Former SEC lawyer: Elon Musk ‘funding secured’ tweet didn’t deserve a lawsuit

There's a difference between fraud and just being irresponsible. That's how former U.S. Securities and Exchange Commission lawyer Thomas Gorman defends his opinion that his former employer probably went too far in suing Tesla CEO Elon Musk over the controversial entrepreneur's now infamous nine-word tweet back in August. The one in which he proposed taking Tesla private and casually mentioned that funding had been secured.

The agency is contending that Elon made "false and misleading" statements around that tweet, breaking securities law and harming investors. Not so fast, though, says the former SEC lawyer: "There's a reasonable basis for what he said," Gorman told Business Insider about Musk's tweet. 

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Former SEC lawyer: Elon Musk ‘funding secured’ tweet didn’t deserve a lawsuit originally appeared on BGR.com on Fri, 28 Sep 2018 at 17:21:30 EDT. Please see our terms for use of feeds.

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