If the tangled web between Elon Musk and SolarCity (SCTY) and Tesla Motors (TSLA) wasn't bad enough, the leader has now made a strange move to invest in solar bonds from SolarCity. The deal involves Musk and his founding cousins investing $100 million in the debt. The prime issue is that Tesla Motors is in the process of purchasing SolarCity and the fiduciary questions this move raises. A merger with Tesla helps debt become more secure of paying in the future. Not only is it a troubling move that the executives are so intertwined in the financials, but reportedly SpaceX has invested in the bonds as well. These interdealings with Musk and the 3 companies he runs seems eerily similar to the moves by the founding CEO of LendngClub. Instead of focusing solely on running the business, he set up funds to invest in the loans and even had family members originate loans on the marketplace. The end result is conflicting interests and a business with an altered demand profile. What exactly is the demand for these solar bonds if Lyndon and Peter Rive along with Musk invested $100 million of the $124 million offering??? Will we next find that a bunch of solar panels were installed at Musk owned properties or friends of the family???Does one need any more Warning Signs to run away?Disclosure: No position