The Securities & Exchange Commission appears to be holding an in-depth eye on Tesla Inc.’s accounting after a really public battle with its chief government.
The Securities & Exchange Commission has previously had run-ins with Tesla TSLA, +0.72% Chief Executive Elon Musk; however, these fights have largely targeted on Musk’s extracurricular actions, particularly tweets that will disclose materials info.
After Musk advised on Twitter Inc.’s TWTR, +0.68% service the last year that he was contemplating taking the corporate private at $420 a share, SEC accusations of stock manipulation were settled with a $40 million effective split between Musk and Tesla and an agreement that Musk would step down as chairman and Tesla would appoint new independent administrators to the board. That settlement was later amended with more specific language about what Musk is allowed to tweet after the SEC felt Musk ran afoul of the settlement with a tweet about anticipated manufacturing on the electrical-automotive firm.
The current correspondence has much less to do with Musk, as an alternative largely falling on the shoulders of Tesla’s new Chief Financial Officer, Zachary Kirkhorn, and Tesla’s authorized division. Filings uploaded Wednesday to the SEC’s online database present the regulator questioning Tesla’s annual report, issued in February, and a quarterly report issued in July.
In a Sept. 25 follow-up, the regulator agreed that data in six displays included with regulatory filings from 2017 and 2018 could possibly be redacted till September 2020. Tesla didn’t instantly reply to a request for touch upon the correspondence. Tesla’s shares gained 0.7% to $331.29 within the common session Wednesday, then fell 0.4% in after-hours trading.