Restaurateur Kimbal Musk and his brother Tesla Inc. CEO Elon Musk are under investigation by the Securities and Exchange Commission for potential violation of insider-trading rules, according to a report in the Wall Street Journal Thursday

The investigation began last year, according to the report, which cites unnamed sources. It was triggered after Kimbal Musk sold shares of Tesla valued at $108 million one day before Elon Musk polled Twitter users asking if he should sell 10% of his shares in the car company. The poll was viewed as negative after 58% of respondents said he should sell, causing the stock price to drop.

Investigators are expected to look into whether Kimbal Musk, who serves on Tesla’s board, knew about the tweet poll before it was posted, prompting his trade.

Neither Kimbal Musk, Tesla or the SEC immediately responded to requests for comment.

Kimbal Musk co-founded of The Kitchen Restaurant Group, based in Boulder, Colo., with chef and restaurateur Hugo Matheson. The group began in 2004 with The Kitchen American Bistro, which boasts three locations on its website.

In 2011, the group developed a more-casual concept called Next Door American Eatery, which was expected to grow across the country, reaching as many as 50 units by 2020

Earlier this week, the group announced that Next Door would be rebranded as ND StreetBAR, with a new menu of sharable plates and cocktails that draw inspiration from street food carts around the world.

ND StreetBAR has four locations in Colorado, including downtown Denver’s Union Station, Boulder, Fort Collins and Eastbridge, as well as one unit in Indianapolis.

Sam Hallack, chief operating officer of The Kitchen Restaurant Group, said in a statement, “Over the last 24 months, we were afforded the time to reconsider what we love most about restaurants. Our conversations always circled back to the same things: a love of killer drinks, unexpected flavors and vibrant and eccentric spaces. At the end of the day, we’re in the business of creating unforgettable experiences and the new ND StreetBAR is the perfect start or end to a night out.”

Kimbal Musk also served as a board member for Chipotle Mexican Grill from 2013 to 2019, when he reportedly stepped down, declining to run for re-election.

He is also co-founder of the vertical farming concept Square Roots, and he launched Big Green, a non-profit that builds learning gardens in schools. 

Contact Lisa Jennings at [email protected]

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