Elon Musk’s settlement with SEC watchdog gets court approval

The settlement reached between Elon Musk and the US stock market watchdog SEC over Musk’s use of Twitter has been approved by a judge. Part of the settlement is that the Tesla CEO must have all Twitter messages containing stock-sensitive information approved.

Earlier, a judge indicated that Elon Musk and the SEC had to resolve their Twitter dispute among themselves, after which their agreement still had to receive judicial approval. The latter has now happened, Reuters writes. Further details were not disclosed, such as whether Musk will have to pay another fine as part of the settlement; he previously had to pay $20 million to the SEC. Musk said earlier that this payment was worth it. He also had to relinquish his position as chairman of the board.

Under the court-approved deal with the SEC, the Tesla CEO must now first submit Twitter messages containing stock-sensitive information about Tesla to a lawyer within the company. This means he can no longer just post Twitter messages about Tesla’s financial track record, any acquisition plans, or data on delivery numbers.

Incidentally, an SEC committee member, Robert Jackson, has openly expressed outrage over the deal. “Given Musk’s behavior, I cannot support the settlement in which he does not admit what is crystal clear to everyone who has followed this bizarre series of events,” Jackson said. He believes that Musk has broken the previously concluded agreement with the SEC and American investors.