Tesla’s Chair Under Scrutiny for Oversight of Elon Musk

Elon Musk’s $56 billion pay package, approved by Tesla’s board in 2018, was revoked by a Delaware court. The board, deemed “beholden to Musk,” has not updated shareholders on the next steps. Legal experts anticipate an appeal to the Delaware Supreme Court. The lawsuit was filed on behalf of all Tesla investors, with the plaintiff owning only nine Tesla shares. The judge found the board’s approval process “deeply flawed,” with key details omitted and inaccurate statements provided to shareholders. The board, including Musk, his brother Kimbal, Chairwoman Robyn Denholm, and former Tesla technology chief JB Straubel, has remained silent. The next step involves an “implementing order” between the court, Musk’s team, and the plaintiff’s lawyers. Meanwhile, shareholders await answers.

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