Regulator Sues Elon Musk for fraud, Seeks Removal from Tesla

New York: The Securities and Exchange Commission (S.E.C.) has filed a lawsuit accusing Tesla Inc. founder Elon Musk of committing fraud by making false public statements with the potential to hurt investors, a move that could force him out of the company's leadership. The lawsuit filed on Thursday in a federal court here seeks to bar Musk from serving as an executive or director of publicly traded companies like Tesla, reports The New York Times. Such a punishment is one of the most serious remedies the S.E.C. can impose against a corporate executive. At issue is Musk’s declaration on Twitter last month that he had “funding secured” to buy out the stock of the electric-car maker. Musk responded later on Thursday, calling the move “unjustified”. (IANS)