Elon Musk’s America PAC: Payment Controversy Sparks Backlash Among Supporters

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Elon Musk entered the political world with a splash, launching his America PAC—a political action committee intended to amplify conservative causes and champion free speech.

While many conservatives initially saw the PAC as a refreshing addition to the political landscape, recent developments have frustrated and disillusioned some supporters. Chief among the complaints is the PAC’s handling of payments to individuals involved in its electronic petition signing initiative—a debacle now sparking serious allegations, online backlash, and legal scrutiny.

Financial Backing and Bold Initiatives

America PAC has been a significant force in recent political campaigns, particularly as the canvassing ground game late in the presidential election. Reports indicate that Musk’s super PAC spent approximately $200 million to help reelect Donald Trump, setting a new precedent for billionaire political influence.

The PAC was officially registered with the Federal Election Commission on March 10, 2024. By October, it had launched an ambitious petition initiative focused on protecting the First and Second Amendments.

Participants were incentivized with $47 per referral of swing state voters who signed the petition, and in competitive states like Pennsylvania, this amount was increased to $100.

Musk even promised to give $1 million daily to a randomly chosen swing state petition signer until election day, later clarifying the winners were selected based on criteria, not at random. This is an important legal distinction in light of state laws on lotteries.

This effort targeted registered voters in swing states, including Pennsylvania, Georgia, Nevada, Arizona, Michigan, Wisconsin, and North Carolina, aiming to rally support for constitutional freedoms.

Controversies Emerge

Despite its ambitious goals, America PAC soon faced mounting challenges. UCLA Law professor Rick Hasen described the $1 million giveaway as a “clearly illegal” violation of section 52 of the U.S. Code governing election regulations.

Following this, the Department of Justice warned the PAC about potential legal breaches but Musk’s PAC carried on with announcing daily “winners.”

Philadelphia District Attorney Larry Krasner filed a lawsuit against Musk and the PAC, alleging that the initiative was an “illegal lottery scheme” under state law.

Although Musk’s team clarified that “winners” were selected based on subjective evaluations rather than random chance, and the suit was dismissed, the legal and ethical implications of the PAC’s strategies remain hotly debated.

Payment Delays and Fraud Allegations

The PAC’s payment system has also drawn sharp criticism. Participants, who had eagerly joined the initiative expecting prompt compensation have reported significant delays in receiving payments. In many cases, promised funds never materialized, and communications have stalled.

Adding to the chaos, the PA Attorney General’s office received complaints from individuals who were mailed $100 checks despite never signing the petition. As of December, the AG reports at least 24 such complaints

For example, a York County resident, Jeanne Fermier, received a check she did not expect and had not participated in the petition. Many suspect unknown individuals fraudulently signed up others to claim referral bonuses.

To address these issues, America PAC launched a Help Desk last month and posted an FAQ page about payment concerns.

According to the site, payments are delayed for various reasons, including the need to verify that signatures align with voter files, review flagged transactions for potential fraud or mismatches, and process cases requiring IRS Form W-9 submissions for payments over $600.

However, many participants remain skeptical about the effectiveness of these measures, describing the Help Desk as slow and unresponsive.

One social media user wrote:

Haven’t received a single thing (no notice, no $, nothing) despite having signed and referred AND contacted the “help desk” several times now. #Wisconsin

Social Media Backlash and Legal Action

Frustration over payment delays has fueled a grassroots movement on social media. On Musk-owned X, previously Twitter, participants have shared their grievances in a digital community called America PAC Payouts and coordinated efforts to hold the PAC accountable.

Some have suggested filing a class-action lawsuit, alleging breach of contract. An X user from Michigan, who claimed to have worked 12-hour days gathering signatures, wrote:

Chime in with how much you think you’re owed!  I’m talking to some big class action lawyers right now, wanna get the total damages together for them.I’ll start.>$100,000

These efforts have also turned their focus on Elon Musk directly. Tagging Musk in posts, affected individuals hope to prompt a public response, but thus far, Musk has remained silent on the matter.

Broader Implications for Conservative Advocacy

The controversy surrounding America PAC extends beyond logistical issues; it has serious implications for the conservative movement. Initially seen as an innovative model of private-sector political advocacy, the PAC’s struggles have raised concerns about mismanagement and overreach.

For conservatives, the debacle tarnishes the PAC’s reputation and undermines faith in its leadership. America PAC’s mission to disrupt the political status quo now risks becoming a cautionary tale about the importance of operational integrity and transparency.

Make ‘@America’ Great Again and DOGE the PAC

To restore its standing, America PAC must take swift and decisive action. Musk, who is set to co-run the Department of Government Efficiency (DOGE) with Vivek Ramaswamy —should apply that same energy to first fixing his own PAC. Much like the DOGE advisory initiative aimed at reducing bureaucratic bloat requires transparency, America PAC must rebuild its foundation on these principles.

Using the anagram DOGE, the PAC should address its issues starting with:

  • Disclosure to provide a clear account of payment delays and outline measures to resolve them, providing a clear account of payment delays and outlining the measures being taken to resolve them.
  • On-time Payments so that all participants receive the compensation they were promised, reaffirming their faith in the initiative.
  • Guidance is equally crucial, with Musk needing to publicly address the concerns of participants to demonstrate accountability and leadership.
  • Efficiency is essential. By implementing robust systems to verify signatures, prevent fraud, and streamline communications, the PAC can restore credibility.

 

Reviving the Vision of America PAC

America PAC’s rise and subsequent challenges highlight the complexities of mixing innovation, wealth, and politics. While its ambitious goals captured the imagination of many conservatives, the execution has left much to be desired.

The path forward requires humility, accountability, and a renewed commitment to the principles it seeks to champion.

Musk’s ability to navigate these challenges could not only salvage America PAC but also set the stage for the larger responsibilities ahead in his collaboration with Ramaswamy.

To truly champion public sector accountability, Musk must first DOGE his own PAC—delivering organization, governance, and efficiency to meet the high expectations of his supporters.


Writer’s note: I am a pretty big fan of Elon Musk, even before it was in vogue.

Just yesterday, I wrote a defense of the Boring Company’s project, here:

Aside from being a “fan,” I actually believe in the principles espoused by Musk, his PAC, DOGE, and the free speech values that led to his purchase Twitter, now X. This isn’t an opportunistic, politicized “hit piece.” It’s just a report that the wealthiest man on the planet promised Americans checks, and that’s a bumpy and stalled endeavor.

And, the media isn’t covering this story, so in the interest of transparency:
I will. 
Article originally published on X.