Elon Musk is reportedly under two separate federal investigations for using corporate funds from Tesla (NASDAQ:TSLA) on a secret project to build himself a glass house residence in Austin.
The Wall Street Journal, sourcing its coverage from unnamed “people familiar with the matter,” said the U.S. Attorney’s Office for the Southern District of New York is seeking information on the project’s costs and whether it resulted in personal benefits for Musk. The investigation followed a Journal report from July on how Tesla board members tried to ascertain details on the secret project, which was known within the company as “Project 42.” The board members reportedly raised concerns over the expense related to the specialized glass being ordered for the project.
The U.S. Securities and Exchange Commission is also conducting a civil investigation into Project 42, according to the Journal’s unnamed sources. Both investigations only recently began and there is no guarantee that they will result in charges against Musk and Tesla.
Musk’s residential real estate holdings has been the subject of scrutiny for the past few years. In May 2020, he tweeted that was rethinking his “attachment to the material world” and will be “selling almost all physical possessions.” One month later, he sold most of his $100 million in real estate holdings and supposedly relocated to a $50,000 prefab home in Starbase, Texas, near the SpaceX headquarters – although some press reports claimed he was secretly renting a mansion.
Musk responded to the news on his X (formerly Twitter) platform, tweeting, “I’m not building a house of any kind, let alone a glass one!”
The new probe marked the second time within a week that the U.S. Department of Justice had Musk in its crosshairs. On Aug. 24, the department filed a lawsuit today against SpaceX for allegedly refusing to hire asylum seekers and refugees.
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I really do not care if Elon Musk uses corporate funds to build a House/Home. The end result will probably end up building a House/Home that will be designed as an experiment to be more energy efficient. With his success record with Tesla, SpaceX and the many other beneficial-to-man projects that he has been successful at. This only proves that the current administration desires to stifle American Success & Freedom.
I.R.S. should be the only agency to be concerned. What business is it of the Dept. of Justice?
It sure seems that the current administration has an issue with Elon. And WHY?
100% agreed.
Most probably!
Allow innovation!
Since Elon spent $40 billion of HIS MONEY to buy X and is the SOLE OWNER it seems to me that after bills are paid (rent, utilities, salaries; etc) ALL the remaining money is his to spend as he pleases.
I don’t see what business it it of a democrat-communist DOJ of a globalist-installed government headed by a corrupt white geezer who authored the 1994 Crime Bill that sent thousands of black to prison.