According to Bloomberg, Afshar was involved with the purchase of hard-to-find construction materials, more specifically, a special kind of glass. The deal was tagged as suspicious, and an internal investigation was opened. Afshar “parted ways” with Tesla soon after that. It is not clear if he was fired, chose to leave, or was given a chance to pretend he wanted new challenges.
Bloomberg did not make a direct link between Afshar’s departure and Searle leaving the company, but the way things happened suggests that may be the case. Tesla also did not care to explain anything, which makes suspicions that the two events are connected even stronger.
Bloomberg also tweeted about its scoop. Tesla took less than two hours to reply to that tweet: “This Bloomberg article is false. David Searle has not left Tesla.” The EV maker investors celebrated the rare PR move from the company as proof that Tesla would not go public if what the media company published was not a lie. Well, it wasn’t.
Bloomberg stated that Searle was replaced by Dinna Eskin, then a deputy general counsel at Tesla. That was confirmed by “a notarized affidavit under oath” she submitted to the Delaware Chancery Court as part of a defense in the Twitter Inc. vs. Elon Musk lawsuit.
Bloomberg said he left.
Eskin also clarified that there is no “General Counsel” at Tesla and that she is the Senior Director of Legal, which is “functionally equivalent to the role commonly known as ‘General Counsel.’” She also states that “it is well understood within Tesla that any references in Tesla’s internal documents to Tesla’s ‘General Counsel’ now refers to the Senior Director of Legal.” Bloomberg Law went after that and confirmed the information.
U.S. Securities and Exchange Commission (SEC).
If SEC agrees with that and decides to sue the EV maker due to the now-debunked tweet, that’s another brick in the wall of negative news the company is building for itself these days. Expect Tesla investors to blame the messenger instead of asking for changes in the company: that’s what led it to its current state of affairs.
This Bloomberg article is false. David Searle has not left Tesla.— Tesla (@Tesla) August 17, 2022
When your Not General Counsel signs a notarized affidavit under oath attesting to the fact that her employer posted a materially misleading statement of fact on an SEC-regulated communication medium viewed by millions and "liked" by thousands.— PlainSite (@PlainSite) September 16, 2022
Why even have an SEC? $TSLA pic.twitter.com/tJ7ICOBe2S