09:50 GMT +318 October 2018
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    SpaceX founder and chief executive Elon Musk speaks after announcing Japanese billionaire Yusaku Maezawa as the first private passenger on a trip around the moon, Monday, Sept. 17, 2018, in Hawthorne, Calif

    Elon Musk to Step Down as Tesla Chairman in SEC Deal

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    Electic entrepreneur Elon Musk will settle a suit with the US Securities and Exchange Commission by paying a fine and stepping down as chairman of the Tesla Inc, the electric auto and battery tech company he co-founded in 2003.

    Musk will settle an SEC case resulting in tweets the tech exec posted that caused Tesla share prices to veer sharply.

    On Thursday the SEC announced that they would sue Musk for securities fraud, according to the BBC.

    According to reports, Musk negotiated a settlement with the US agency on Saturday in which he will stay on as the CEO of Tesla but resign from his post as chairman for a period of three years.

    Musk must also pay a $20 million fine for his allegedly fraudulent actions.

    Related:

    Tesla CEO Elon Musk Calls US Regulator’s Accusations of Fraud ‘Unjustified’
    SEC Sues Elon Musk for Securities Fraud
    Tesla Reportedly Under DoJ Scrutiny Following Musk's Plans to Make It Private
    Tags:
    fraud, fine, lawsuit, resignation, Tesla Motors, US Securities and Exchange Commission (SEC), Elon Musk, United States
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