The billionaire CEO of Tesla, Elon Musk, goes to trial on Tuesday after the company’s shareholders filed a lawsuit in which they defend that he manipulated the price of the shares by posting a controversial message on his Twitter profile about the privatization of the company.
Musk posted a tweet in 2018 stating that he was “locked in” to take Tesla private at a price of $420 per share, causing the company’s shares to rise 11 percent, which were subsequently devalued, reaching to $263 a month later, as reported by CNN.
Despite his claims to have the funds “secured,” Judge Edward Chen in April rejected a request by Musk, as well as other top executives at the company, to dismiss the case, saying “no reasonable jury could find the tweets.” of Musk accurate or not misleading”.
The trial, which will take place in a federal district of San Francisco, will last a few weeks and if the judge rules in favor of the shareholders, Musk would have to pay a fine valued at billions of dollars.
