SEC Investigating Tesla for Possible Securities Law Breach

In another matter, the Wall Street Journal reported that the Securities and Exchange Commission is investigating whether Tesla violated securities law by failing to disclose more quickly a fatal accident in Florida in May involving a Tesla Model S that was in self-driving mode.

The SEC is investigating whether it should have disclosed the crash as a "material event", a development that investors might consider important.

Tesla said it had not been contacted by the SEC about the issue. An investigation has also been launched by the US National Highway Traffic Safety Administration.

A driver of a Model S died in an accident while the Autopilot feature was on, sparking a big debate about the safety of the electric car's self-driving technology.

SEC spokeswoman Florence Harmon declined to comment. Musk sees a future with people having their Tesla vehicles driving them from NY to LA, a goal he thinks will happen in 2018.

Neither the driver nor the passenger were hurt in the Model X crash, and Tesla has released a cagey statement saying it had "no data at this point to indicate that Autopilot was engaged or not engaged".

Tesla Motors CEO Elon Musk has mysteriously trailed a new "top secret Masterplan" for the electric vehicle company, revealing he plans to publish a revamped strategy later this week.

The strategy of Tesla is to enter at the high end of the market, where customers are prepared to pay a premium, and then drive down market as fast as possible to higher unit volume and lower prices with each successive model.
The filing did not mention the May 7 crash among the company's risk factors. Critics of the proposed deal said that Musk, who is chairman of that company and owns 22% of its stock, had offered many multiples more than the solar panel company was worth, and would ultimately leave Tesla shareholders paying for the inflated deal.

Tesla stock has also taken a hit recently. Tesla says it completed its investigation in late May.

Creating a seamlessly integrated Tesla battery & solar power product that looks attractive is the reason [for the acquisition].

Tesla has warned drivers that its Autopilot is not fully autonomous and that motorists must still be vigilant when using the system, which can automatically change lanes, manage speed and brake to avoid a collision.

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