TELECOM EXECUTIVE NAMED TO CHAIR BOARD OF TESLA
DETROIT» Australian telecommunications executive Robyn Denholm brings much-needed financial and auto industry expertise to her new role as Tesla’s board chairwoman, but her biggest challenge is whether she can rein in a CEO with a proclivity for misbehavior.
Denholm, who has been a Tesla board member for nearly five years, was named to the post Wednesday night, replacing Elon Musk as part of a securities fraud settlement with U.S. government regulators.
Corporate governance experts say they would have preferred that an outsider with manufacturing expertise be appointed to lead the board, now dominated by people with personal and financial ties to Musk, including his brother.
They aren’t sure whether Denholm was hired just to placate the Securities and Exchange Commission to comply with the settlement or whether she will actually be able to corral the visionary but erratic Musk, who remains CEO.