Market Chatter: Tesla Directors to Pay Back up to $919 Million to Settle Overpayment Claims

MT Newswires Live01-09 21:00

Tesla (TSLA) directors received court approval for a settlement of up to $919 million to resolve claims they overpaid themselves, Reuters reported Wednesday, citing an attorney and a shareholder.

The settlement requires board members, including Chair Robyn Denholm, to return about $277 million in cash and $459 million in stock options, and to relinquish stock options worth $184 million, the report said. Other directors named in the case included James Murdoch and Oracle (ORCL) co-founder Lawrence Ellison.

The Delaware judge also granted law firms that brought the case $176 million in fees and costs, the report said. The directors did not admit wrongdoing, Reuters added.

Tesla did not immediately reply to MT Newswires' request for comment.

(Market Chatter news is derived from conversations with market professionals globally. This information is believed to be from reliable sources but may include rumor and speculation. Accuracy is not guaranteed.)

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