JPMorgan questions Tesla’s control on pay

There was a time where it seemed as if Elon Musk’s tweets were going to cause Elon Musk’s life to be a waste.

Not anymore.

The electric car company’s CEO and founder tweeted late last month that he was personally funding a Tesla buyout (just in case you didn’t already know).

As soon as he tweeted it, Tesla shares started to spike – and then the stock market got upset, pointing out that there was no explanation for the tweet.

Now it appears that JPMorgan Chase has a few words of its own about a tweet it feels would have made Tesla’s board stronger – even if it was the first tweet by Musk since taking a 10% stake in the company earlier this year.

On Thursday, the bank released a report (PDF) that said Tesla “lacks sufficient governance” and alleges that it hasn’t made a “substantial effort” to improve its disclosure practices. It said the company has continuously flouted “good governance” regulations and that stockholders should demand it change.

In its report, JPMorgan made a vague reference to the “executive compensation vote” that Tesla has scheduled for Friday, April 20. It also raised questions about whether Musk would recuse himself from the vote.

The company’s chairman, Kimbal Musk, is the CEO’s cousin and is one of three board members on the compensation committee.

Musk stirred up controversy last month when he called for a “no” vote on executive compensation. But Musk said that he was merely protesting pay.

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