Elon Musk’s trial began Tuesday in San Francisco with the selection of jury members who will have to decide whether the head of “Tesla” and “Twitter” wrote a fraudulent tweet in 2018 as investors accuse him.
According to the media US, the case dates back to August 2018, when Musk tweeted that he wanted to delist Tesla because he had sufficient funds to do so. Which caused the company’s share price to fluctuate wildly for a few days.
I’m thinking about getting Tesla private at $420. Secured financing.
– Elon Musk (@elonmusk) August 7, 2018
The trial will last three weeks and Elon Musk is on the witness list.
“Prosecutors say these tweets were in fact false and artificially affected the stock price of Tesla and other securities,” Judge Edward Chen told prospective jurors.
The judge on Friday refused to transfer the proceedings to the US state of Texas, where Elon Musk has transferred the headquarters of Tesla.
Musk’s lawyers argued the billionaire could not enjoy a fair trial in San Francisco, where he bought Twitter in late October and has been widely criticized for his decisions, from the platform’s content management policy to mass layoffs. .
“In recent months, i media have inundated this region with distorted and negative stories about Musk,” the lawyers said in their filing.
They added: “The local press, contrary to its usual way of covering welfare plans, blamed Musk personally for the job cuts and even accused him of breaking the law. Local elected officials, including the mayor of San Francisco, participated in the protests against him.”
But Judge Edward Chen held that an impartial jury could be set up in the California city.
In an earlier decision related to this case, the judge ruled that the famous 2018 tweet could be considered “false and misleading”.
And the tweets of the head of “Tesla” have already caused disagreements between him and the authorities.
The Securities and Exchange Commission filed a complaint over that tweet, holding that Elon Musk failed to deliver prove to have the necessary funding.
At that time, the agency that oversaw the stock exchange forced him to relinquish the chairmanship of the Tesla board of directors, pay a $20 million fine, and in he later requested that his tweets relating to “Tesla” activity be pre-approved by a specialist lawyer.
Elon Musk tried unsuccessfully in spring to reverse this decision.
Read More About: Technology News
The post Due to a “fraudulent tweet”… Elon Musk’s trial begins appeared first on Asume Tech.
from Technology - Asume Tech https://asumetech.com/due-to-a-fraudulent-tweet-elon-musks-trial-begins/
No comments:
Post a Comment