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A Tesla whistleblower has filed a formal tip with the Securities and Exchange Commission (SEC). The former employee alleges Elon Musk’s electric car start-up misled investors and put its customers at risk by taking manufacturer shortcuts.

About the Whistleblower Statute

In 1863 to combat fraud in Union contracts during the Civil War, Congress passed the Whistleblower or Qui Tam statute. It was not until 1986 before Congress modernized the Whistleblower statute and renamed it to the False Claims Act (FCA). It became the government’s primary tool to combat fraud. Individuals who report government-program fraud bring the lawsuit on behalf of the government.

The Law Protects and Rewards a Whistleblower

Tesla Whistleblower 300x183When a knowledgeable attorney like those found at The Michael Brady Lynch Firm files a False Claims Act lawsuit, he or she files it under a seal. This means it is completely confidential. There is also a full disclosure statement in the suit, which details the evidence collected by a whistleblower.
After we file your suit, the Department of Justice will review the evidence before deciding to step in and decide if they want to prosecute the case. The government’s fraud investigator will work closely with you, the whistleblower to identify all responsible for the fraud.
The government could give you 15-30% of the funds recovered. In order to receive the reward, you must be the first one to file a case under the False Claims Act. This is why it is key to pick an experienced attorney to work quickly to get your compensation.

Tesla Whistleblower

A Tesla whistleblower has come forward and filed a formal tip with the SEC. The former process engineering technician said that Tesla installed faulty batteries into some vehicles and placed the battery cells dangerously close together. Also, the company inflated statistics to investors how many Model 3 vehicles the company produces by 44%.
The company has struggled for months to increase production of its new Model 3 vehicle. This would be the first mass-market car, but there have been long delays. Elon Musk, the company’s founder promised investors in June that everything was back on track with the company creating 5,000 vehicles in a single week. However, the Tesla whistleblower said that number was grossly inflated. In fact, the company created cars with dangerous shortcuts. These included batteries with puncture holes, too close battery cells and improperly attached batteries.  Also, Tesla reused parts already deemed as scraps. These lowered specifications could result in a potential explosion.

Premier Complex Litigation Attorneys

Money 300x273The Michael Brady Lynch Firm has successfully represented thousands of consumers and recovered millions of dollars for their clients. Our team of attorneys has been recognized as some of the most experienced and successful in the country. Our award-winning staff is also sought after for our knowledge of complex litigation, scientific evidence development, negotiation strategies and trial tactics.
Most of all, our law office is resourceful and dedicated to pursuing any compensation you are due. Because of this, we have received a high degree of peer recognition and professional achievement, such as inclusion on numerous Plaintiff Steering Committees.  We will take whatever legal measures are necessary when fighting for your rights to damages.
Therefore, if you believe you have uncovered evidence of fraud involving a government-funded program, contact us today. Our attorneys have represented many clients in the past with complex cases. As a matter of fact, we will work tirelessly to obtain results on your behalf.

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