A federal judge will hear oral arguments about whether Elon Musk should be held in contempt of court for violating an agreement with the U.S. Securities and Exchange Commission.
A federal judge will hear oral arguments Thursday about whether Musk should be held in contempt of court for violating an agreement with the U.S. Securities and Exchange Commission.
Musk's 13-word tweet on Feb. 19 said Tesla would produce around 500,000 vehicles this year. But the tweet wasn't approved by Tesla's "disclosure counsel," and when the contempt-of-court motion was filed in February Musk had not sought a lawyer's approval for a single tweet, the SEC said. Meanwhile, Tesla's shares fell 8% in midday trading Thursday after the company said it churned out 77,100 vehicles in the first quarter, well behind the pace it must sustain to fulfill Musk's pledge to manufacture 500,000 cars annually.
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