Elon Musk and Team Express Frustration with SEC’s Actions

Recently, Tesla’s CEO Elon Musk, represented by his lawyer Alex Spiro, has filed a court petition to address grievances with the Securities and Exchange Commission (SEC). Musk and Spiro have accused the SEC of unfairly targeting Tesla, alleging that the commission is inhibiting Tesla’s operations to benefit other companies. They further claim that the SEC is intentionally withholding funds from Tesla’s shareholders.

In a letter to the court, Musk and Spiro expressed their concerns, stating, “We write to alert the Court to a pattern of conduct by the Securities and Exchange Commission (the ‘SEC’) that has gone beyond the pale. Simply stated, the SEC has failed to comply with its promise to pay Tesla’s shareholders the $40 million it collected as part of the settlement in these cases and that it purports to be holding for them. Instead, it has been devoting its formidable resources to endless, unfounded investigations into Mr. Musk and Tesla. We are respectfully requesting that the Court schedule a conference to address why the SEC has failed to distribute these funds to shareholders but has chosen to spend its energy and resources investigating Mr. Musk’s and Tesla’s compliance with the consent decree by issuing subpoenas unilaterally, without Court approval.”

Elon Musk and Tesla accuse SEC of ‘harassment campaign’ https://t.co/BKs4frUB3j

— Financial Times (@FinancialTimes) February 17, 2022

Musk and Tesla have criticized the SEC for its focus on scrutinizing Musk’s public statements on Twitter while neglecting its obligations to Tesla’s shareholders. They call for a reevaluation of the SEC’s approach, highlighting the need for oversight and court approval in the commission’s investigations. Despite the SEC’s consistent probes, Musk and Tesla emphasize that no evidence of wrongdoing has been found.