Tuesday, December 3, 2024
Year : 2, Issue: 14
Anadolu Agency: A court in the US state of Delaware has reiterated the decision to reject billionaire Elon Musk’s $56 billion compensation package for his electric car firm Tesla.
Delaware Judge Chancellor Kathaleen McCormick’s Monday decision came after she rejected the pay package in January. She repeated her decision despite the approval of Tesla shareholders.
In January, McCormick called the package excessive, an “unfathomable sum.”
“Never incorporate your company in the state of Delaware,” Musk said on his media platform X after the first decision to block the package.
Many firms incorporate in the small northeastern state due to what are seen as its business-friendly policies. Musk later announced that he would move Tesla to Texas.
In June, Tesla shareholders voted in favor of Musk’s canceled multi-billion dollar package and proposals to move the company to Texas, saying that votes in favor of the package could give Musk an advantage for the reevaluation.
After President-elect Donald Trump won the Nov. 5 presidential elections, the value of the pay package rose to about $101 billion.
Trump has signaled that he will give a government advisory post to Musk, a top Trump supporter who media reports say has the incoming president’s ear.