Market Overview

Tesla Drops Restraint Request Against Short Seller 'Skabooshka'

Share:
Tesla Drops Restraint Request Against Short Seller 'Skabooshka'

Tesla Inc (NASDAQ: TSLA) is backing off from an effort to get a restraining order against a short seller, saying it doesn’t want to make public some audio and video recordings the court has requested for its decision on the request.

What To Know

Tesla claims short seller Randeep Hothi has endangered Tesla employees in his zeal to gather information on the company, and said in a letter to the court cited by TechCrunch that it still believes a restraining order is needed. But the judge in the case has requested evidence that Tesla says includes “private and personal conversations” of employees that it doesn’t want to make public.

The Alameda Superior Court in California had granted a temporary order in the matter, but was waiting on further evidence to make a final decision.

Why It's Important

Hothi, known on the internet as "skabooshka," is vocal about his short position in Tesla and is part of a group of short sellers and Tesla critics on Twitter known as $TSLAQ. Members of the group monitor Tesla for problems and evidence the electric car maker’s stock is too high.

Hothi, a doctoral student at the University of Michigan, lives near Tesla’s Fremont, California plant.

Tesla alleged that Hothi’s efforts to monitor the company have been extreme and have endangered employees. The company claims Hothi ran into a Tesla security guard with his car in February, and has dangerously followed Teslas on test drives.

Tesla shares were trading around $258.77 at time of publication.

Related Links:

Munster Expects Tesla's 'Bumpy Year' To Continue: 'This Story Remains Emotionally Charged'

Tesla Trades Higher On Report Of Record Deliveries

Posted-In: Randeep Hothi Skabooshka techcrunchNews Short Sellers Legal Top Stories Media Best of Benzinga

 

Related Articles (TSLA)

View Comments and Join the Discussion!
Fastest Market News Application
You'll Hear It First On Pro
Don't Miss Any Updates!
News Directly in Your Inbox
Subscribe to:
Benzinga Trading Daily
Get pre-market outlook, mid-day update and after-market roundup emails in your inbox.
Market in 5 Minutes
Everything you need to know about the market - quick & easy.
Daily Analyst Rating
A summary of each day’s top rating changes from sell-side analysts on the street.
Thank You

Thank you for subscribing! If you have any questions feel free to call us at 1-877-440-ZING or email us at vipaccounts@benzinga.com

8 Of The Best Investments For Boomers Concerned About Retirement

Mid-Morning Market Update: Markets Open Higher; Halliburton Earnings Beat Expectations