the company has received basic -- a subpoena from the exchange -- securities and exchange commission indicating the regulatory scrutiny of the statements and tweets reaching a more serious stage. meanwhile, musk may be looking to saudi arabia's private wealth fund to secure the capital it needs, but it could give the fund leverage to exert significant influence. we discuss with david welch and bloomberg businessweek's max >> the issue is with the trump administration, it is not totally clear how the government body that regulates this sort of thing, foreign investment in u.s. companies, would treat something like this. earlier this year, the trump

according to fox business network, the securities and exchange commission has sent a subpoena to theains. it suggests there is some sort of formal investigation under way, that this is not just formal investigation under way, that this is notjust a routine checkup by the securities exchange commission, the big regulator of the stock market in the us. this goes back to the tweet on august seven where elon musk that he was considering taking it private. he said he had funding secured. that is to be what people are focusing on. but he had funding secured when he made the announcement on twitter. he has posted a post in recent days saying that phrasing came from conversations he had had with the saudi arabian sorrow and wealth fund, that he had had conversations with them about funding taking the committee back to private. that is the focus of certainly all the attention on wall street and potentially a sec investigation. let's go to asia, now, where markets are getting a boost from the news that china and the us are to resume trade talks aimed at easing tensions between the world's two

shocking and investors in the attention of the securities exchange commission.rt hogan is with us. good morning. >> good morning, cheryl. according to multiple choices including "the wall street journal" was the statement misleading to investors? whitney of paperwork to back up if he has secured financing? would not be easy for the sec to find? >> typically that the way things are done. they are a little unorthodox so i think what the sec is looking at us three things. first and foremost i guess it is okay to disseminate material news on social media. so since that is okay, since this is a new format with a bright done with the messages. i've been thinking about having bacon for breakfast. taking tesla private at $420 is very specific. cheryl: he made the announcement during market hours to the upside. the same two at harvey pitt said on cavuto coast to coast on this exact timing of the announcement . >> announcements of this kind removed markets as we saw and they are made either before the opening of the market or after the close. he did not do that. second, h

that being said i think there was a little surprise in many corners last week when the securities exchange commission declined to approve two exchanges exchange traded products of eight nine exchange data products based on big futures and if you read the disallowance orders there seems to not have been a recognition of the standards that exchanges must certify in the future space regarding anti manipulation and surveillance that seems not to be given a lot of comment to you are a lot of respect by the f.c.c. in their disallowance and i wonder what will happen that was actually done by staff of the f.c.c. and now the full i.c.c. will will be reviewing this matter coming out with their own opinion and i'll be curious to see how the f.c.c. deals with the see if these processes for exchange contract approvals. well i remember the self certification in our old world in the commodities world gary was the exchanges could self certify and i believe we had like ten days to reject it if we wanted so looking at these e.t.f. i mean i'm i'm supportive of bitcoin irby crypto e.t.f. but they certainly need to be co

the question for the panel and securities & exchange commission, did elon musk actually secure funding? will his can t. rowe price, one of the investors that reduced their stake, will they come forward or did elon musk go after the short sellers who were betting the stock would fall because they lost a lot of money on that particular day when he tweeted out. elon musk facing lawsuits and a whistle-blower saying there is issue with the batteries in the model 3. a lot on his plate. adam: the ego in that, can anyone do a better job. at the time he tweeted, talking about whatever. kristina. we'll talk about it more here. carol and jack are back with us. jack, the amount of whining and crying in that article, i spent my entire birthday at work? who hasn't worked their birthday. give me a break. >> the answer to his question, mary barra, for one, she is busy running gm pulling ahead of tesla in electric cars which is supposed to be tesla's whole thing. you remember when larry page at google started getting a little weird, they brought in a grown-up to run the company and hand it back to him.

i spoke with the former chairman of the securities and exchange commission harvey pitt about this on mornings with maria. here's what he told me. >> the entire announcement was highly problematic and unprecedented. and it's important to realize it's not the medium but it's the message. going private transactions are usually announced in advance of the market opening or after the market closing. they're not announced in the middle of the day. mr. musk tweeted in the middle of the day. in addition, it's not the ceo who announces this but it's the board. it's the company that makes this announcement. but here it was the ceo. what's more important is he stressed that he already had funding to pay $420 a share. but no ert efforts have yet been done to find out whether it's in the shareholders' best interest to take the company private and if so at what price. so all of this raises two fundamental questions. first, was he trying to artificially influence the price of the stock. if he was, that would be manipulation. second, does he really have the money in hand and is it a binding commitme

meanwhile elon musk has been subpoenaed by the securities exchange commission. if he gets his way the deal would be the largest buyout in history. >>> "crazy rich asians" made its the film director grew up in los altos and he said there's a misconception that erommuties are not united. >> everyone says the asian community is so fractured and everything. i see the opposite of that is what i've experienced. >> how excited are you for this movie? >> i'm actually really excited the fact that it's a full asian cast. finally the spotlight is on the asians. it's a first, it's a must especially in 2018, come on. why not. so we're totally excited for this. >> the last film to feature an all asian cast was the very successful joy luck club. that was back in 1993. >>> today, paul, it felt kind of not summer like. it was cool a lot of places. cohan average away from the water. it has much cooler than it has been over the past month. fog blowing by the sales force tower currently. we know the marine layer is at least 1,000 feet thick looking down on the beautiful bay bridge.

the securities exchange commission began investigating musk's claim that he had funding secured. tonight musk released a statement saying, "although the majority of shareholders i spoke to said they would remain with tesla if we went private, the sentiment in a nutshell was please don't do this." musk says he no longer believes tesla would be better off as a private company and says the company's no. 1 priority is boosting production of the model 3. >>> tonight verizon says it is removing all data caps for first responders during emergencies. the carrier sparked outrage after slowing service to bay area firefighters. today state lawmakers heard from verizon executives. this comes after santa clara county's fire chief revealed in court documents that his crews' internet speed was drastically slashed while battling the massive mendocino complex fire. today the chief laid out his predicament. >> so there are times that you have down time. there are times that you have huge spikes in your needs when it comes to data, but we had a set of plans that are really based for agencies or con

maria: which is why the securities and exchange commission is looking into it right now. >> absolutely. maria: but are the legal implications? we are going to speak with harvey pitt, former chairman of the securities and exchange commission. as an investor, would you want to happen now? you are not short going into it. >> we've had the volatility in tesla because as the stock has been hyped up and gone up, it then the air comes out of the stock you can cover your profit. we played the volatility in the stock. we think of as an opportunity to short the last couple days because we don't think the deal go through even if they're secured funding in ways that idea like this can fall apart. and then you go back to the company fundamentals that we just don't think are that good. as a liquidity problem, sustained profitability problem and a lot of competition coming online in the next one, two, three, four years. >> a competitive market we've been raising a lot of questions. shouldn't it be noted that they do seem to have lately been hitting their production target, david? on an operating basi

securities and exchange commission is looking into musts claim he secured funding as well as why the announcement was made via twitter and not via a regulator refiling as is standard the f.c.c. also wants to ensure investor protection rules have been met. friday so the biggest wave of industrial action ever to hit europe's biggest budget airline has ryanair pilots walked out on a twenty four hour strike at frankfurt on airport check in desks were unstaffed and passengers nowhere to be seen pilots' unions representatives say the message is that ryanair must change. almost anything not about defeating ryanair it's about sending a clear sign that defeating their own employees has to end. some passengers at berlin shona failed airport were forced to spend the night there many didn't know when they'd finally be able to fly out but some are still sympathetic to the pilot's demands and it's a bit unfair the pilots draw the short straw just because people want to fly on the cheap. i think it's a safety risk if someone's employed as a so-called freelance pilot then perhaps doesn't stay home w

department of justice and the securities exchange commission are scrutinizing the methods of microsoft used to get a foothold in hungary the wall street journal reports investigators believe microsoft sold their familiar software products to intermediaries at a discount and then the middlemen then sold the software to public agencies and governments at a higher price gouging those and users justice an s.t.c. investigators want to determine if the profit those middlemen theoretically received was diverted into bribes and whether official charges can be brought under the foreign corrupt practices act microsoft's legal team says they began to investigate themselves once they learned of potential problems and are cooperating with justice and the f.c.c. officials the journal points out that microsoft came under similar investigative scrutiny back in twenty thirteen over such. practices in china romania italy pakistan and russia it's unclear if those investigations have been closed. while many search engines exist google is certainly the eight hundred pound gorilla in the industry space earl

securities exchange commission has subpoenaed the company following c.e.o. must market moving tweet plus there's a new news ones vehicles with those a mission cheating devices and one european country now says owners can't even have their vehicles registered while lauren will help us sort it all out and there's new cold war news between coca-cola and the battleground is the eight billion dollars or two very bridge market over joins us to discuss there's a lot to get to but first let's get to a few stories topping today's financial and business headlines. lots of earnings news out as wal-mart's latest figures are catching the eyes of market watchers the arkansas based u.s. retailer beat expectations on revenues same store sales increases and earnings per share revenue was up three point eight percent to one hundred twenty eight billion dollars and same store sales were up four point five percent and earnings per share were one dollar in twenty nine cents shares of wal-mart stock rose ten percent holy cow on the report one important bright spot for wal-mart no

securities exchange commission case in the news today this time current national football league player for the cleveland browns mychal kendricks who previously as a defensive linebacker with the philadelphia eagles has been charged with insider trading mr kendricks has been accused of making trades on mergers and acquisitions using inside information supplied by a former goldman sachs analyst time now for a quick break but stick around because when we return russian president vladimir putin raises the retirement age for seniors are russians ok with waiting years to get their pensions have a special report from shuffle the lot of us in moscow and will there be a deal or no deal on trade with the us mexico and canada henry ford which is to your distro mark joins us to consider what michael it might not occur on the trade front plus we take a look at south africa as the nation struggled economically and is faced with increasing violence in agricultural areas argue correspondent ashley banks gives us the disquieting details as we go to break here are the numbers at the closing bell we'll b

the president took to twitter saying that he would like to see the securities and exchange commission's look into the possibility of companies only having to report twice this year. currently publicly traded companies as you might know have to report four times a year. the president said he got this idea from the outgoing ceo at pepsi last week when he was hosting business leaders at his place in bedminster. the president seemed to endorse this concept earlier today of companies only having to report two times a year. listen here. >> i'd like to see twice. we're going to see. i thought of it. you know, we're not thinking far enough out. we have been accused of that for a long time, this country. we're looking at twice a year instead of four times a year. >> so the sec will study this issue. there's a lot of questions with this, especially since you're talking about a lot of money here potentially, including when might the sec start this study, when might they wrap it up and the big one, what might it lead to, trace. >> it is a bunch of dough. blake, thank you. up next we'll talk about t

securities exchange commission case in the news today this time current national football league player for the cleveland browns mychal kendricks who previously as a defensive linebacker with the philadelphia eagles has been charged with insider trading mr kendricks has been accused of making trades on mergers and acquisitions using inside information supplied by a former goldman sachs analyst time now for a quick break but sticker.

the security exchange commission is looking to it. what we're first to report, they have issued subpoena ramping up the investigation from a simple inquiry to a formal investigation into that statement. so what could happen to elon musk? there's a range of remedies. if he's -- if they come to a conclusion that he has a problem with this. first off, he's obviously innocent until proven guilty. he could face fines, he could face sanctions and told by the sec not to tweet company information anymore, which would be on the low end of the stuff that he would face. if things got really bad, they thought this was a real egregious falsehood that he put out, materially false information that hurt investors and i'd did it move the stock and hurt a lot of short sales, one of the remedies is a ban from the business where you can no longer be an officer of the company or director. so that's what could play out. i will say this, neil, mr. musk is fairly sharp to tesla. harpooning him is not good for the stock. one thing i will tell people, i don't

securities and exchange commission is looking into mosques tweeting and plans to take the company private all right let's bring in selfish musky on wall street in new york something very nice to have you with us please bring us up to date on the saga. while this interview is certainly not half the stock market does not make a stable impression on investors and if he cannot keep it together the company might be forced to look for a new c.e.o. or a second one and even way this could mean a shift in the direction of the company and then on top of that the f.c.c. seems to have been best to get a tesla and mask for quite a while now because of a second completely different issue according to people familiar with the matter they are trying to find out of tessa has misled and bess's before about its model preproduction problems moscow has kept making promises that he simply could not keep and this seems to have been subject to a second investigation and this has been going on for a year now. it's the last day of the trading week so if so what else has been moving to market. markets a reading out

the wall street journal reports the "securities and exchange commission"... ether a musk tweet was factual. the c-e-o says he secured financing to b >>> regulators investigating abdul-ghani wahhaj -- elon musk buy out of tesla. the securities and exchange commission is asking if his tweet was factual. he says he has secured financing to buy 1012's outstanding shares. regulators are questioning if the tweet hurt his legal obligations. >>> new york city putting a limit on the number of rideshare vehicles. the cap is temporary. the council voted for a one- year freeze on new licenses for the ride hailing services. that means commuters could be paying more and waiting longer to get a uber or lyft. the city hopes the measure will solve traffic problems. >>> one automaker has a new reason for bragging rights. board has just produced its 10 millionth mustang. here is video from earlier today. -- board has just produced is 10 millionth mustang. here is video from earlier today. you can see it here rolling off the assembly line. bay area mustang owners also celebrated.

percent adding billions in market capitalization according to several media reports the securities and exchange commission s e c now opened an inquiry into the matter new e-mail to employees the c.e.o. had said he was serious about taking the company private. for more let's cross over to our wall street correspondents oafish in months q sophie it was a very short tweet just eight boards and one figure what exactly is the f.c.c. looking at here. sixty one characters by the way and preserve it is not the medium it is the motive behind this tweet because in twenty thirteen the f.c.c. rules that it is not a violation of their rules to publish stuff relevant information on social media so it is more the fact that must have been communicating something to the broad public that has a huge impact on the stock price he has repeatedly complained about this prize about charts cashing out on the declining stock and yes the stock price had been hurting and this one tweet has caused a significant bump of more than ten percent so this was very obviously a way of making the stock gain and charts lose money and then chris

securities and exchange commission according to the wall street journal. is looking into whether must stay if statements were actually factual in other words was he joking the sheen has come off the business of wunderkind long mosque burning through billions of dollars at tesla without even a hint of future revenue insulting analysts tweeting like donald trump who is this kind investors still trust him one question some have called him the architect of tomorrow others call him a con man but either way elon musk is known as a highly driven individual and the south african born entrepreneur has achieved things many can only dream about. in one thousand nine hundred four he founded his first company at the age of twenty four by the time he was thirty he'd become one of the co-founders of online payment platform pay pal but musk is better known for his other headline grabbing projects tesla space x. and hyperloop tesla disrupted the traditional car industry with its nisha electric models its achieved household name status while burning through more than ten bi