‘Nine shareholders’ win in Delaware court… Musk’s ’74 trillion won in damages’ will fly away
‘We lost the case to Ants’ Musk threatens to relocate the Tesla corporation
‘Nine shareholders’ win in Delaware court… Musk’s ’74 trillion won in damages’ will fly away
(Seoul = Yonhap News) Reporter Hanjoo Yu = Elon Musk threatened to move the Tesla corporation to Texas in protest against losing a case to minority shareholders in a Delaware state court.
According to Reuters on the 1st (local time), immediately after the ruling on And a survey was posted on this day asking:
More than 87% of the 1.1 million people who took part in the vote were in favor of this.
Musk then announced that “public vote results clearly support Texas,” and that “Tesla will immediately hold a shareholder vote to transfer its corporate registration to Texas.”
Tesla is registered as a corporation in Delaware and has a factory in Texas.
This is interpreted as an expression of dissatisfaction with the Delaware court invalidating the $56 billion (about 74.7 trillion won) in compensation that Musk was supposed to receive on the 30th of last month.
Tesla minority shareholder Richard Tornetta previously filed a lawsuit in 2022, alleging that Tesla failed to disclose important information to shareholders when the Tesla board approved a compensation payment of this size to Musk in 2018. Toneta was a shareholder minority with 9 shares of Tesla stock at the time.
The compensation at the time was that Musk would not receive a salary or bonus from Tesla, but would instead receive stock options worth up to 110 million shares in 12 installments depending on whether goals such as company sales and market capitalization were met fulfill them.
A Delaware state court ruled that the compensation was invalid, saying, “The board’s process for approving his compensation was deeply flawed.” It was also stated that “the plaintiff has the right to request the cancellation (approval of the board of directors).”
Musk plans to appeal, but right now, he’s at risk of having to return it.
In 2021, Musk moved Tesla’s headquarters from Palo Alto, California to Austin, Texas, after experiencing conflict with the state of California over regulatory and tax issues.
hanju@yna.co.kr
(end)
<저작권자(c) 연합뉴스, 무단 전재-재배포, AI 학습 및 활용 금지>
Yu Han-joo
#lost #case #Ants #Musk #threatens #relocate #Tesla #corporation
