On March 25, the SEC memorialized what will could become an iconic document in the ongoing legal saga whether Elon Musk should be held in contempt of court. The letter was discovered and posted on Twitter by Aaron Greenspan. It is addressed to "The SEC, Whom I Do Not Respect".
The letter is satirically written by Elon Musk and signed with the name "Melon Tusk", placing an "M" and a "T" in front of Elon Musk's signature. It opens by ridiculing former SEC Chair Jay Clayton, stating:
"Jay is a being a good boy in cutting slack for highly important executives whose mission is to save the world and humanity."
The letter then thanks Hester Peirce for "her hard work towards dismantling the SEC".
"Peirce is doing a splendid job of neutering @SEC_Enforcement as much as possible, and turning the SEC into the perfect tool for businesses to 'hunt for profits' in pretty much any way that they see fit - especially those selling dreams that will come true in 3 months maybe, 6 months definitely," the letter reads, mocking public timelines once set by Elon Musk.
The letter "praises" the SEC's enforcement of its disclosure policies.
Now, let's talk about disclosures. I say to hell with all that legalese, the 8K's, 10K's, 10Q's, and TSLAQ's. I say a well-crafted Tweet is worth a thousand words (and $20 Min fines was "Worth It" as well). The SEC should get with the times. The really loyal investors don't care to watch paint dry in all those tables and disclosures, they are all perfectly happy with Twitter being the outlet for a company's most important news. And who knows - or cares - about 10b-5 when a stock is trading at $300/share and soon rising to $420/share (until the SEC decided to enrich the short sellers)?
Finally the "Melon" compares Tesla to Enron, a comparison that may only be satirical for the time being:
Remember ENRON? When the SEC butted in, 19,000 employees lost their jobs, and billions in shares were wiped out. Do you dare let that happen again, SEC, to 40,000 (± 10,000 depending on the layoff, no 8K needed) employees?
"As long as shareholders are happy and a stock price is pumped, who cares?" the letter concludes summarizing the entire zeitgeist of the current generation of traders, where as long as stocks are going up - whether due to Fed intervention, buybacks or plain old manipulation - nobody cares.
The letter can be viewed on the SEC's site here: