Biden’s FTC Was Weaponized Against Elon Musk

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According to a House Judiciary report provided exclusively to the Daily Caller, the Chair of the Federal Trade Commission (FTC) weaponized the agency against Elon Muskโ€™s Twitter, now called X.

Biden’s Chair Resuscitated a Consent Decree

According to the report, Biden-appointed FTC Chair Lina Khan introduced a consent decree against the platform due to Muskโ€™s acquisition, although Khan denied that was the reason. However, the FTC was considering potentially enforcing the consent decree in the years preceding Muskโ€™s acquisitionโ€”but Khan โ€œcalled for an immediate voteโ€ days after the deal was announced, documents show.

According to Cornell Law School, a consent decree is a court-approved settlement agreement.

The decree was ongoing for three years. They reached an agreement in 2021, but when Lina Khan took over, she restarted negotiations. In March 2022, they agreed to an almost identical consent decree.

The report noted that Khan did not demand an โ€œimmediate vote to finalize the settlement ” until Twitter announced Musk’s intention to acquire the company. The Committee alleges in its report that the FTC โ€œweaponized its regulatory authorityโ€ against Twitter and Musk.

Biden’s Chair Demanded an Immediate Settlement & All Communications

Khan demanded an immediate settlement without commissioners reviewing it.

Republican Commissioner Christine Wilsonโ€™s attorney advisor echoed Phillipsโ€™ concerns, noting that Wilson desired โ€œsufficient timeโ€ to go over the material.

โ€œThe urgency is due to Elon Muskโ€™s purchase of the company this week,โ€ Khanโ€™s advisor replied in a group email.

The report asserts that Khanโ€™s FTC began โ€œharassingโ€ Twitter once the consent decree was approved.

Khan reportedly refused to meet with Musk until Twitter adhered to all of the agencyโ€™s demands. According to the report, Twitter’s attorneys noted that not all communications regarding Musk โ€œcould reasonably contain information about Twitterโ€™s data security and privacy program.โ€

They were required to produce all communications. Lina Khan referred Judiciary Chair Jim Jordan to a letter she sent to Twitter.

According to the report, the FTC failed to explain why Twitter was required to produce these communications.

Harassment Over Free Speech

โ€œThe only reasonable explanation, then, for requiring all communications remotely related to Musk would be as a tool for the FTC to harass Musk,โ€ the Committee said.

The Biden-Harris FTC also demanded information that was outside the consent decreeโ€™s purview, the Committee claimed. Despite protests from Twitterโ€™s attorneys, the FTC continued requiring the company to produce all communications pertaining to Elon Musk.

According to the report, the FTC reportedly refused to โ€œclarifyโ€ why the requested information was relevant.

Additionally, the FTC considered using Twitterโ€™s divulgence of information to journalists to circumvent Twitterโ€™s โ€œprivilege claimโ€ for keeping documents from the agency.

In 2023, Twitter Files journalists Michael Shellenberger and Matt Taibbiย testifiedย to the House Select Subcommittee on Weaponization about how the federal government pressured tech companies to censor speechย โ€“ย and how that censorship was election interference.

Khan said the FTC needed to investigate Twitterโ€™s compliance with the decree because the information Musk provided to the journalists involved in exposing the Twitter Files โ€œtriggered legal scrutiny,โ€ the report states.

However, the FTC eventually discovered that the company had taken measures to protect consumer privacy, so the FTCโ€™s investigation was no longer necessary. The report shows that the agency seemingly closed its investigation into the company this early in 2024.

The Committee also claims that Khan was uncooperative and โ€œrefused to produce key documents.โ€

The report concluded that the Biden-Harris FTC, under the leadership of Chair Khan, expedited the consent decree to โ€œpunishโ€ Musk and his company for revealing the administrationโ€™s censorship.

The Daily Caller previouslyย reported how the Twitter Files exposed the FBIโ€™s efforts to work with Big Tech to crack down on speech during the 2020 presidential election.

READ THE FULL REPORT HERE


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