Insider: Musk and SpaceX under multi-department federal review in the US for violating safety reporting regulations
On December 18, according to The New York Times, insiders revealed that SpaceX and its CEO Elon Musk are facing at least three federal investigations for repeatedly failing to comply with federal safety reporting regulations. The Office of the Inspector General of the Department of Defense, the Air Force, and the Office of the Under Secretary of Defense for Intelligence and Security have each initiated reviews, mainly focusing on Musk's failure to accurately report sensitive information such as meetings with foreign leaders.
As a major contractor receiving over $10 billion in government contracts, SpaceX's internal compliance team has repeatedly complained about the company's lax reporting system to the Department of Defense since 2021. Recently, due to potential security risks, the Air Force rejected Musk's application for high-level security clearance; several allies including Israel also expressed concerns about possible leaks of sensitive data.
The issue became more sensitive as Musk was appointed to assist Trump in streamlining federal agencies and participated in Trump’s calls with foreign leaders. As a SpaceX CEO with top-secret security clearance, Musk needs to report his personal life and overseas travel information to the Department of Defense. However, according to insiders he failed to comply with these "continuous review" requirements including not fully reporting his itinerary and medication use.
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