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Tesla names Larry Ellison, Kathleen Wilson-Thompson on board

FILE PHOTO: Tesla Model 3 car is displayed during a media preview at the Auto China 2018 motor show in Beijing, China, April 25, 2018. REUTERS/Jason Lee/File Photo

(Reuters) – the Tesla Inc (TSLA.O) on Friday named two independent board of directors as part of September, a deal with the federal regulators to move past the turmoil following Chief Executive Officer Elon Musk in a tweet about taking the electric car manufacturer private.

The company said that Oracle Corp (ORCL.N) founder Larry Ellison and Walgreens Boots Alliance (WBA.O) global head of human resources Kathleen Wilson-Thompson joined the board as independent directors, effective Dec. 27. Ellison bought 3 million shares of Tesla earlier this year.

“Larry and Kathleen, we have a leading entrepreneur and a manager of human resources, both of them have a passion for renewable energy,” Tesla said.

On the basis of an agreement with the U.S. Securities and Exchange Commission, Musk agreed to pay $20 million fine and a step to the side as Tesla’s chairman for three years to offset costs that would have been forced to leave. Tesla also agreed to pay $20 million fine.

Tesla has also agreed to appoint an independent chairman, two independent directors and a board of directors to control Musk communication.

A U.S. judge in October approved the deal resulting from Musk’s Aug. 7 tweets that he is considering the own company and had secured funding, which prompted the SEC to file fraud against him.

In November, Tesla was named director Robyn Denholm as chairman of the board, and one of the requirements. She came to Tesla as an independent director in 2014, and agreed to step down from her job as head of finance, Australian telecom company Telstra Corp Ltd (TLS.AX).

The stock fell in September after the SEC accused Musk, 47, of fraud over his “false and misleading” tweets on Aug. 7.

The shares of the company were up 4.4 percent to $330 in early trading on Friday.

Reporting by Sonam Rai in Bengaluru and Ben Klayman in Detroit; Editing by Sriraj Kalluvila

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