Plus   Neg

Tesla Shares Fall After Chief Accounting Officer's Resignation


Shares of Tesla Inc. (TSLA) are losing more 9 percent in Friday's regular trading session after the luxury electric car maker's Chief Accounting Officer Dave Morton resigned on September 4, after just a month in the job.

In a regulatory filing, Morton said, "Since I joined Tesla on August 6th, the level of public attention placed on the company, as well as the pace within the company, have exceeded my expectations. As a result, this caused me to reconsider my future."

Morton clarified that he believes strongly in Tesla, its mission, and its future prospects, adding that he has no disagreements with Tesla's leadership or its financial reporting.

Tesla's accounting functions and personnel will continue to be overseen by both its Chief Financial Officer Deepak Ahuja and its Corporate Controller, as had been the case prior to Morton joining Tesla.

Tesla's Chief People Officer Gabrielle Toledano is on a leave of absence since late August, while Doug Field, Tesla's senior vice president of engineering, took a leave of absence in May and eventually did not return.

The news of Morton's resignation comes just after Tesla founder and CEO Elon Musk's interview with comedian Joe Rogan Thursday night. Musk appeared to smoke marijuana and also sipped whiskey during the live interview on 'The Joe Rogan Experience' podcast.

Musk took viewers by surprise after he accepted what Rogan said was a joint of marijuana and tobacco, and took a puff. The interview took place in California, a state that legalized the recreational use of marijuana this year.

Earlier on Thursday, Andrew Left of Citron Research said he has filed a lawsuit against Tesla and Musk for violating federal securities laws. The activist short seller has alleged in the lawsuit that Musk manipulated the price of Tesla shares by issuing materially false and misleading information.

The lawsuit cites Musk's tweet on August 7 about taking Tesla private.

"Am considering taking Tesla private at $420. Funding secured," Musk had tweeted at that time.

For comments and feedback contact: editorial@rttnews.com

Business News

Follow RTT