District Court: Deal Terms and Funding Source

district court: The SEC filed a lawsuit that seeks to bar Tesla CEO Elon Musk from serving as an executive or director of publicly traded companies, according to The Toronto Star. Luis Sinco / Tribune News Service file photo The complaint filed in U.S. District Court in Manhattan says that Musk had not discussed or confirmed key deal terms including price with any funding source. The Securities and Exchange Commission says in the complaint filed Thursday that Musk falsely claimed in an Aug. 7 statement on Twitter that funding was secured to go private at 420 U.S. per share, a substantial premium over the price at the time. It also asks for an order enjoining Musk from making false and misleading statements along with repayment of any gains as well as civil penalties. An officer's celebrity status or reputation as a technological innovator does not give license to take those responsibilities lightly. Corporate officers hold positions of trust in our markets and have important responsibilities to shareholders, Steven Peikin, co-director of the SEC's Enforcement Division, said in a statement. (news.financializer.com). As reported in the news.