A class-action lawsuit has been filed against Elon Musk, alleging fraud in a $1 million voter giveaway promotion that has sparked controversy and legal challenges.
At a Glance
- Arizona resident Jacqueline McAferty filed a class-action lawsuit against Elon Musk and his pro-Trump America PAC
- The lawsuit alleges that the $1 million-a-day lottery was fraudulent, with predetermined winners
- Accusations include using the promotion to drive traffic to Musk’s X platform and collect personal data
- A Philadelphia judge ruled that the giveaway could continue through Election Day despite ongoing legal challenges
- The Justice Department warned that the lottery could violate federal law against paying people to register to vote
Lawsuit Claims Fraud in Musk’s $1 Million Giveaway
Elon Musk, the billionaire entrepreneur and owner of X (formerly Twitter), is facing a class-action lawsuit over a controversial $1 million-a-day giveaway promotion. The lawsuit, filed by Arizona resident Jacqueline McAferty in a Texas federal court, alleges that the promotional event was fraudulent and misled participants about the selection process for winners.
The promotion, organized by Musk’s pro-Trump America PAC, promised to randomly select winners from registered voters in swing states who signed a petition supporting the Constitution. However, the lawsuit contends that the selection process was predetermined rather than random, as initially advertised.
Allegations of Data Collection and Platform Manipulation
One of the key allegations in the lawsuit is that the giveaway was used as a means to boost traffic to Musk’s X platform and collect valuable personal data from participants. McAferty claims that the America PAC “profited” from this data collection, raising questions about the true intentions behind the promotion.
“The $1 million recipients are not chosen by chance,” Chris Gober said during the Monday hearing in the Philadelphia case. “We know exactly who will be announced as the $1 million recipient today and tomorrow.”
This statement from Chris Gober, identified as America PAC’s former treasurer, directly contradicts Musk’s initial claim that winners would be chosen “randomly,” as he said when he announced the contest at a political rally in Pennsylvania. The discrepancy between these statements forms a central part of the lawsuit’s fraud allegations.
Legal Challenges and Ongoing Controversy
Despite the serious allegations, a Philadelphia judge ruled that the $1 million giveaway could continue through Election Day. This decision came amid claims that the results were not random and concerns raised by the Justice Department that the lottery could violate federal law against paying people to register to vote.
Elon Musk was sued in a proposed class action by registered voters who signed his petition to support the Constitution for a chance to win his $1 million-a-day giveaway, and now claim it was a fraud https://t.co/mmRfqgUQMo pic.twitter.com/sb7lEexiW0
— Reuters Legal (@ReutersLegal) November 5, 2024
The lawsuit also accuses Musk of breach of contract, alleging that false statements were made to collect user data. Participants were required to provide personal information without limitations on its use or sale by America PAC, raising privacy concerns.
Adding to the controversy, Robert Anthony Alvarez from Michigan filed a separate lawsuit, claiming the contest was presented as a “nonpartisan giveaway” but showed a pattern of selecting winners who are Republicans or Trump supporters. Alvarez stated, “A closer look at the recipients of the $1 million prize shows a clear pattern: that the selection not only is not random, but is a targeted process that eliminates anyone who is not a Republican or vocal supporter of former President Trump.”
As the legal battle unfolds, Musk’s representatives have not responded to requests for comment on the allegations. The outcome of this lawsuit could have significant implications for how promotional giveaways are conducted in the future, especially those involving political action committees and social media platforms.
