The Department of Justice (DOJ) is reportedly conducting an investigation into Tesla over concerns that the company's self-driving claims may constitute securities or wire fraud. According to sources familiar with the matter, U.S. prosecutors are examining whether Tesla misled investors and consumers about the capabilities of its electric vehicles' self-driving technology.

Specifically, the DOJ is focusing on statements made by Tesla and its CEO, Elon Musk, regarding the company's self-driving efforts. Last year, Tesla revealed that it had received subpoenas from the DOJ concerning its Autopilot system and self-driving initiatives. However, the recent report by Reuters indicates that the investigation now includes potential wire fraud and securities fraud.

Sources reveal that investigators are looking into whether Tesla engaged in deceptive practices in interstate communications, a key element of wire fraud, by misrepresenting the capabilities of its driver-assistance systems to consumers. Additionally, they are examining whether Tesla deceived investors, which could constitute securities fraud.

The Securities and Exchange Commission (SEC) is also said to be evaluating these claims in a parallel investigation. These investigations come at a time when Musk has been increasingly asserting that Tesla is on the verge of achieving full self-driving capabilities. Notably, Tesla recently changed the name of its system from "Full Self-Driving Beta" to "Supervised Full Self-Driving."

While some experts have questioned the veracity of Musk's statements over the years, asserting that they overpromise what the technology can deliver, others argue that he has exercised caution in his assertions, albeit with a few notable exceptions. Nevertheless, concerns over potential legal consequences for misleading claims persist, with critics warning about the precedent it could set if companies are allowed to make exaggerated statements without accountability.

It should be noted that this is not the first time that the government has scrutinized Tesla over these issues. The outcome of the current investigations remains uncertain, and the extent to which the DOJ's probe will yield significant findings is not yet clear.

As the investigations continue, the industry and consumers alike await further developments in this matter.