Tesla Under Federal Probe for Self-Driving Claims Amid Layoffs
May 8, 2024
The Department of Justice and the Securities and Exchange Commission are probing Tesla for possible securities and wire fraud.
Investigations center on whether Tesla falsely represented its Autopilot and 'Full Self-Driving Beta' features to consumers and investors.
Concerns have been raised about the safety of Tesla's automated driving assists following crashes and user misuse.
The repercussions for Tesla and CEO Elon Musk are currently undetermined but could be substantial.
Tesla is also facing internal challenges, including layoffs, a hiring freeze, and employee welfare concerns.
Regulatory scrutiny and the validation of Tesla's self-driving technology are ongoing issues amidst broader concerns like declining EV demand and ambiguous robotaxi strategies.
Tesla's market value is under pressure as the stock drops amid these federal investigations.
Summary based on 18 sources
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Sources

Insider • May 8, 2024
We now know more about the Tesla criminal investigation
The Verge • May 8, 2024
Tesla is being investigated for securities and wire fraud for self-driving claims
The Telegraph • May 8, 2024
Tesla 'under investigation for fraud' over self-driving claims
Yahoo Finance • May 8, 2024
Tesla uncertainty grows as it validates FSD, makes 'binary' bets