Tesla's third-quarter filing on Monday revealed that they had been served multiple subpoenas from the U.S. Department of Justice concerning the range of their electric vehicles, "personal benefits, related parties," and "personnel decisions." Despite Monday's stock market reaction being an improvement from the 15% drop the company experienced last week following Elon Musk's dismal comments during the third-quarter earnings call, Tesla's shares still managed to edge upwards.
Tesla released a third-quarter financial document Monday disclosing that the U.S. Department of Justice is conducting inquiries and has issued subpoenas in regards to Autopilot and Full Self-Driving, range of its electric vehicles as well as "personal benefits, related parties," and "personnel decisions" at the company. This statement also made reference to a "glass house project" for Musk which was reported by the Wall Street Journal in August, and Tesla's claims of self-driving cars reported by Reuters. There have been reports that the cars fail to meet their stated range estimates.The data breach at the company has resulted in several individual and prospective class action lawsuits based on the reported leak of "Tesla files" that contained thousands of customer complaints by a foreign news outlet.In response to the regulatory scrutiny, Musk has requested for comprehensive deregulation and Tesla's stock was rising midday Monday despite a 15% decline last week due to an unbeneficial third-quarter earnings call. Tesla's former CFO Zachary Kirkhorn will be paid until his exit date which was redacted in the Q3 filing.
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