Elon Musk Investigation by DOJ into Perks at Tesla Goes Back Years: Report
Elon Musk, the CEO of Tesla, is currently under investigation by the Department of Justice (DOJ) over alleged illegal perks that he offered to employees. According to a recent report, the DOJ has been investigating Musk’s perks for several years now, and the investigation is still ongoing.
The allegations against Musk are not new. In fact, they date back to at least 2018, when a whistleblower accused Musk of offering stock options to employees in exchange for not unionizing. The whistleblower also accused Musk of requiring employees to sign non-disclosure agreements that prevented them from reporting safety hazards and other workplace violations.
The DOJ has reportedly been investigating these allegations for several years. The investigation was recently reported by the Wall Street Journal, which cited anonymous sources familiar with the matter.
The perks that Musk allegedly offered to Tesla employees include stock options and other incentives. According to the whistleblower, Musk offered these perks to employees in exchange for not joining a union.
Musk has denied these allegations, and Tesla has previously said that it respects its employees’ right to unionize. However, the company has also faced criticism from labor advocates who accuse it of union-busting tactics.
The Impact on Tesla
The DOJ investigation could have significant consequences for Tesla and its CEO. If the investigation finds evidence of illegal behavior on Musk’s part, he could face heavy fines and even criminal charges.
The investigation could also damage Tesla’s reputation and affect its stock price. Tesla’s stock has already been volatile in recent years, and any negative news could cause it to plummet.
Musk’s Other Legal Troubles
This is not the first time that Musk has faced legal troubles. In 2020, he was sued by the Securities and Exchange Commission (SEC) over tweets that he made about taking Tesla private. Musk settled the lawsuit by agreeing to step down as chairman of the company and pay a $20 million fine.
Musk has also been sued by a British diver who participated in the 2018 rescue of a soccer team from a flooded cave in Thailand. Musk called the diver a “pedo guy” on Twitter, and the diver sued him for defamation. The lawsuit was settled in late 2019, with Musk agreeing to pay the diver an undisclosed amount.
The DOJ investigation into Musk’s alleged perks at Tesla is still ongoing, and it remains to be seen what the outcome will be. However, it is clear that the investigation could have significant consequences for both Musk and Tesla.
The investigation is just the latest legal trouble for Musk, who has faced several lawsuits and regulatory probes in recent years. As the CEO of one of the world’s most valuable car companies, Musk is under intense scrutiny from investors, regulators, and the public. Only time will tell how this latest investigation will play out.