State Democrats are taking aim at Memphis businessman Elon Musk’s activities involving government benefits and sensitive government data at the federal level.
House Democratic Leader Rep. Karen Camper (D-Memphis) asked Tennessee General Attorney Jonathan Skrmetti and the District Attorneys General Conference to investigate Musk’s “potential unauthorized access and misuse of sensitive federal data.”
Meanwhile, state Sen. Jeff Yarbro (D-Nashville) and state Rep. Jason Powell (D-Nashville) filed a bill to “hold people accountable for unlawfully interfering with the distribution of government benefits that Tennessee families rely on.”
Last year, Musk’s company xAI chose Memphis as the site of his massive artificial intelligence facility. The site powers Grok, the AI program from X.
Camper on sensitive data
Camper sent a formal letter to Skrmetti and the conference Tuesday to investigate press reports of Musk’s activities through his new Department of Government Efficiency (DOGE). Report say Musk and his office have wide-ranging access to federal payment systems and personnel files of government employees. Camper said these activities could cause data breaches of sensitive information affecting Tennesseans and Tennessee-based federal employees.
Specifically, Camper wants the AG to review:
• If any data on Tennesseans of Tennessee-based employees has been accessed or extracted in DOGE’s activities.
• Where is this data now stored and who has custody over it?
• What is the chain of custody for such data?
• Has any data been given to any agency prohibited from handling such information?
“Additionally, considering Mr. Musk’s public statements regarding his desire to see the United States default on its debts and his history of data misuse for personal gain, it is imperative that he be deposed regarding his intent and purpose in accessing these systems,” Camper wrote in her letter. “The risk of a ‘shock default’ — where the U.S. could default without actionable warning to Congress — poses a serious national security and economic threat that must not be ignored.”
Also, Camper said if Musk was not authorized to access federal Office of Personnel Management (OPM) systems, including disciplinary records, this could allow federal workers grounds to contest or block disciplinary actions.
The STOP ELON Act
The Trump administration also caused a national shockwave of confusion last week as it paused federal funding to nearly every agency served by the federal government. This meant funds to any government contractor, like nonprofits or research groups, was halted, though they rely on that funding to continue work.
This policy decision came from Musk’s DOGE. President Donald Trump reversed course on the matter after nationwide concerns on how business could get done.
For this, Tennessee lawmakers Yarbro and Powell introduced the Shielding Tennesseans from Oligarchic Power & Eliminating Lawless Obstruction of Necessities Act (The STOP ELON Act).
The bill would create criminal penalties and a private right of civil action against any individual who obstructs or denies access to federal, state, or local government benefits, including Social Security payments, Medicare benefits, grants, and other financial distributions.
“If Elon Musk illegally hurts Tennesseans, he should go to jail regardless of being a trillionaire or whatever and regardless of whether he’s got a permission slip from the president,” Yarbro said in a statement. “Whether through malice or incompetence, if he unlawfully blocks our citizens from getting their Social Security checks or reimbursement from Medicaid or Medicare, his vast wealth should be on the table to compensate the people who get hurt.”
Rep. Powell emphasized the intent of the bill is to prevent abuses of power and ensure accountability, regardless of a person’s wealth or connections.
The law would put fines and prison time on those who would obstruct lawful government payments. Obstructions of benefits valued at $1,000 or less would be a Class A misdemeanor. As the amount of benefits go up, so do the fines and penalties, up to $250,000 and prison time. Those harmed would be given a legal pathway to sue for damages in state courts.
“Tennesseans who work hard and play by the rules should never have to worry about a billionaire meddling in their financial security,” said Powell in a statement. “People like Elon Musk need to understand that they are not invincible and the STOP ELON Act makes it crystal clear — no one is above the law. If you interfere with a person’s rightful benefits, you will be held accountable.”
It’s not yet known how state Republicans will respond to Camper’s request or the STOP ELON Act. However, House Majority Leader Rep. William Lamberth (R-Portland) reposted this from Musk on X Tuesday.
