Elon Musk and his electric vehicle maker escaped yet another disaster on Tuesday as a U.S. judge approved their settlement with the Securities and Exchange Commission over Musk's errant August 7 tweet about taking the company private.
Musk also has to step down as chairman and get approval from company lawyers before sending Tesla-related tweets. However, one requirement of the settlement amongst others was to appoint a neutral Chairman on the company's Board; the reason being initiating additional oversight on the part of Mr. Musk. The surprising tweet caused Tesla's share price to rise quickly, before dropping almost 30 percent. Federal securities regulators reportedly served Tesla with a subpoena just a week after the tweet. Nevertheless, less than 40 minutes after his tweet about Your Name, Musk tweeted the message "It is time to create a mecha".
The settlement has been approved by U.S. District Judge Alison Nathan in Manhattan.
Tesla and the SEC declined requests for comment. That led to the SEC imposing a $20 million fine each, on Musk and Tesla.
That tweet was followed by a photo titled "Visual approximation" featuring a red bottle label with a banner that reads "Teslaquila" under the company's signature Tesla logo.
Billionaire entrepreneur Elon Musk may be going into the liquor business.
If you wanted to rip off Elon Musk's idea for Tesla-branded tequila, you may be out of luck.
The Financial Times reported last week that outgoing Twenty-First Century Fox Inc CEO James Murdoch, a son of Fox mogul Rupert Murdoch, was the lead candidate to replace Musk as chairman. Tesla has until November 13 to appoint an independent chairman.
But what really made the Twitter discussion productive was when someone asked Musk if he has watched "Neon Genesis Evangelion", an anime about psychologically disturbed teenagers piloting giant "mecha" robots.