Administration has fired inspectors generals and attempted to shut down agencies tied to Musk probes. Democrats are raising alarms that the Trump administration is eliminating government watchdogs and allowing White House adviser Elon Musk to blatantly enter into potential conflicts of interest through his Department of Government Efficiency (DOGE) spending cuts operation. The warning from Schiff is just the latest sign of concern over Musk’s unprecedented role within the government as both a White House employee and a businessman with billions of dollars in federal contracts and potential regulation costs on the line.
He is also in a position to lob accusations at rival businesses holding government contracts with engaging in “fraudulent” activities to eliminate his competition. Musk has claimed that he has discovered, in mere days, wide-ranging fraud in a number of agencies, but has yet to provide any evidence. Musk’s companies, including Tesla and SpaceX, have reportedly obtained at least $15.4 billion in government contracts in recent years, and his portfolio of companies, ranging from space to social media to transportation, are frequently in contact with federal regulators.
The administration’s push to rapidly slash funding and shutter agencies it deems unaligned with its objectives has had direct impacts on bodies that are already or could one day investigate Musk’s businesses. The office sent a letter to Tesla last week informing the company it had ceased its review of the company and of a factory in Fremont, California, that has been the subject of numerous allegations of racism.
Last month, the White House removed scores of inspectors general across federal agencies, including at agencies looking into Musk’s companies. The Independent has contacted the White House for comment. The administration has consistently said it will make sure Musk avoids conflicts of interest. “If Elon Musk comes across a conflict of interest with the contracts and the funding that DOGE is overseeing, then Elon will excuse himself from those contracts,” White House Press Secretary Karoline Leavitt insisted recently.