Published: Wed, July 13, 2016
Economy | By Melissa Porter

SEC probing Tesla for potential securities breach with Autopilot fatality

Furthermore, there is no guarantee that Musk is actually going to publish the "Top Secret Tesla Masterplan, Part 2" sometime this week - he used the word "hoping" for a reason.

Tesla Motors Chief Executive Elon Musk, under pressure after a fatal crash involving one of his electric cars, went on Twitter on Sunday morning and said he hopes to make a major announcement this week about his vehicle company.

The news, however, comes at a time when the automobile company's practices are under question due to the recent auto crashes and deaths involving the Autopilot functionality. By expanding into solar energy with this acquisition, Tesla's goal of building a sustainable-energy future becomes possible.

The revised targets further cloud the record of Tesla and its founder Elon Musk, who has vowed to remake America's roads by mainstreaming electric cars. They'd be able to use SolarCity's panels to charge the Powerwall and thus keep their vehicle topped up for less. He didn't immediately care to shed light on the details of the masterplan, but said that he will share it in the following week or so.

Shares of Tesla fell less than 2% in after-hours trading after rising 3.7% during the regular trading session. However, he has also been criticized for overpromising and under-delivering, especially on his pledge to produce an affordable, mass-market electric vehicle.

Since last week, Tesla and CEO Elon Musk have been defending the lack of disclosure, saying that it is not "material nonpublic information". Not knowing of the purported SEC investigation, Fortune argued that Tesla sat on news of the crash until after the stock offering. An investigation has also been launched by the US National Highway Traffic Safety Administration. The damaged sustained by the S was so extensive that Tesla had to fly an investigator out to Florida to retrieve the vehicle logs in order to find out more about what happened.

The most recent crash was involving a Tesla Model X and it took place Sunday early morning near the town of Whitehall, Montana, as per the Detroit Free Press.

Like this: