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Tesla CEO Elon Musk has been sued for libel and slander by the Thai rescue diver he called a "pedo guy" and "child rapist" on Twitter, according to the lawsuit filed in a USA district court in California.

Now Vernon Unsworth, the diver in question, has filed a lawsuit against Musk in California's Central District Court alleging defamation.

The tech entrepreneur called Mr Unsworth a "pedo" after he criticised Mr Musk in a television interview. You'll recall Unsworth was critical of Elon's efforts to build a mini-submarine to help with the rescue.

Mr Unsworth told CNN that the submarine was "just a PR stunt [that] had absolutely no chance of working" and said Mr Musk could "stick his submarine where it hurts".

The British rescue diver accused of being a "pedo guy" by Elon Musk has sued the combative CEO for libel and slander.

Tesla Chief Executive Officer Elon Musk on Sunday acknowledged that the company was facing more logistical problems now than production delays, in response to a customer complaint on delivery delay. A separate lawsuit is being filed in London for the damages Unsworth, who is British, suffered in England and Wales, his lawyer said.

The battle of words dates back to earlier this summer when a team of 12 Thai soccer players and their coach were trapped in a cave in Northern Thailand.

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The papers say that Mr Musk, 47, "falsely conveyed [he] is a paedophile and child rapist". Mr Mr Unsworth has never engaged in an act of paedophilia. He was offered free legal services.

But on August 28, Musk tweeted again, writing: "You don't think it's unusual he hasn't sued me?"

"Mr Mr Unsworth is not a paedophile".

The billionaire also said he hoped Mr Unsworth would sue him.

The lawsuit explains Unsworth's role in the rescue, saying that on June 23, when the youngsters became trapped, several Thai officials called and asked him to go to the cave as soon as possible. She is a 40-year old owner of a local nail salon.

The row between the pair started as a result of Mr Unsworth criticising Mr Musk's decision to bring a tube to the cave system which the Space X designer said could carry the boys out of the caves.