Mexican Media Brands
Report: Tesla Faces Criminal Fraud Investigation
The U.S. Dept. of Justice has opened a probe into possible criminal fraud by Tesla Inc. regarding last month’s statement by CEO Elon Musk that he had secured funding to take the company private, sources tell Bloomberg News.
#legal
Share
The U.S. Dept. of Justice has opened a probe into possible criminal fraud by Tesla Inc. regarding last month’s statement by CEO Elon Musk that he had secured funding to take the company private, sources tell Bloomberg News.
The investigation is being conducted by the U.S. attorney’s office in northern California, according to the report. The probe, which is in the preliminary stage, could take months and may or may not result in charges.
A separate civil investigation by the U.S. Securities and Exchange Commission also is underway. Bloomberg’s sources say that probe began before Musk’s comment about privatization.
The SEC investigation has been focused on Musk’s optimistic production and sales forecasts, according to Bloomberg. The news service’s sources note that those statements also could become part of the Justice Dept.’s investigation.
RELATED CONTENT
-
Ex-FCA Official Pleads Guilty in Labor Training Fund Scandal
Alphons Iacobelli, a former head of labor relations for Fiat Chrysler Automobiles NV in the U.S., has pleaded guilty of stealing millions of dollars from an employee training fund.
-
Bosch Targeted in Criminal Probe of VW Diesel Cheating in U.S.
Federal prosecutors in the U.S. are trying to determine whether Robert Bosch GmbH conspired to help Volkswagen AB—and perhaps other carmakers—rig their diesel engines to evade emission standards, sources tell Bloomberg News.
-
U.S. Justice Dept. Asks VW to Delay Diesel Cheating Report
The U.S. Dept. of Justice has asked Volkswagen AG not to release findings of an independent probe into the German carmaker's diesel emission cheating scandal.