Elon Musk and PAC know voting lottery is illegal, DA says

A judge on Monday rejected a request from the Philadelphia district attorney to block a $1 million daily drawing Tesla CEO Elon Musk's political action committee is targeting voters in registered voters in Pennsylvania and other swing states ahead of Election Day.

Philadelphia County Common Pleas Court Judge Angelo Foglietta issued the order after an hours-long hearing in which prosecutor Larry Krasner testified that America PAC's sweepstakes was a “fraud,” a “crime” and “illegal “Lottery”.

“They know what they're doing is illegal and they're doing everything in their power to eliminate it,” Krasner said of Musk and the billionaire's America PAC, which is supporting Donald Trump in the presidential election against Kamala Harris .

America PAC has so far awarded $17 million to people in swing states who sign a petition supporting the Constitution, and said it will pay out the final installment of $1 million on Tuesday, Election Day.

Foglietta said in his order that he would later outline his reasons for denying Krasner's request for a preliminary injunction in a written decision.

His order does not end prosecutors' civil lawsuit accusing Musk and the PAC of violating Pennsylvania lottery and consumer protection laws with the sweepstakes.

Krasner said Monday that his legal battle was actually made tougher by the PAC's admission that the honorees were not selected at random, as Musk had claimed.

Chris Young, America PAC's treasurer, testified that he was surprised when Musk used the term “random” at a public event last month to announce the giveaway.

“Not the word I would have chosen,” Young said.

He testified that the honorees were interviewed before the awards were announced to “find out their personality and make sure they are someone whose values ​​align with the PAC” that pays them to appear as speakers.

“The $1 million recipients are not chosen at random,” the PAC’s former treasurer Chris Gober said Monday.
“We know exactly who will be announced as the $1 million recipient today and tomorrow.”

During Monday's hearing, Krasner suggested that Musk and the America PAC may have violated criminal laws with the giveaway.

“There is no right to commit crimes under the First Amendment,” the prosecutor testified. “There is no First Amendment right to commit fraud.”

Under questioning by attorney John Summers, who represents Krasner's office, the prosecutor said the fact that he is a Democrat had nothing to do with his decision last week to sue Musk and America PAC last week.

Krasner also said during questioning that he drives a Tesla and has had one since 2016.

“I like the Tesla,” the prosecutor testified.

Asked whether he would have sued pop star Taylor Swift, who supports Harris, if she had offered the $1 million prize that Musk is looking for, Krasner said he would.

He pointed out that he has sued Democrats in the past.

Before the hearing, Gober, who was treasurer of America PAC until last week, told reporters: “We're in court today because a district attorney in Philadelphia wants to silence Elon Musk for supporting Donald Trump.”

“Let me be clear: No district attorney, no prosecutor, no matter how powerful they are, can take away the First Amendment freedoms that are the foundation of this nation,” Gober said.

Gober later testified that the PAC's drawing did not meet the characteristics of an illegal lottery because “there is no prize to be won. Instead, we enter into contractual obligations to serve as spokespersons for the PAC.”

Gober also testified that although Musk used the word “random” to describe how recipients are selected, that word “is used in exchange for the words 'random.'”

“We are asking people to sign the petition and directing others to sign the petition,” Gober testified. “We then take that group of people across the country and determine which of those people would serve as an effective spokesperson and enter into a contractual commitment with them.”

“We know exactly who will be announced as the million-dollar recipient today and tomorrow,” he testified.

Summers, the prosecution attorney, seized on Gober's statement, calling it “a clear admission of liability” in the lawsuit.

And Krasner testified that evidence he reviewed as part of an “ongoing criminal investigation” suggests that the recipients should be chosen at random.

“I've spent 37 years in court, this is one of the most disingenuous things I've ever heard,” Krasner said of Gober's statement that “coincidence” was interchangeable with “coincidence.”

“Let’s just say our case got better this morning,” the prosecutor said.

Gary Grumbach reported from Philadelphia and Dan Mangan from New York.