By Pam Martens and Russ Martens: February 7, 2025 ~

Senator Richard Blumenthal (D-CT) is more alert to the threat of fascism than most Americans. His father fled Nazi Germany at age 18. Blumenthal also knows exponentially more than the average American about the threat of criminal conspiracies to national security: He’s a Yale Law grad and previously worked as the top federal prosecutor in Connecticut as its U.S. Attorney in the Department of Justice.

Unfortunately for Elon Musk, one of the most conflicted and inappropriate corporate CEOs on the planet to be given access by Donald Trump to the U.S. Treasury’s $6 trillion payment system (along with his equally conflicted team of 19-25 year old lackeys), Blumenthal is also the Ranking Member of the Senate Permanent Subcommittee on Investigations (PSI).

For those unfamiliar with just how deeply PSI has the ability to dig, consider the 300-page report that PSI delivered on JPMorgan Chase using hundreds of billions of dollars from its federally-insured bank to gamble in derivatives in London and lose $6 billion. Showing just how blasé corporate boards and Congress have become to CEO malfeasance, JPMorgan Chase’s Chairman and CEO, Jamie Dimon, has survived in this role through the derivatives scandal and the ensuing five felony counts for money laundering, rigging markets and a rap sheet that rivals an organized crime family.

On Wednesday, Blumenthal announced that the six companies in which Musk has a major ownership interest (or he controls) have now come into the crosshairs of the Senate’s Permanent Subcommittee on Investigations. The six companies have been put on alert to “preserve all records”; to promptly answer questions posed to them by the Subcommittee and continue to do so on a biweekly basis.

Those six companies include the electronic vehicle manufacturer Tesla, which as of yesterday’s market close was the seventh most valuable publicly-traded company by market cap in the U.S. at $1.2 trillion. Notably, Tesla is trading at the nosebleed level of 183 times its trailing PE (price-to-earnings), making it particularly susceptible to Musk-related scandals – of which there appear to be no end.

In January and February of last year, Musk was profiled in two shocking Wall Street Journal articles regarding his use of illegal drugs. The Wall Street Journal’s January 6, 2024 (paywall) article carried this assessment of Musk’s drug use:

“The world’s wealthiest person has used LSD, cocaine, ecstasy and psychedelic mushrooms, often at private parties around the world, where attendees sign nondisclosure agreements or give up their phones to enter, according to people who have witnessed his drug use and others with knowledge of it. Musk has previously smoked marijuana in public and has said he has a prescription for the psychedelic-like ketamine.”

In October, five Wall Street Journal reporters dropped the bombshell news that Musk “has been in regular contact with Russian President Vladimir Putin since late 2022.” In February of 2022, the U.S. placed Putin on a sanction list in response to his “unjustified, unprovoked, and premeditated invasion of Ukraine….”

In a November 2022 article, Wall Street On Parade called out Musk’s reckless behavior as follows:

“…Musk has smoked marijuana on a widely circulated podcast and called the Securities and Exchange Commission ‘bastards’ at a TED conference because it charged Musk in 2018 with fraud for falsely Tweeting that he had secured financing for taking Tesla private at $420 per share. The SEC case was quickly settled on September 29, 2018 with Musk and Tesla each paying $20 million in penalties. Musk was removed as Tesla’s Chairman as part of the SEC settlement and the Board was forced to ‘establish a new committee of independent directors and put in place additional controls and procedures to oversee Musk’s communications.’ ”

Clearly, those “controls and procedures” have been an abysmal failure.

Despite Musk’s reported attendance at sex parties, drug use, and chats with Putin, NBC reported on Tuesday that the Trump administration has given Musk top secret security clearance. (You can’t make this stuff up.)

In addition to Tesla, the five other Musk-related companies that Blumenthal has put on notice to “preserve all records” related to Musk’s work inside the Trump administration are: SpaceX, his rocket and satellite company that has received $19.8 billion in taxpayer-funded contracts from the U.S. government; Neuralink (brain-computer interface research); The Boring Company (tunnel construction); X Corp. (the social media platform formerly known as Twitter); and the artificial intelligence startup xAI.

The full text of Blumenthal’s letters are here: SpaceX, X, xAI, The Boring Company, and Neuralink. In his letter to Tesla’s General Counsel, Brandon Ehrhart, Blumenthal writes this:

“Elon Musk, Chief Executive Officer of Tesla, Inc., currently serves as the head of the Department of Government Efficiency (‘DOGE’), while operating with the official status of ‘special government employee’ of the federal government. Tesla developed its Model S with support from a $465 million low-interest loan from the Department of Energy and has received $41.9 million in federal contracts since 2008. Over its history, Tesla has earned $10.7 billion selling credits created by government climate programs, an amount worth approximately a third of Tesla’s profits over the last decade. Mr. Musk’s dual roles—running a for-profit corporation while serving in public office—not only creates glaring conflicts of interest that pose grave risks for America’s most sacred institutions, but may also violate federal law….

“Mr. Musk and his team have reportedly obtained unparalleled access to sensitive government data in the two weeks since DOGE was established. Since assuming his role, Mr. Musk has seized control of a sensitive Treasury Department data and payment system, potentially giving him the ability to control which payments the Treasury Department makes and almost certainly providing him access to nonpublic information pertaining to Tesla’s competitors—such as sensitive information regarding government contracts. Mr. Musk’s staff have gained access to the Office of Personal Management’s (‘OPM’) Enterprise Human Resources Integration and USAJOBS, giving him the ability to access the personally identifiable information of not just federal employees, but anyone who has ever applied for a federal government position. He has directed the heads of every agency of the federal government to email the chief of staff of OPM, a former employee of Mr. Musk, with the identities of all federal workers on probationary periods. The reckless haste with which DOGE has forced these sweeping changes may violate the E-Government Act of 2002, the Privacy Act of 1974, and the Administrative Procedure Act, among others.”

Musk donated over a quarter billion dollars into PACs supporting Trump to help Trump win the presidential election last year. On the October 27, 2024 Meet the Press news program on NBC, Senator Bernie Sanders (I-VT) said this: “What really interests me is, if, God forbid, Trump would win, whether it would be Elon Musk running the government and Trump working for him, or the other way around.”