Elon Musk says tweet that cost him $20 million was 'worth it'

  • 28/10/2018
Elon Musk.
Elon Musk. Photo credit: Getty

Tesla chief executive Elon Musk said the tweet that cost him and the company $20 million in fines each by the US Securities and Exchange Commission (SEC) was "worth it".

The tweet, sent late Friday evening less than an hour before Musk tweeted that he would take a break from Twitter "for a few days", was in response to a question from a Twitter follower.

Mr Musk earlier tweeted that on Twitter, "likes are rare and criticism is brutal. So hardcore. It's great."

The SEC in September charged Mr Musk, 47, with misleading investors with tweets on August 7 that said he was considering taking Tesla private at US$420 a share - widely believed to be a marijuana joke - and had secured funding. The tweets had no basis in fact, and the ensuing market chaos hurt investors, regulators claimed.

Tesla and Mr Musk agreed to pay US$20 million each to financial regulators, and the billionaire will step down as the company's chairman - but remain as chief executive, under a settlement.

Under the settlement agreement, Tesla needs to appoint an independent chairman by November 13.

Mr Musk has been involved in a number of controversies this year, many of them involving Twitter.

Reuters / Newshub.