Tesla CEO Musk faces legal action for supporting Trump. Philadelphia prosecutors in Pennsylvania accused him and his pro-Trump organization America PAC of conducting illegal raffles, deceiving voters to provide personal information in exchange for a chance to win $1 million. Prosecutors stated that this behavior violates state laws, may affect the fairness of elections, and are seeking to stop the activity
Tesla CEO Elon Musk's latest move to gamble on Trump has sparked a lawsuit, with local prosecutors in swing states in the United States officially filing charges.
On Monday, October 28th local time, the Philadelphia District Attorney's Office (DAO) in Pennsylvania, the largest prosecutor's office in the state, filed a lawsuit accusing Musk and his organization, the American Political Action Committee (America PAC), established to support Trump's campaign, of conducting "illegal raffles" in an attempt to stop actions that could influence voters.
The lawsuit alleges that during a rally on October 19th, Musk announced that if registered voters provided personal information such as address, phone number, and email, and signed a petition supporting the Constitution by America PAC, they would be eligible to participate in a random draw with a chance to win a $1 million prize. The complaint states:
"In other words, America PAC and Musk are enticing citizens of Philadelphia, as well as other citizens of the federal government (and citizens of other swing states in the upcoming election), to give up their personal information and make political commitments in exchange for a chance to win $1 million. That is a lottery, undoubtedly, an illegal lottery."
The lawsuit states that under Pennsylvania law, all lotteries in the state must be regulated by the state government. The lottery also violates the state's consumer protection law because it "uses deceptive, vague, or misleading statements that may cause confusion or misunderstanding."
Philadelphia prosecutor Larry Krasner, who filed the lawsuit, stated in a statement released this Monday that prosecutors in the Philadelphia area are responsible for protecting the public from public nuisances and unfair trading practices, including illegal lotteries, and are also responsible for preventing interference with the fairness of elections.
An article on Wall Street News last week stated that Musk's support for Trump may be his boldest gamble to date. From satellites to autonomous driving, from brain chips to AI robots, Musk's technologies face significant regulatory obstacles before going public. If Trump is elected, Musk will gain significant influence over regulatory agencies.
The article mentioned that Musk's raffle has drawn increasing criticism and legal controversy. Pennsylvania Governor Josh Shapiro stated that law enforcement should consider whether Musk's raffle activities violate election laws. Legal scholar Richard Hasen, who studies election law, stated that Musk's commitments violate the core provision of the federal election law that prohibits the purchase of votes.
Last week, CNN learned that the Department of Public Integrity at the U.S. Department of Justice, responsible for handling cases related to new settlements, has written to America PAC, warning that the committee's daily distribution of $1 million may violate federal law. It is currently unclear what actions the Department of Justice may take if the situation is confirmed