The shareholders of Tesla Inc. will vote in June if they adopt a policy that the company only allows an independent director to be president, a role that Elon Musk has played since 2004.
The proposal, presented by Jing Zhao of Concord, California, argues that Tesla should not be an exception to what the individual shareholder called the "prevailing practice" in the markets, including the United Kingdom. The owner of 12 shares of Tesla wrote this would minimize the conflicts and brought out the acquisition of SolarCity Corp., a deal that was criticized in part by Musk's ties to the panel installer who loses money.
Tesla's board recommends that shareholders vote against the proposal, saying independent independent director Antonio Gracias protects the company against potential governance problems stemming from having a non-independent chairman.
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" The success of the company to date would not have been possible if the board was directed by another director who lacked Elon Musk's daily exposure "to Tesla's business," the board wrote in his statement of power.
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