A US judge on Friday rejected Elon Musk’s demand to move Pennsylvania’s lawsuit over $1 million in voter rewards to federal court, sending the case back to state court.
It was not immediately clear whether the decision would affect the billionaire’s plans to continue giving away money awards until the US presidential election on Tuesday.
The decision was issued by U.S. District Judge Gerald Papert in Philadelphia federal court.
Musk is giving away $1 million checks to randomly selected registered voters who sign a petition supporting free speech and gun rights.
Musk’s America PAC had awarded $1 million to 14 people as of Friday and said the final award would be given on Tuesday.
Democratic Philadelphia District Attorney Lawrence Krasner sued Musk and his political action committee, which supports Republican former President Donald Trump, in a state court on October 28 to try to block the gift. Krasner called the program an illegal lottery.
Two days later, Tesla CEO Musk and his America PAC sought to take it to federal court, arguing that Krasner’s lawsuit raised questions about free speech rights and election interference that belong in federal court. This prompted the state judge overseeing the case to stop it.
Arguing that the case belongs in state court, Krasner described Musk’s maneuver as an attempt to “run the clock until Election Day.” Krasner did not allege that giving the gifts violated federal law.
Philadelphia is Pennsylvania’s largest city, one of seven battleground states that are likely to determine the outcome of the race between Trump and his Democratic rival, Vice President Kamala Harris.
Musk’s offer is limited to registered voters in the seven states where the election is expected to be decided — Arizona, Georgia, Michigan, Nevada, North Carolina, Pennsylvania and Wisconsin.
Musk gave the first $1 million at an America PAC rally in Harrisburg, Pennsylvania’s state capital, on October 19.
The gift falls into a gray area of election law, and legal experts are divided over whether Musk could violate federal laws against paying people to register to vote.
According to media reports, the US Justice Department warned America PAC that the gift may violate federal law, but federal prosecutors have taken no public action.
According to federal disclosures, Musk has given nearly $120 million to America PAC so far.
(Except for the headline, this story has not been edited by NDTV staff and is published from a syndicated feed.)