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Rep. Stephen Lynch and Ranking Member Connolly Lead Oversight Investigation Into Elon Musk’s Conflicts of Interest at DoD, Citing Whopping $9.5 Billion in Defense Contracts

Rep. Stephen F. Lynch, and Rep. Gerald E. Connolly, Ranking Member of the Committee on Oversight and Government Reform, sent a letter to U.S. Department of Defense (DOD) Acting General Counsel Charles L. Young III requesting documents, information, and answers as to how DOD is ensuring Elon Musk is not using his position as a Special Government Employee (SGE) to enrich himself or his companies in violation of federal ethics rules.  As Elon Musk and his DOGE lackeys gut and terminate vital programs and services Americans rely on under the guise of “efficiency,” he has conveniently ignored the potential waste, fraud, and abuse stemming from his own companies’ lucrative contracts worth billions in taxpayer dollars.  Ethics laws prevent political appointees, including SGEs, from taking part in any matter that might impact their personal finances.  Yet, as of February 2025, Mr. Musk and his companies have received a combined total of at least $38 billion in contracts, loans, subsidies, and tax credits from the federal government and state governments. In fact, Mr. Musk’s businesses have been more reliant on government funds than many of his competitors.    

 
“At DOD, where Mr. Musk’s companies have benefitted from contracts, been under investigation, and are angling for vast amounts of new business, his control of DOD operations and defiance of recusal laws directly benefit his businesses,” wrote the Members. “The known conflicts of interest presented by this arrangement are illegal and must be addressed immediately.”

Financial Benefits to Musk’s Companies from DOD include:


  • Mr. Musk’s space exploration company, SpaceX, its affiliated satellite internet service, Starlink, and Mr. Musk’s car company, Tesla, have enjoyed $13.5 billion in federal benefits from DOD since 2003. This includes at least $9.5 billion in direct contract funds Mr. Musk’s companies have received from DOD.
  • On April 4, 2025, SpaceX was awarded a $5.9 billion contract to support U.S. Space Force rocket launches and satellite operations through 2029.
  • Mr. Musk’s SpaceX secured a $102 million Air Force contract to study how SpaceX rockets could deliver cargo across the globe. A former SpaceX employee, now a Pentagon official in the Trump Administration, is working to expand this program in favor of SpaceX.

Furthermore, in their letter, Rep. Lynch and Ranking Member Connolly note that prior to the start of the second Trump Administration, DOD’s Office of Inspector General, the Air Force, and the Pentagon’s Office of the Under Secretary of Defense for Intelligence and Security all reportedly initiated separate reviews of whether Mr. Musk and his company SpaceX repeatedly failed to comply with requirements for reporting the details of meetings with foreign leaders.  The DOD Inspector General was fired by President Trump shortly after he took office and it is unclear if the Office is still conducting those reviews.

In order to ensure that DOD is complying with federal ethics and other relevant laws with respect to Elon Musk, the Members requested that DOD provide information, documents, and answers by April 23, 2025.  

Click  here to read the letter to Acting General Counsel Charles L. Young III. 

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