Tesla is under federal investigation after questions about one of its projects. It is rumored that Elon Musk would build himself a house with money from the Palo Alto firm.
The Securities and Exchange Commission (SEC) and the Department of Justice (DOJ) will investigate Tesla and its “Project 42”. The two entities are questioning the use of company funds, which could be for the benefit of Elon Musk.
It was The Wall Street Journal which broke the story, revealing that a federal investigation was underway. Questions are multiplying about ‘Project 42’, which would be a gigantic house, mostly made of glass, that Musk would build thanks to Tesla.
The U.S. Attorney’s Office for the Southern District of New York has issued subpoenas for several Tesla employees and former employees. Some of them will have to appear in court in September to give information.
Still according to The Wall Street Journal, the exchange commission has just begun an investigation. But the SEC “does not comment on the existence or non-existence of a possible investigation”.
The Department of Justice and Tesla also declined to comment on possible investigations. On the other hand, Elon Musk used his social network X, formerly Twitter, to refute these accusations.
“I’m not building any house, let alone a glass house!” », wrote the billionaire. Words which will not be enough to stop the two simultaneous investigations into him.
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Tesla’s Board of Directors also questions
It was also the Wall Street Journal which first spoke about ‘Project 42’, and was able to provide a description of it. According to the publication, it was a large house with large bay windows, which would be located near the Gigafactory Texas in Austin.
The Wall Street Journal was even able to obtain plans, notably showing the rooms. The newspaper then hypothesized that this project was in reality a private achievement of Elon Musk.
An order for special glass already attracted questions last year. At that time, it was Omead Afshar, the director of the Texas factory, who was targeted as a beneficiary of these investments. In reality, Afshar purchased the materials related to this project, but allegedly did nothing further.
The SEC and the DOJ are not the only ones to have questions about this project. According to the Wall Street Journal, Tesla’s Board of Directors questioned Musk’s involvement in the project, and the time spent by employees to develop it. The council should therefore assess the ongoing investigations in order to remove any suspicion on the subject.
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