SEC and Tesla support regulatory approval

(Reuters) – The US Securities and Exchange Commission, Tesla Inc. (TSLA.O) and chief executive officer Elon Musk tabled a joint document Wednesday supporting the settlement, saying the conditions were in the best interests of investors.

"We therefore respectfully submit that the court should accept and register the proposed consent judgments," they said in a letter to the US District Court of the Southern District of New York.

Last week, a federal judge ordered the SEC and Musk to justify, on Oct. 11, the settlement of their securities fraud, which allowed Musk to remain chief executive.

Musk agreed to pay a $ 20 million fine and to resign as chairman of the Tesla board for three years to settle the charges that could have forced him to leave his position. The company also accepted a fine of $ 20 million, although it was not charged with fraud.

However, Musk seemed to make fun of the SEC on Twitter last Thursday, just hours after the court ordered him to explain why their settlement was fair and reasonable.

"I just want [sic] that the Short Selling Enrichment Commission is doing an incredible job, "wrote Musk, a frequent critic of investors betting against the electric car manufacturer. "And the name change is so much on the point!"

Tesla shares fell 1.3% to $ 253.5 in pre-market transactions.