SiNtx Technologies Inc (SINT)

[boston745]

Apple co-founder Steve Wozniak essentially believes Elon Musk is a con artist. “I don’t believe anything Elon Musk or Tesla says.” At a recent conference in Sweden, Wozniak revealed his deep mistrust toward the overhyped Tesla and why he isn’t jumping on Elon Musk’s bandwagon charade.

Wozniak once said that there is “way too much hype” around Tesla, a venture primarily funded by taxpayers. In fact, Tesla Motors Inc., SolarCity Corp. and Space Exploration Technologies Corp., known as SpaceX, were funded by an estimated $4.9 billion in government support (taxpayer-funded). Every taxpayer in the U.S. is essentially working for Musk, whose visions are lifted onto a pedestal and “entitled” to taxpayer support.

Tesla and its acqusition of Solar City was supported by shareholders in addition to taxpayers. But hey at least the funds pumped the stockprice to help mask or "Musk" Elons et al. bailout.

Tesla Inc Chief Executive Elon Musk urged investors to approve the 2016 purchase of SolarCity at a big premium to its market value despite knowing the solar installer faced a cash crunch and publicly stating he had recused himself from involvement in the deal, according to court documents unsealed on Monday.

The filing was part of a lawsuit by Tesla shareholders alleging the company’s board breached its duties to investors by approving the $2.6 billion acquisition of the struggling company, which was run by Musk’s first cousins and of which he was a chairman and the largest stakeholder. The former SolarCity operations have been a drag on Tesla, with panel installations slumping since they were acquired.

By February 2016, SolarCity management told the board its cash balances were forecast to drop below amounts required for a key line of credit for several months of the year. A default on that line of credit would trigger defaults on other debt instruments, the filing said.

Despite the bad news, Musk proposed the acquisition of SolarCity to the Tesla board later that month after a Lake Tahoe family vacation with his cousin, SolarCity Chief Executive and founder Lyndon Rive.

https://www.reuters.com/article/tesla-solarcity-lawsuit/teslas-musk-pushed-for-solarcity-deal-despite-major-cash-crunch-lawsuit-idUSL2N26E1T2


Sounds like Solarcity was close to a Pernix, aka defaulting on it's debt covnants. Of course Pernix managed to survive for 2 more years before its IP was scooped up cheaply by a subsidiary of JP Morgan if memory serves.