SolarCity to pay $29.5 million to resolve U.S. government allegations

WASHINGTON (Reuters) – SolarCity has agreed to $ 29.5 million to settle U.S. allegations that it had violated federal law “by submitting inflated claims” to the federal government, the U.S. Justice Department said in a statement on Friday.

The department said the there was no determination of liability as part of the settlement with SolarCity, now owned by Tesla Inc (TSLA.O), and that the company had also agreed to drop related litigation.

Reporting by Susan Heavey

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Tech

Microsoft’s CEO explains why his company sued the U.S. government

Microsoft surprised the world last month when it filed a lawsuit against the U.S. Department of Justice, alleging that the frequent practice of attaching gag orders to search warrants for customer data violates the U.S. Constitution.

On Monday, CEO Satya Nadella told a group of tech luminaries why the company did so: Microsoft has a strong view on its privacy promises to users, and the company will fight to prevent government overreach that, in its view, compromises the principles of privacy. 

Governments have a compelling need to help preserve public safety, but Microsoft wants to make sure that users’ privacy is also preserved, Nadella said. 

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