potential to hurt investors, a move that could force him out of the companys leadership.
The lawsuit filed on Thursday in a federal court here seeks to bar Musk from serving as an executive or director of publicly traded companies like Tesla, reports The New York Times.
Such a punishment is one of the most serious remedies the S.E.C. can impose against a corporate executive. At issue is Musk's declaration on Twitter last month that he had "funding secured" to buy out the stock of the electric-car maker.
The prospect created a firestorm on social media and in the markets that sent Tesla's shares soaring. The case could lead to a re-evaluation of how companies use Twitter to communicate with the investing public.
The S.E.C. said Musk "knew or was reckless in not knowing" that his statements were false or misleading.
"In truth and in fact, Musk had not even discussed, much less confirmed, key deal terms, including price, with any potential funding source," it said in its lawsuit.
Musk responded later on Thursday, calling the move "unjustified".
"This unjustified action by the S.E.C. leaves me deeply saddened and disappointed. I have always taken action in the best interests of truth, transparency and investors. Integrity is the most important value in my life and the facts will show I never compromised this in any way," the billionaire businessman said in a statement.
The S.E.C. approached the Tesla chief with an offer to settle the case, an informed source told The New York Times, but he refused to negotiate, adamant that he had done nothing wrong.
Tesla has become the most valuable American carmaker, with its stock worth more than $50 billion. But the company's shares tumbled more than 12 per cent in after-hours trading after the S.E.C. filed its lawsuit.
The lawsuit is the latest in a series of escalating problems for Tesla and Musk. The company has been struggling to achieve the ambitious production targets that Musk had publicly outlined.
He has made a series of unusual public comments or appearances, including an internet interview in which Musk appeared to smoke marijuana.
Let the Truth be known. If you read VB and like VB, please be a VB Supporter and Help us deliver the Truth to one and all.
FIR against 40 social media accounts for spreading anti-national, misleading content; 25 arrested
Lucknow, May 13 (PTI): Uttar Pradesh Police on Tuesday said it has registered FIR against 40 social media accounts and arrested 25 people for spreading anti-national content and misleading posts related to Operation Sindoor.
Acting on the directions of Chief Minister Yogi Adityanath, Director General of Police Prashant Kumar instructed officials to identify individuals disseminating false or provocative information online and take strict legal action against them.
A special team under the close supervision of Additional Director General (Law & Order) Amitabh Yash has been conducting round-the-clock monitoring of various social media platforms from the police headquarters' social media centre, it said.
"So far, 40 accounts have been identified and FIRs have been registered against them in respective districts. A total of 25 individuals have been arrested," the statement said.
Efforts are also underway to block all 40 accounts through the cyber crime headquarters, it added.
DGP Kumar appealed to the public not to share any unverified information that could spread panic, mislead citizens, or tarnish the image of the Indian Army.
He urged people to verify any news, images, or videos through the official Uttar Pradesh Police fact-check handle on X.
The police asserted that posting or sharing misleading, false, or anti-national content on social media is a punishable offence, and surveillance of all platforms is being carried out 24x7.
