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Elon Musk can continue his controversial cash giveaways to registered voters for now, according to a Pennsylvania state judge.
The billionaire, through his political group America PAC, has been offering $1 million daily prizes to registered voters in swing states who sign a petition supporting free speech and gun rights.
This initiative has raised concerns among U.S. officials, who suggest it may violate electoral laws, though Musk denies any wrongdoing.
Philadelphia District Attorney Lawrence Krasner filed a lawsuit against Musk this week, seeking to halt the giveaways immediately before the upcoming presidential election.
At a hearing on Thursday, Judge Angelo Foglietta decided to put the lawsuit on hold while a federal court determines whether to take up the case. If the federal court declines, the case will return to state court.
In a post on X, the platform Musk owns, he celebrated the ruling, calling it "American Justice FTW (for the win)."
However, it is unlikely the case will be resolved before Tuesday's election.
John Summers, a lawyer working with Krasner, stated, "We will proceed to federal court and address the issues there, seeking to have the matter remanded back to state court. After all, this is a case that involves state law issues."
Musk did not appear at the Philadelphia court hearing. Earlier this month, he announced that he would randomly award $1 million prizes to people in battleground states — Pennsylvania, Georgia, Nevada, Arizona, Wisconsin, Michigan, and North Carolina — every day until Nov.5.
These states are expected to play a crucial role in the tight contest between Republican former president Donald Trump and Democratic Vice President Kamala Harris.
On Thursday, another winner was announced. America PAC stated that Dacey from Fremont, North Carolina, had won a $1 million check. To be eligible, participants must release personal identifying information, such as addresses and phone numbers, and sign a pledge supporting the U.S. Constitution.
The lawsuit against Musk claims he is "running an illegal lottery." Krasner's lawsuit alleges, "America PAC and Musk are lulling Philadelphia citizens... to give up their personal identifying information and make a political pledge in exchange for the chance to win $1 million. That is a lottery. And it is indisputably an unlawful lottery."
The lawsuit also accuses Musk of violating consumer protection laws by using "deceptive, vague, or misleading statements" that could create confusion. Musk's lawyers argue that the complaint is politically motivated and focuses on preventing alleged interference with the federal presidential election.
Just a day before Judge Foglietta's ruling, Krasner's team requested enhanced security for the hearing after Musk retweeted a post insulting Krasner, which led to threats against him. "It immediately triggered an avalanche of posts from Musk’s followers. Many made antisemitic attacks on Krasner," Krasner's team wrote in a legal filing.
Before the case was filed, the U.S. Department of Justice warned America PAC that the lottery-style giveaway might violate federal election law. Musk could face up to five years in prison if found guilty of breaking the law. Despite this, Musk, who has been aggressively campaigning for Trump, insists that voters do not need to register as Republicans or cast a vote to be eligible for the prizes.