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Elon Musk and SpaceX Face Federal Reviews After Violations of Security Reporting Rules [1]

['Kirsten Grind', 'Eric Lipton', 'Sheera Frenkel']

Date: 2024-12-17

Elon Musk and his rocket company, SpaceX, have repeatedly failed to comply with federal reporting protocols aimed at protecting state secrets, including by not providing some details of his meetings with foreign leaders, according to people with knowledge of the company and internal documents.

Concerns about the reporting practices — and particularly about Mr. Musk, who is SpaceX’s chief executive — have triggered at least three federal reviews, eight people with knowledge of the efforts said. The Defense Department’s Office of Inspector General opened a review into the matter this year, and the Air Force and the Pentagon’s Office of the Under Secretary of Defense for Intelligence and Security separately initiated reviews last month, the people said.

The Air Force also recently denied Mr. Musk a high-level security access, citing potential security risks associated with the billionaire. Several allied nations, including Israel, have also expressed concerns that he could share sensitive data with others, according to defense officials.

Internally, SpaceX has a team that is expected to ensure compliance with the government’s national security rules. Some of those employees have complained to the Defense Department’s Office of Inspector General and other agencies about the lax reporting, which goes back to at least 2021, four people with knowledge of the company said. SpaceX was awarded at least $10 billion in federal contracts with the Pentagon and NASA from 2019 to 2023, making it a major contractor.

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[1] Url: https://www.nytimes.com/2024/12/17/technology/elon-musk-spacex-national-security-reporting.html

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