Tesla CEO Elon Musk trapped in alleged securities fraud

Tesla CEO Elon Musk trapped in alleged securities fraud

On Saturday Tesla CEO Elon Musk get trapped in alleged securities fraud by US Securities and Exchange Commission (SEC) as a tweet make a musk guilty and fine also step down as chairman of the company's board

According to authorities $20 million of fine will pay by the Musk and also by Tesla company and these are the following steps will be take :

• For Three years Musk will not longer be a board chairman as also he also ineligible to be re-elected to that position for three years. 
• New independent directors will be hire by Tesla 
• New Procedures and controls will established and also control over Musk's communications and authorities.

Under a court-approved process both fined with $20 million.

What did Elon Musk say in the tweets?

The fraud scene some when Musk Tweet about the company in his latest August Tweet as he was considering taking electronic car maker Tesla off the stock market
He also wrote about the " funding Secured " for a mysteries proposal which value Tesla at $420 per share.

According to SEC these are the false and misleading deal as the musk found to fraud with company.On the Other hand the musk is not confirmed that it is happened as he did not included key terms and price related to it. The Action of fraud is the "unjustified" it should be investigate again.

The SEC said that musk will remain on chief executive officer seat and he will not be allowed to change the rules and limits of CEO and chairman within the company.

Company has give musk 45 days to leave the role of CEO of Tesla.