Tesla Shareholders Call on Board to Take Action Against CEO Elon Musk

Tesla (Nasdaq: TSLA) shareholders have long voiced their lack of confidence in CEO Elon Musk, especially after his acquisition and controversial handling of X, the platform formerly known as Twitter.

Investor Jerry Braakman, president of First American Trust — which owns a meager 16,000 shares compared to Musk’s 411 million —  is urging Tesla’s board to take decisive action, telling CNN that while he believes in free speech, spreading hatred by a CEO of a public company is unacceptable.

Last week, Musk came under fire for agreeing with and therefore endorsing an antisemitic post on X. The comment falsely accused members of the Jewish community of inciting hatred against white people. 

Musk’s social media platform is also seeing another advertiser exodus involving major brands such as IBM, Apple, Walt Disney, Comcast, and Warner Bros after a report from the progressive media watchdog Media Matters revealed that ads appeared alongside pro-Nazi and white supremacist content.

Braakman suggests that Tesla’s board should put Musk on leave for 30 to 60 days and mandate empathy training or therapy, emphasizing that neither wealth nor technical prowess excuses such statements.

Gerber Kawasaki CEO and president Ross Gerber, a former longtime Musk fanboy and Tesla investor, went on CNBC and called Musk’s recent behavior “absolutely outrageous” and accused him of “destroying the brand.”

“I’ve just never had this with any company I’ve ever invested in, ever in my life,” Gerber said.

Almost hopelessly, even as the reasons for the board to consider any sort of action are piling up, the board, made up of close friends, his brother Kimbal, and himself — the largest individual shareholder, has never even commented on Musk’s behavior. 

Information for this story was found via CNN, CNBC, and the sources and companies mentioned. The author has no securities or affiliations related to the organizations discussed. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.