05/08/2024

In Tesla Autopilot Probe, U.S. Prosecutors Focus on Securities, Wire Fraud

Regulators have separately investigated hundreds of crashes

U.S. prosecutors are examining whether Tesla (TSLA.O), opens new tab committed securities or wire fraud by misleading investors and consumers about its electric vehicles’ self-driving capabilities, three people familiar with the matter told Reuters.

Tesla’s Autopilot and Full Self-Driving systems assist with steering, braking and lane changes - but are not fully autonomous. While Tesla has warned drivers to stay ready to take over driving, the Justice Department is examining other statements by Tesla and Chief Executive Elon Musk suggesting its cars can drive themselves.

U.S. regulators have separately investigated hundreds of crashes, including fatal ones, that have occurred in Teslas with Autopilot engaged, resulting in a mass recall by the automaker.

Please select this link to read the complete article from Reuters.