Tesla expands spending plan, receives new SEC subpoena on Musk

Tesla expands spending plan, receives new SEC subpoena on Musk


Tesla announced on Monday that it has increased its capital spending plan and received a second subpoena from the SEC (US CVM) over tweets from its CEO, Elon Musk, in 2018 about the electric car maker’s IPO.

The company now expects to spend $6 billion to $8 billion this year and each of the next two years, up from its original plan of $5 billion to $7 billion, as it looks to ramp up production at its new factories in Texas and Berlin.

Tesla said it received the subpoena on June 13. The regulator had previously subpoenaed the company about possible violations of an agreement that required Musk’s tweets about important news involving the company to be investigated.

The first call came days after Musk asked his Twitter followers if he should sell 10% of his shares in Tesla to pay taxes on stock options.

The company said Monday it would cooperate with government officials. The SEC declined to comment.

In 2018, Musk had settled a regulator’s lawsuit over his personal tweets by agreeing to allow the company’s lawyers to pre-approve tweets containing important information about the company before they were published by him.

In June, Musk appealed a judge’s refusal to terminate this 2018 agreement with the Commission.

Musk is also facing a lawsuit against Twitter for supporting the purchase of the social network and is now preparing for a legal confrontation in a trial expected to begin in October.