Categories LATEST

Elon Musk faces two lawsuits from “whistleblowers”

Tesla (TSLA) CEO Elon Musk is facing lawsuits in two separate cases from employees who claim to be whistleblowers. The first case pertains to a former Tesla employee who has hit back after being accused of sabotage and the second one relates to three employees, who previously worked for Tesla’s subsidiary SolarCity and who claim they were dismissed for exposing unethical practices. Tesla has refuted all the allegations.

In June, Martin Tripp, a technician at Tesla, was accused by the company of stealing and disclosing confidential information to unauthorized third parties. Tesla filed a lawsuit against the former employee, who hit back with a counter-claim accusing Tesla of unsafe and reckless business practices. Tripp says he decided to expose Tesla’s actions because they were harmful to the environment and raised safety concerns.

Tripp is suing the company for at least $1 million on grounds of defamation, invasion of privacy and for causing emotional distress. He has also accused Musk of raising false allegations of bribery against him through a tweet.

Tesla said that it conducted a thorough inquiry into these matters and found no base to these charges

The second lawsuit against Elon Musk was filed by three ex-employees of SolarCity who said they were wrongfully terminated after they uncovered false sales accounts used to fudge the company’s valuation and defend certain bonus payments. They said they brought the issue to the management’s notice but ended up being dismissed early last year.

Tesla said that it conducted a thorough inquiry into these matters and found no base to these charges.

Tesla shares were trading down 0.5% at 11:45AM ET. The company is set to report earnings aftermarket today.

Related: Tesla Q2 2018 Earnings Live Blog

Most Popular

Should investors worry about Micron’s (MU) weak Q4 results and guidance?

The semiconductor industry is a rapidly growing business segment that currently thrives on the digital transformation wave. The demand for memory chips and other semiconductor products increased over the years,

What has Bed Bath & Beyond (BBBY) outlined for this fiscal year?

Shares of Bed Bath & Beyond (NASDAQ: BBBY) were up on Friday, a day after the company delivered disappointing results for the second quarter of 2022. The company reported a

NKE Earnings: Highlights of Nike’s Q1 2023 results

Nike, Inc. (NYSE: NKE) has reported a decrease in net profit for the first quarter of 2023, despite a modest increase in revenues. The company's stock suffered a big loss

Tags

Add Comment
Loading...
Cancel
Viewing Highlight
Loading...
Highlight
Close
Top