US election: Elon Musk due in court as $1 million voter giveaway faces courtroom test

Elon Musk has been ordered to attend a Friday (NZT) hearing in a prosecutor's lawsuit to block the billionaire's US$1 million-a-day (NZ$1.68m) giveaway to registered swing state voters ahead of the U.S. election on 5 November.

The hearing before Judge Angelo Foglietta concerns Philadelphia District Attorney Larry Krasner's bid to halt the giveaway less than a week before the tightly contested U.S. presidential election between Republican former president Donald Trump and Democratic Vice President Kamala Harris.

Krasner, who championed progressive causes when running for district attorney, accuses Tesla chief executive Musk, a Trump supporter, and his political action committee America PAC of hatching an "illegal lottery scheme to influence voters".

Musk promised to give $1 million a day to randomly selected people who signed a petition pledging support for free speech and gun rights. Signatories were required to be registered voters in one of seven states that will likely decide the outcome of the 5 November election - Arizona, Georgia, Michigan, Nevada, North Carolina, Pennsylvania and Wisconsin.

Musk gave away the first $1 million to an attendee of a 19 October rally hosted by America PAC in Harrisburg, Pennsylvania.

Krasner's 28 October lawsuit alleges the giveaway amounts to an illegal lottery unsanctioned by the state, which has sole authority to run and regulate them. The suit also says it violates consumer protection laws by "deploying deceptive, vague or misleading statements" about its rules.

"Running an illegal lottery and violating consumer protections is ample basis for an injunction and concluding that America PAC and Musk must be stopped, immediately, before the upcoming Presidential Election on November 5," the suit said.

Musk and America PAC's lawyers did not immediately respond to a request for comment.

Some legal experts have said Musk's giveaway could also potentially violate federal laws against paying people to vote or register to vote. Others say he is in the clear because people are only required to sign a petition to enter.

Krasner's lawsuit was brought in a Pennsylvania state court and does not allege the giveaway violates federal law.

The U.S. Department of Justice warned America PAC the giveaway could violate federal law, multiple news outlets reported last week, although federal prosecutors have not taken any action publicly.

Musk, ranked by Forbes as the world's richest person, has so far given nearly US$120m (NZ$201m) to America PAC, according to federal disclosures, making the group a crucial part of Trump's bid to regain the White House.

The entrepreneur has increasingly supported Republican causes and this year became an outspoken Trump supporter.

Trump in turn has said that if elected, he would appoint Musk to head a government efficiency commission.

- Reuters