Judge probes whether Musk settlement with Trump admin is tainted by corruption

A federal judge cast doubt on the motives behind the SEC's $1.5 million settlement over Elon Musk's Twitter purchase, suggesting the deal may have been crafted to avoid penalizing him personally . Judge Sparkle Sooknanan said she must consider whether the settlement is "tainted by improper collusion or corruption" . The judge questioned why the settlement was structured to remove Musk personally as a defendant, suggesting it had been crafted "for the sole purpose of Mr. Musk being able to say that no relief was entered" .

Source: Ars Technica | 2026-05-14