Friday, July 13, 2018

Tesla Whistleblower Attorney Says "I Would Short Tesla Based On What I Know"

No cars produced at the Fremont plant


On Wednesday we reported that Martin Tripp - the former Tesla engineer who on June 20 was sued by Tesla for allegedly  trying to "sabotage" the company - accused Tesla of several egregious violations that, if proven, could crush the credibility of the automaker, and its CEO, Elon Musk.
As a reminder, in an email sent by Meissner Associates, the law firm which has represented whistleblowers to the SEC and which was retained by the Tripp, the whistleblower alleged that Tesla had
  • Placed batteries containing dangerous puncture holes in vehicles which proceeded to the end of the assembly line in a process known internally at Tesla as “Containment AR622” and which input into vehicles was tracked until the end of the assembly line process;
  • Overstated to investors the number of Model 3 vehicles being produced each week by as much as 44%. The whistelblower alleges that the famed factory board which reflects a daily Model 3 production count and often referred to by Tesla is inflated;
  • Lowered vehicle specifications impacting upon safety such as placing battery cells too close to one another and which were not properly affixed, risking future combustion; and
  • Systematically reused parts already deemed scrap/waste in vehicles without regard to safety.
He also accused Tesla of placing battery cells too close together and not properly securing them, raising the risk of future combustion, as well as "systematically" reusing parts that had been deemed to be scrap or waste.
Then on Friday morning, in a surprising public address on Twitter, Stuart Meissner, who was retained as Tripp's counsel to defend Tesla's federal law suit against him and to countersue if he wants, tweeted in response to a Forbes article "Will Tesla Be 'Tripp'ed' Up By A Whistleblower", that it was "time for the @SEC_Enforcement to act. Not an accident @elonmusk has been silent on the allegations. Let sunshine be the cleanser for $TSLA"
But more interesting is that in response to a question whether he was short any Tesla stock, Meissner said "I have ZERO position on $TSLA short or long and never have. Although frankly I should, based on what I, and everyone, now knows."
Explaining why Tripp did not go directly to the SEC, the attorney said that "he & many did/dont know of the program. If it were up to me he would have gone directly there via us- likely would not have been sued. FYI-no such thing as "applying for whistleblower status."
He then provided another tantalizing tidbit: saying that when compared to the 6-year-old Monsanto litigation, which led to a $80 million fine and a whistleblower award, he said "the allegations here are much more serious"
Finally, asked if he believes the whistleblower's allegations, Meissner said that "I obviously believe them to be true based on my experience and with what we have to work with, or I would not have accepted the case. Only the regulators who have power of subpoena can confirm for sure."
Finally, when discussing the especially public nature of this confrontation, Meissner explained that "most cases dont receive much publicity before there is an award or SEC action because most (all of mine) whistleblower client's are not known to the public. This case is different as Tesla rushed to tar and feather him before hehad a chance to go to the regulators or see a lawyer."
Earlier in the week, Meissner told CNBC that "it’s dramatic and serious as far as the materiality of the omissions and misstatements, and how they effect investors, and the general public regarding potential safety hazards of Tesla vehicles." He also said that he had never seen a company handle an employee who has raised issues internally in such an aggressive manner.
"To me, this indicates that they are trying to send a message not just to Martin Tripp, but to all employees that they should not speak up if they see something wrong."
Whether or not Tripp has a case, or whether Musk can continue to sleep soundly (on the factory floor), will depend on whether the SEC takes the whistleblower complaints seriously and launches a formal probe. For now, the regulators - in typical fashion - have yet to acknowledge that it may soon be stormy weather in Muskville.

source zerohedge and a few other places.
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I've spent the last two years trying to wake people up to these Agenda 21 death cars.  These aren't just any old electric (think VOLT) or other hybrid self charging bs. These cars ARE DESIGNED TO BE FLY BY WIRE, REMOTE CONTROLLED, DEATH MOBILES. They are designed to control your movements, strand you where you cannot get help, and keep you from having the freedom of travel that gas cars give us all. All for some fake global warming scam bs they cooked up to sell these shite boxes that only rich soy boys can afford and often, buy.

But worst of all, they are also designed as rolling thermite bombs, producing temperatures that not even firemen can put out, and they don't.

That's why I am on about it. If you are an INVESTOR in this, get out. Day trader, no worries, cuz you go both ways, like any other stock. You have children to feed and money to earn - this is understood.
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