Electric car maker Tesla is facing a possible investigation into alleged wrongdoing by CEO Elon Musk, sources told The Wall Street Journal recently. The company’s board of directors has expressed concern over suspicions that Musk is using company funds to build a personal residence near the Austin gigafactory, known locally as Project 42. The initiative is said to cover key custom glass purchases that attracted staff attention last year. Additionally, several limited companies associated with Musk and Tesla executives have recently purchased substantial land.

All purchases over $120,000 must be approved by a board committee.

According to insiders, the home’s design included a distinctive “twisted hexagon”, or glass cube, similar to Apple’s iconic 5th Avenue store. The plans reportedly include personal spaces such as bedrooms, bathrooms, and kitchen, showing a private residence rather than a Tesla-related project.

At this time, the status and results of the investigation have not been disclosed. It is noteworthy that Tesla disbanded its public relations department a few years ago and Elon Musk refrained from commenting on this news. The board’s main goal is said to be to determine Musk’s involvement and to find out if employees’ working time was used to build his personal residence. While Bloomberg had previously reported on the glass order, the existence of the board’s investigation and the nature of Project 42 were unknown.

While it’s not unusual for executives to receive perks like private jets, Tesla has a relatively strict policy on this. The company requires that any expenditure exceeding $120,000 involving a related party such as the CEO undergo a thorough audit review by a board committee.

This isn’t the first time a senior technology executive has scrutinized personal spending. Meta, formerly Facebook, recently launched an investigation into Sheryl Sandberg, who resigned as chief operating officer over allegations that she used company resources for personal purposes such as planning a wedding and suppressing negative media coverage of her former partner Bobby Kotyk. But Musk’s case stands out because of his prominent role as CEO.

Elon Musk is also currently in an ongoing battle with the Securities and Exchange Commission over his use of social media to disseminate financial information. As the investigation progresses, the results could have far-reaching implications for Tesla and Elon Musk, potentially requiring close scrutiny by industry analysts and stakeholders alike.