Main menu

Pages

The US government is investigating Musk and Tesla.

 

The US government is investigating Musk and Tesla.

The US government is looking into Musk's covert greenhouse project and Tesla.


According to a recent report, Tesla is the subject of two new government investigations into the likelihood that its CEO, Elon Musk, may have abused the company's resources for his own gain.


According to a Wednesday Wall Street Journal article, federal investigators from the Securities and Exchange Commission and the US Attorney's Office for the Southern District of New York are interested in learning how much money Tesla spent on the covert project's design and construction.


A large glass mansion said to be for Musk's personal use is the rumored covert project, which is located in or near Austin, Texas.


A separate investigation into whether Tesla knowingly misrepresented the battery range of its electric cars is being conducted by federal prosecutors in Manhattan, according to the newspaper.


According to a July 2017 investigation by Reuters, the range of Tesla's electric cars frequently falls short of what the firm has stated, and the touchscreens of the vehicles misrepresent the range to drivers.


The results of these inquiries don't necessarily reveal misconduct. The current inquiries, however, are just the latest in a long line of federal regulators' inquiries into Tesla.


The National Highway Traffic Safety Administration, the National Transportation Safety Board, the Securities and Exchange Commission, the Department of Justice, and numerous other state, federal, and international agencies have all requested information from Tesla, according to the company's most recent quarterly earnings report.


“We routinely cooperate with such regulatory and government requests, including subpoenas, formal and informal requests, investigations, and other inquiries,” the spokesperson added.


Elon Musk and Tesla were charged with civil securities fraud by the Securities and Exchange Commission in September 2018 as a result of the CEO's tweets in which he stated that he was considering taking Tesla private at $420 per share, and that funds had been arranged for such a move.


Additionally, Tesla disclosed in its financial report for the second quarter of 2023 that the Department of Justice had asked for documents "related to Tesla's driver-assistance and fully automated driving features."

Comments