In October 2008, after Musk had confirmed an earlier report that Tesla Motors had only $9 million in cash, he was reported to have hired an outside IT contractor to go through all of the company's email and instant messages, then had a forensic investigator lift fingerprints from a printout discarded near a copier used to leak the email. The email implicated employee Peng Zhou as the source of the company's reported financial status. Zhou had sought to frame other employees at Tesla by claiming in his leaked emails that he was a four-year employee. Musk offered Zhou the option of apologizing to the company and resigning, which he did, rather than face prosecution.
After Zhou separated from Tesla Motors, Musk was reported attempting to catch employees who leaked Tesla Motors corporate secrets, without the prior knowledge of other Tesla Motors executives, by sending each employee a slightly altered version of a memo which Musk expected would be leaked to the media. The plan backfired when general counsel Craig Harding forwarded his own personalized copy of the memo along with a new, stricter nondisclosure agreement mentioned in the memo to other employees, nullifying the plan