Elon Musk out: Tesla announces new board chair

Daniel Fowler
November 8, 2018

However, she will step down temporarily from her role as chairwoman of Tesla's Audit Committee until she has worked her six-month notice period at Telstra, the company said.

Musk sparked an SECC investigation into Telsa by claiming on Twitter he had secured funding to take the company private from the Saudi sovereign investment fund.

However, Telstra said in a financial filing of its own [pdf] that while the Tesla role would begin on November 13, Denholm would have to continue in the CFO and head of strategy role at the telco until May 6, 2019.

USA authorities sued Mr Musk for misleading investors and as a result Tesla and Mr Musk were each required to pay a fine of $20m.

Bye, Musk. Tesla just announced a new chair to its board. "Great respect. Very much look forward to working together", Musk tweeted early on Thursday.

Tesla has endured a hard few months, following comments Mr Musk made on social media in early August suggesting he had "funding secured" for a deal to take Tesla private.

A statement from Ms Denholm said she believed in Tesla and looked forward "to helping Elon and the Tesla team achieve sustainable profitability and drive long-term shareholder value".

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Twenty-First Century Fox Chief Executive, James Murdoch, who also sits on the Tesla board, was tipped to succeed Musk before today's announcement was made.

A Tesla spokeswoman said Denholm would receive an annual cash retainer of $300,000 and 8,000 stock options annually.

"The market reacted to this information and Tesla's stock price quickly traded up", said Stephanie Avakian, the SEC's Co-Director of the Division of Enforcement, in a September news conference.

It all started with an August 7 tweet.

In the settlement, the SEC pulled back from its demand that Musk, who is synonymous with the Tesla brand, be barred from running Tesla, a sanction that many investors said would be disastrous. Most commenters approve of Tesla's decision though there are a few upset by it.

Musk then raised eyebrows last month when he appeared on Joe Rogan's podcast and smoked weed on air.

South African-born Musk called Unsworth "a pedo guy" after he criticized him in a television interview about the dramatic rescue and called his called Musk's mini-submarine a "PR stunt".

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