Tesla Model 3 production reportedly under investigation by the FBI

Federal investigators are probing whether or not they are misled into the company's business, according to Tea Wall Street Journal.

Citing sources familiar with the case, the Newspaper reports that the investigation is heating up, with FBI agents contacting to train Tesla employees asking them for testimony in the criminal case. Some ex-employees have been subpoenaed, and the FBI is seeking to interview several of them. The government's investigation is said to stretch back to early 2017, when Tesla first began to publicize projections about the Model 3 production.

Under study is the company's public statements about Model 3 productions as compared to the number of vehicles that were actually built. The Tesla CEO Elon Musk called "production hell" on the Model 3.

In early 2017, Musk laid out an aggressive production plan for the Model 3, predicting it would be producing 20,000 vehicles a month by December 2017. "Looks like we can reach 20,000 models 3 cars per month in Dec," he tweeted on in July, a few days before Model 3 assembly began in earnest. But production delays and miscalculations resulted in only 2,700 Model 3s being built in all of 2017. The company is finally reaching its goal of building 5,000 models.

In a statement, a spokesperson said Tesla received a "voluntary request for documents from the Department of Justice for its public guidance for the Model 3 Ramp" and that the company was cooperating. "We have not received a subpoena, a request for testimony, or any other formal process, and there have been no additional documents in the Department of Justice," the spokesperson said.

The spokesperson continued, "When we started the Model 3 production ramp, we were transparent about how difficult it would be, openly explaining that we would be lucky enough to be least lucky, and that we were entering 'production.' Ultimately, given the difficulties we had in this first-of-its-kind production ramp, it was six months longer than we expected to meet our 5,000 unit per week guidance. Tesla's philosophy has never been better than we would have been. While Tesla gets criticized when it is delayed in reaching a goal, it should not be forgotten that Tesla has achieved many goals that have been doubted by most. We are enormously proud of the efforts of the whole company in making this difficult and getting us to volume production. "

Last month, Musk settled at the Securities and Exchange Commission over allegations he committed fraud when he had "funding secured" to take Tesla private, when he did not. The Department of Justice is also probing Musk's statements.