Federal Investigation Launched Over Tesla's Delayed Reporting of Vehicle Collisions to U.S. Regulators
Tesla Faces Scrutiny Over Delayed Crash Reports
The National Highway Traffic Safety Administration (NHTSA) is investigating delays by Tesla Inc. in reporting details of crashes involving driver-assistance technology. This probe comes as part of multiple active inquiries targeting Tesla, including a probe of whether its Full Self-Driving system is defective.
The NHTSA's investigation is focused on assessing the cause of the late reports and preventing future violations. According to the agency, multiple incident reports from Tesla were submitted several months or more after the crashes occurred.
Companies are generally required to file such reports within one or five days of receiving notice of a crash, as per an agency order. Companies can face penalties of up to $27,874 per violation per day, with a maximum fine of over $139 million, for violating the reporting provisions of the order.
The government order, which was put in place under former President Joe Biden, requires automakers like Tesla to share details of crashes involving driver-assistance systems and advanced automated-driving systems. Under President Donald Trump, NHTSA loosened some aspects of the crash-reporting requirements earlier this year.
Tesla markets its technology under names such as Autopilot and Full Self-Driving. The delays were due to an issue with Tesla's data collection, which Tesla claims has now been fixed.
The NHTSA's investigation involves at least one crash resulting in a fatality. This probe heightens scrutiny of Tesla and its driver-assistance systems, which Tesla's CEO Elon Musk sees as crucial to the company's future growth.
Recently, Tesla began a driverless-taxi service in its home city of Austin. The NHTSA's Office of Defects Investigation has opened an audit query to further assess the cause of the late reports and prevent future occurrences.
At the time of writing, Tesla shares remained little changed at 10:24 a.m. in New York. The company did not immediately respond to a request for comment.
