Elon Musk’s Boring Company to face major regulatory scrutiny in Las Vegas

Elon Musk’s “The Boring Company” is facing major regulatory scrutiny after being accused of nearly 800 environmental violations tied to its underground tunnel project in Las Vegas.

The development came at a time when Tesla, owned by Musk, already facing scrutiny from US federal regulators after a series of alarming incidents involving its Full Self-Driving (FSD) feature.

According to a new report by ProPublica, the company, which was contracted to build 68 miles of tunnels to ease the city’s traffic congestion, has allegedly breached multiple environmental and worker-safety standards.

The Nevada Division of Environmental Protection (NDEP) issued a cease-and-desist letter on September 22, accusing the firm of illegally dumping wastewater into storm drains and onto public roadways, actions that violate a 2022 settlement agreement.

While the violations could have led to more than $3 million in penalties, regulators opted to reduce the fine to $242,800, citing “extraordinary discretion.”

The letter stated that the fine, set at $5,000 per violation per permit, was still intended to deter future noncompliance.

For those unversed, the Boring Company, valued at around $7 billion in 2023, has faced mounting criticism over its safety and compliance record.

Notably, Musk, has long expressed disdain for regulatory hurdles, often choosing to pay fines rather than seek pre-approval.