Tesla Asked to Provide Autopilot Documents to Justice Department

The U.S. Justice Department has asked Tesla Inc. to provide documents related to CEO Elon Musk's tweets about taking the company private, according to a person familiar with the matter.

This comes after Musk tweeted on August 7 that he was considering taking Tesla private at $420 a share and had "funding secured."

The Justice Department's request for information from Tesla is a preliminary step and doesn't mean that the agency has opened an investigation, the person said.

The U.S. Justice Department has opened a criminal investigation into Tesla's advanced driver-assistance system, according to a regulatory filing.

Tesla has confirmed that it has received a request for information from the US Department of Justice regarding its Autopilot feature. The Austin, Texas-based company said the DOJ asked for information about Tesla’s Autopilot feature, which helps drivers with tasks such as steering and maintaining a safe distance from other vehicles on the highway. Tesla is cooperating with the DOJ’s request and is providing the requested information.

Tesla said in a regulatory filing on Monday that, to the best of its knowledge, no government agency investigating any potential wrongdoing has concluded that any such wrongdoing actually occurred.

Tesla noted that it is unable to predict the resolution of any current issues. The company stated that "should the government choose to take enforcement action, it could have a negative effect on our business, results of operation, prospects, cash flows and financial position."

Tesla and the DOJ did not respond to a request for comment.

Tesla shares rose more than 3% on Tuesday, continuing the stock's surge in 2023. After falling 65% last year, Tesla's stock has rebounded by roughly 40%.

The Wall Street Journal has reported that the Department of Justice and the Securities and Exchange Commission are investigating whether Tesla misled consumers and investors about the performance of its Autopilot feature. Prosecutors are looking at statements made by Tesla and its executives about the safety and functionality of Autopilot.

The Department of Justice's criminal investigation is focused on authorities in Washington and San Francisco, according to a report from the Wall Street Journal last year.

The National Highway Traffic Safety Administration (NHTSA) has been investigating Tesla's Autopilot feature since 2021, after a series of crashes involving Teslas and first-responder vehicles stopped at emergency scenes. The agency escalated the probe last year.

The California Department of Motor Vehicles has accused Tesla of falsely advertising its vehicles as autonomous. The state agency said Tesla has made inaccurate statements that misrepresents the capabilities of its vehicles.

Tesla has previously claimed that driving with Autopilot engaged is safer than driving without it. Tesla has said that its internal data shows that crashes are less common when drivers use the Autopilot feature. Some researchers have criticized Tesla's methodology, claiming that the data is not reliable.