International
Musk to testify at trial over his $50 bn Tesla compensation
| By AFP | Juliette Michel |
Tesla tycoon Elon Musk will take the stand on Wednesday as part of a trial over his $50 billion pay package as CEO of the electric car giant.
Musk will testify in the same Delaware court where he faced a lawsuit by Twitter to make sure he went through with his buyout of the social platform.
The $44 billion purchase of Twitter has put Musk under a deluge of scrutiny after he conducted massive layoffs, scared advertisers and opened the platform to fake accounts.
The unrelated Tesla case is based on a complaint by shareholder Richard Tornetta, who accused Musk and the company’s board of directors of failing in their duties when they authorized the pay plan.
Tornetta alleges that Musk dictated his terms to directors who were not sufficiently independent from their star CEO to object to a package worth around $51 billion at recent share prices.
The Tesla shareholder accuses Musk of “unjustified enrichment” and asked for the annulment of a pay program that helped make the entrepreneur the richest man in the world.
According to a legal filing, Musk earned the equivalent of $52.4 billion in Tesla stock options over four and a half years after virtually all of the company’s targets were met.
When the plan was adopted it was valued at a total of $56 billion.
The non-jury trial began Monday with testimony from Ira Ehrenpreis, head of the compensation committee on Tesla’s board of directors, who said the targets set were “extraordinarily ambitious and difficult”.
Ehrenpreis argued that the board wanted to spur Musk to focus on Tesla at a time when the company was still struggling to gain traction.
‘Highly unusual’
The trial will run through Friday and is being presided over by Judge Kathaleen McCormick, the same judge who was to preside over the Twitter case.
There is no deadline for her decision which could take months.
It’s “highly unusual” for this kind of case to be brought to trial, Jill Fisch, Law professor at the University of Pennsylvania, told AFP.
“There aren’t all that many successful challenges to executive compensation (as) the courts have typically treated this as a business decision,” she added.
But the court found in this case that Musk’s ownership of about 22 percent of Tesla and his role as CEO “could have an undue impact” on the board and other shareholders, she noted.
Musk canceled an in-person appearance on Sunday at an event on the sidelines of the G20 in Bali to be in court.
Asked why he had not traveled to the tropical Indonesian island, the new Twitter boss joked that his “workload has recently increased quite a lot” after his takeover of the social media giant.
International
Six killed, including baby, in armed attack near tourist beach in Ecuador
Six people, including a baby girl about two years old, were killed on Sunday in an armed attack near a tourist beach in southwestern Ecuador, police said. The shooting, carried out with rifles, also left three people wounded.
The incident took place in the coastal town of Puerto López, in the province of Manabí, a popular tourist destination known for whale watching. The attack occurred amid a surge of violence over the weekend that left at least nine people dead nationwide, according to local media reports.
“There are six fatalities and three injured,” Colonel William Acurio, the local police commander, told reporters on Sunday. He confirmed that one of the victims was a baby “approximately two years old.”
Authorities have not released further details about the motive behind the attack or whether arrests have been made.
International
Man accused of killing nine in Paramaribo dies by suicide in police custody
The man who killed nine people, including five children, on Saturday night in Paramaribo died by suicide while in custody, Suriname police confirmed in a statement on Monday.
The suspect, identified by the initials D.A., 43, “hanged himself inside a holding cell at the Keizerstraat police station” in the capital, Paramaribo, according to the official report.
Police said the man sustained leg injuries during his arrest and was taken to a hospital before being transferred to the detention facility on Sunday night. Authorities did not provide further details on the circumstances surrounding his death.
International
Winter storm disrupts holiday travel, forcing 1,500 flight cancellations in the U.S.
Airlines canceled around 1,500 flights across the United States during the peak Christmas travel season after warnings of a severe winter storm and forecasts of heavy snowfall in the Midwest and Northeast. An additional 5,900 flights were delayed due to adverse weather conditions.
More than 40 million Americans were under snowstorm warnings or weather advisories one day after Christmas. Meanwhile, another 30 million people faced flood or storm alerts in California, where an atmospheric river triggered intense rainfall.
New York City was bracing for up to 25 centimeters (10 inches) of snow overnight, which would mark its heaviest snowfall in four years. Cold weather was expected to persist through the weekend in the nation’s largest city. According to flight-tracking website FlightAware, airports in the New York area recorded about 850 flight cancellations.
Six killed, including baby, in armed attack near tourist beach in Ecuador
Man accused of killing nine in Paramaribo dies by suicide in police custody
Winter storm disrupts holiday travel, forcing 1,500 flight cancellations in the U.S.
Tec de Monterrey honors one of its students for his contribution to nanotechnology in medicine
Defense Minister commends salvadoran soldier for Central American Cross Country victory
Extension of the state of emergency approved in southern Chile
-
Central America3 days agoHonduras: Zelaya Calls for Mobilization Amid Dispute Over Tegucigalpa Mayoral Race
-
Central America4 days agoGuatemala arrests 92 salvadoran gang members in 2025
-
Central America4 days agoInternational leaders congratulate Honduras’ president-elect Asfura
-
International2 days agoWinter storm disrupts holiday travel, forcing 1,500 flight cancellations in the U.S.
-
International22 hours agoMan accused of killing nine in Paramaribo dies by suicide in police custody
-
International22 hours agoSix killed, including baby, in armed attack near tourist beach in Ecuador