Musk publicly floated the possibility of taking the company private in a tweet that sent shares fluctuating and company leadership scrambling. His claim that he had the “funding secured” came under particular scrutiny, as it may have violated an SEC rule that essentially stipulates public statements made by company executives must be true.
Musk explained earlier this week that the Saudi Arabian sovereign wealth fund had expressed interest in taking Tesla private. The Saudia Arabian sovereign wealth fund declined to comment.
Fox Business Network’s Charles Gasparino alo reported the SEC subpoena on Wednesday, a few hours ahead of the New York Times report, adding to Tesla’s losses for the day.
Source : CNBC
