The arrival of Elon Musk on the Twitter board of directors has added another scandal. After having significantly reduced the number of employees and failing to stabilize the general situation of the company, the tycoon now faces a new setback: a lawsuit for non-payment of the rent for its offices.
The Tesla and Space X CEO, who for two weeks ceased to be the richest man in the world, is looking everywhere to cut costs in an attempt to get out of a crippling economic situation. The Tesla owner, who bought Twitter for $44 billion, is racking up lawsuits for failing to pay the rent bills on many of his offices around the world, including his San Francisco headquarters.
It’s not the first time that the new CEO has refused to meet the company’s expenses; Musk will also face a lawsuit filed by Private Jet Services Group after refusing to pay $197,725 for private flights for some executives.
Twitter owes a total of $136,260 in one-month rent for its large San Francisco office, as described in the procedural documents filed with the State Court. The company works on the 30th floor of the Hartford Building, a building located in the financial district of the mountainous city in the state of California.
Since the billionaire bought the social network last October after months of lawsuits and clashes with the old board of directors, the organization of the company has not stopped collapsing. Even the eccentric decisions of the tycoon have left Twitter on the razor’s edge, even going so far as to talk about its possible definitive closure.
Just a few days ago, the South African tweeted that he would step down as Twitter CEO “as soon as I find someone stupid enough to take over.” This happened shortly after the tycoon carried out a survey on his social profile in which users voted for his resignation: 58.7% voted in favor of his resignation.
Tesla, in trouble: among the worst companies of 2022
On the other hand, the electric vehicle company led by Elon Musk, Tesla, also had a 2022 to forget. On the last Friday of the year, he listed it as the worst large company in the S&P 500, since the company lost more than $700,000 million in market valuation.
Tesla shares fell 65.85% from December 31 last year to this Thursday’s close, making the company a the worst performer among the top companies in the S&P 500, followed closely by Facebook parent Meta, down 65.07% over the same period.
Tesla’s meltdown is a surprising change from last year.
Shares hit an all-time high in November 2021 as the company turned a profit and ramped up production. Now, the crash has caused losses of 70% since it hit that peak.
With information from La Vanguardia.
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Source: Clarin
Linda Price is a tech expert at News Rebeat. With a deep understanding of the latest developments in the world of technology and a passion for innovation, Linda provides insightful and informative coverage of the cutting-edge advancements shaping our world.