ADVERTISEMENT

Tesla Was Part of Scrapped SEC Agreement

Tesla Was Part of Scrapped SEC Agreement

(Bloomberg) -- A scrapped settlement between the Securities and Exchange Commission and Elon Musk also involved Tesla Inc., according to a person familiar with the matter.

The deal, which fell apart, would have included a temporary bar on Musk from serving as the company’s chairman. He would have faced financial penalties of between $5 million and $10 million, said the person who asked not to be named because the settlement wasn’t public.

Tesla would have paid a lesser financial penalty under the accord, the person said.

SEC spokesman Ryan White declined to comment.

To contact the reporter on this story: Ben Bain in Washington at bbain2@bloomberg.net

To contact the editors responsible for this story: Jesse Westbrook at jwestbrook1@bloomberg.net, Gregory Mott

©2018 Bloomberg L.P.