Topline

Elon Musk’s pro-Trump super PAC continued its $1 million daily prize giveaway to registered voters in swing states who agreed to sign a petition on Thursday, despite reportedly being warned by the Justice Department that the prizes may be violating federal law.

Key Facts

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News Peg

Citing anonymous sources, CNN reported Wednesday that the DOJ’s public integrity division—which investigates potential election crimes—sent a letter to America PAC “in recent days” warning its $1 million giveaway to voters may violate federal law.

Key Background

America PAC—which according to Federal Election Commission filings is almost entirely funded by Musk—is giving away a $1 million prize each day to a random person who has signed a petition on their website “pledging [their] support for the First and Second Amendments.” To be eligible for the prize, the person will need to be a registered voter in one of the seven key battleground states. The giveaway has drawn criticism and triggered concerns from legal experts who point to federal election law, which says anyone who “pays or offers to pay or accepts payment either for registration to vote or for voting,” could face up to a $10,000 fine and five-year prison sentence. Pennsylvania’s Democratic Gov. Josh Shapiro has also criticized the giveaway, saying Musk is free to express his views, but “when you start flowing this kind of money into politics, I think it raises serious questions that folks may want to take a look at.” Musk, who has endorsed former President Donald Trump and announced the giveaway at a Trump rally, has pushed back, saying the winner “can be from any or no political party and you don't even have to vote”.

Forbes Valuation

According to our estimates, Elon Musk’s net worth is $269.8 billion—making him the world’s richest person. The billionaire’s net worth rose by $26 billion on Thursday, fueled by a surge in Tesla’s stock price.

Further Reading

DOJ Reportedly Warns Elon Musk His $1 Million Voter Giveaways May Be Illegal (Forbes)