New York: A federal judge is approving a settlement between Elon Musk and federal regulators over his infamous tweet about taking Tesla private. Also Read - Elon Musk Beats Bill Gates to Become World's Second Richest Person

The Securities and Exchange Commission argued the tweet was misleading and harmed investors who bought stock in the electric car company as a result. The company is not going private. Also Read - Elon Musk Calls COVID-19 Test 'Bogus' After Receiving Positive and Negative Results on Same Day, Gets Slammed by Netizens

Tesla and Musk, the company’s CEO, agreed to pay a total of $40 million in fines in the settlement Tuesday. The settlement allows Musk to hold on to his CEO post, but he will give up his seat as Tesla’s chairman for at least three years. Also Read - Will The World End? Massive Asteroid 'Apophis', Equal to Size of 3 Football Fields, May Hit Earth in 2068

As part of the agreement, Tesla also must clamp down on Musk’s communications with investors. The company will be required to appoint an independent chairman and directors with no direct ties to Musk. AP NSA

This is published unedited from the PTI feed.