Close Menu
WTX News
    Facebook X (Twitter) Instagram
    Trending
    • Greggs increasing prices tomorrow due to higher employment costs
    • Rock & Roll It podcast Asia Cup 2025 review
    • Mbappé keeps climbing Champions League all-time goal-scoring list
    • A Strictly Come Dancing dark horse has upended the entire competition
    • Ringleader of Rochdale grooming gang jailed for 35 years
    Facebook X (Twitter) Instagram YouTube
    WTX News
    • Live News
      • US News
      • EU News
      • UK News
      • Politics
      • COVID-19
      • Business
      • Tech zone
    • World news
      • Middle East News
        • UAE News
        • Palestine News
      • Europe
        • Italian News
        • Spanish News
      • Africa news
      • South America
      • North America
      • Asia
    • News Briefings
      • UK News Briefing
      • World News Briefing
      • Live Business News
    • Sports
      • Football News
      • Tennis
      • Women’s Football
    • MY World
      • Climate Change
      • In Review
      • Expose
      • Special Reports
        • Conscience Convoy
        • Rohingya Report
    • Entertainment
      • Insta Talk
      • Royal Family
      • Gaming News
      • TV Shows
      • Streaming
    • Lifestyle
      • Fitness
      • Fashion
      • Cooking recipes
      • Luxury
      • Money Saving Expert
    • Travel
      • Culture
      • Holidays
    • Sign Up
      • Log In
    WTX News
    • Live News
    • World news
    • News Briefings
    • Sports
    • MY World
    • Entertainment
    • Lifestyle
    • Travel
    • Sign Up
    Home - Technology - Trump broke law by promoting Tesla stock but don’t expect a crackdown
    Technology

    Trump broke law by promoting Tesla stock but don’t expect a crackdown

    By WTX News Editor7 Mins Read
    Facebook Twitter LinkedIn Email Telegram WhatsApp
    Trump broke law by promoting Tesla stock but don’t expect a crackdown

    Cliff Notes – Trump broke law by promoting Tesla stock but don’t expect a crackdown

    • Trump broke law by promoting Tesla stock but don’t expect a crackdown, which set a trend for Pro-Trump followers.
    • A recent incident involving U.S. Commerce Secretary Howard Lutnick, who urged TV viewers to purchase Tesla stocks, has raised concerns about ethics violations among government officials.
    • Legal experts note that Lutnick’s statement contravenes a 1989 law which prohibits federal employees from utilising public office for private gain.
    • This incident echoes the previous ethics breach by Kellyanne Conway in 2017, where she was reprimanded for promoting Ivanka Trump‘s products.
    • Experts suggest that while there were consequences in the past, the current administration’s apparent lack of oversight raises doubts about any similar repercussions for Lutnick.
    • The absence of a head at the Office of Government Ethics, which has experienced significant leadership changes under Trump’s administration, has left many questioning whether there will be any formal investigations or penalties regarding Lutnick’s actions.
    • Critics fear that without consequences, ethical and moral standards will continue to deteriorate in the United States.

    Legal experts say Trump broke law by promoting Tesla stock but don’t expect a crackdown

    New York (AP) — When a White House adviser in the first Trump administration told TV viewers to “Go buy Ivanka stuff,” top government lawyers sprang into action, telling her she had violated ethics rules and warning her not to do it again.

    Government ethics experts have varying opinions on whether the 2017 criticism of Kellyanne Conway went far enough, but many agree such violations now might not even draw an official rebuke.

    A week after President Donald Trump turned the White House lawn into a Tesla infomercial for Elon Musk’s cars, a second sales pitch by a US official occurred, this time for Tesla stock.

    “It will never be this cheap,” U.S. Commerce Secretary Howard Lutnick said Wednesday. “Buy Tesla.”

    Government ethics experts say Lutnick broke a 1989 law prohibiting federal employees from using “public office for private gain,” later detailed to include a ban on ”endorsements.” Although presidents are generally exempt from government ethics rules, most federal employees are not and are often punished for violations, including rebukes like the one Conway got.

    As of Friday, no public action had been taken against Lutnick and it was unclear whether he would suffer a similar fate.

    “They’re not even thinking of ethics,” said Trump critic and former Republican White House ethics czar Richard Painter of administration officials.

    Painter has equally low expectations of that other possible brake to future violations — public opinion: ”I don’t know if people care.”

    In his first term, Trump opened his hotel near the Oval Office to foreign ambassadors and lobbyists in what many legal scholars argued was a violation of a constitutional ban against presidents receiving payments or gifts that could distort public policy for private gain. His company launched a new hotel chain called “America Idea” in hopes of cashing in on his celebrity.

    Trump even once proposed holding a G-7 meeting of world leaders at his then-struggling Doral golf resort.

    Trump even once proposed holding a G-7 meeting of world leaders. A Tesla vehicle is seen near a charging station in American colours.

    The ‘Buy Ivanka’ rebuke

    But the reaction to Conway’s “Ivanka stuff” comment suggested certain lines couldn’t be crossed.

    Within days of Conway’s TV comments, the head of the federal ethics agency, the Office of Government Ethics, wrote a letter to the White House saying Trump’s adviser may have broken the law and urging a probe. A White House lawyer then met with Conway to remind her of the law and reported to the ethics office that she had assured him she would abide by it in future.

    But this time, there is no head of the Office of Government Ethics. He was fired by Trump. Ditto for the inspector generals of various agencies who would head any investigation.

    “What is likely to happen now? I really don’t know,” said Kedric Payne, chief lawyer at the Campaign Legal Center, a non-profit watchdog that sent a letter to the government ethics office on Friday calling for an investigation. “We no longer have the head of the Office of Government Ethics to push the Commerce Department to make sure the secretary acknowledges the law.”

    Payne said Lutnick’s comment on TV may seem like a small transgression but it could snowball into a bigger problem if not punished.

    “It starts with one TV appearance, but can develop into multiple officials asking people to support companies and products,” Payne said. “If there are no consequences, you get into a danger zone of a corruption.”

    Trump critics point to other signs that Trump is careless with the law and ethical norms, citing his pardons for Capitol riots as Trump pardons the Jan. 6 Capitol rioters, a decision to allow his Trump Organization to strike business deals abroad and his attack on the Foreign Corrupt Practices Act banning U.S. company bribes abroad to win business.

    Protesters outside a Tesla Service Center on Tchoupitoulas Street in New Orleans express their issues with Elon Musk and President Donald Trump on Friday, March 14, 2025.
    Protesters outside a Tesla Service Center on Tchoupitoulas Street in New Orleans express their issues with Elon Musk.
    Protesters outside a Tesla Service Center on Tchoupitoulas Street in New Orleans express their issues with Elon Musk and President Donald Trump last week, were adamant that the President should be held to account.

    Jelly beans and airlines

    When it comes endorsing products, presidents used to be far more circumspect.

    Their comments were mostly quick asides expressing opinions of taste, such as when Harry Truman called Pillsbury flour the “finest” or John F. Kennedy said United Airlines was “reliable.”

    Ronald Reagan famously enthused about his jelly beans habit, remarking that they were the “perfect snack.”

    Trump had five Teslas lined up in the White House driveway last week as he praised Musk’s company. Then he slipped into a red Model S he had targeted for personal purchase, exclaiming, “Wow. That’s beautiful.”

    “Presidents are allowed to have personal opinions on products they like and dislike,” said ethics lawyer Kathleen Clark, referring to the Truman through Reagan examples. ”But what Trump did was transform the White House into a set for advertising the products of a private company.”

    “It’s the difference between holding an extravaganza and holding an opinion.”

    Calls for Musk investigation

    In the aftermath of the Tesla White House event, Massachusetts Sen. Elizabeth Warren and three other senators wrote a letter to the Office of Government Ethics saying that, while presidents are exempt from ethics law banning endorsements, Elon Musk isn’t and calling for an investigation.

    A spokeswoman from Warren’s office said the government ethics office had not yet responded about what it planned to do about the White House Tesla endorsement. The Office of Government Ethics itself said it would not comment on either the Warren letter or Lutnick’s TV appearance.

    The Commerce Department did not respond to Associated Press requests for comment.

    Asked whether Lutnick would be reprimanded or an investigation opened, White House spokesman Kush Desai defended Lutnick, lauding “his immensely successful private sector career” and his “critical role on President Trump’s trade and economic team.”

    Former White House ethics chief Painter says Democrats have also played loose with the ethics law.

    He is harshly critical of the Clinton charity, the Clinton Foundation, which was taking donations from foreign governments when Hillary Clinton was the country’s chief diplomat as secretary of state. Painter also blasts former President Joe Biden for not removing his name from a University of Pennsylvania research institute when he was in office even though it appeared to be helping draw donations overseas.

    But Painter says the slide from caring about ethics laws and norms to defiance has hit a new low.

    “There’s been a deterioration in ethics,” he said. “What Biden did wasn’t good, but this is worse.”

    News Just in

    Greggs increasing prices tomorrow due to higher employment costs

    WTX News Editor

    Cliff Notes Greggs will raise prices on breakfast deals due to increased employment costs, with a two-item deal rising from £2.95 to £3.15. The company

    Read More »

    Rock & Roll It podcast Asia Cup 2025 review

    WTX Sports Team

    Cliff Notes – Rock & Roll It podcast Asia Cup 2025 review The Asia Cup 2025 concluded with a historic India vs Pakistan final, marking

    Read More »

    Breaking News Donald Trump Elon Musk Tesla US featured White House
    Share. Facebook Twitter Pinterest LinkedIn Tumblr Email Telegram WhatsApp
    Previous ArticleGeorge Foreman: How boxing legend became cultural icon
    Next Article Pope Francis to be discharged from hospital tomorrow
    WTX News Editor
    • X (Twitter)
    • Pinterest
    • Instagram

    The WTX News Teams works around the clock to deliver, breaking news and news Briefings to you on a daily basis. It is our opinion that sometimes you need information, not speculation so we try to cut through the bull**** and give you that in your Daily News Briefing.

    Related Posts

    Trump to sign US-UK tech partnership in drive for AI
    UK News

    Trump to sign US-UK tech partnership in drive for AI

    The King and AI: A humanoid robot has painted a picture of Charles How did it do
    British Royal Family

    The King and AI: A humanoid robot has painted a picture of Charles How did it do

    Donald Trump says ‘very wealthy group’ has agreed to buy TikTok in the US
    USA News

    Donald Trump says ‘very wealthy group’ has agreed to buy TikTok in the US

    Starmer’s artificial intelligence adviser steps down
    UK Politics

    Starmer’s artificial intelligence adviser steps down

    Leave A Reply Cancel Reply

    You must be logged in to post a comment.

    Advertisment
    News Headlines
    Greggs increasing prices tomorrow due to higher employment costs

    Greggs increasing prices tomorrow due to higher employment costs

    Ringleader of Rochdale grooming gang jailed for 35 years

    Ringleader of Rochdale grooming gang jailed for 35 years

    Save 70% on VIP subscription
    News Briefings - the way to a better life
    News Briefings - the way to a better life
    Advert by Sponsors
    More from WTX News
    The latest gaming news - with game reviews and tips and tricks. updated 24 hours a day.
    The latest gaming news
    Hot off the press!
    • Greggs increasing prices tomorrow due to higher employment costs October 1, 2025
    • Rock & Roll It podcast Asia Cup 2025 review October 1, 2025
    • Mbappé keeps climbing Champions League all-time goal-scoring list October 1, 2025
    • A Strictly Come Dancing dark horse has upended the entire competition October 1, 2025
    • Ringleader of Rochdale grooming gang jailed for 35 years October 1, 2025
    WTX News latest breaking news sports and travel
    Latest News and analysis - Deciphering through the BS with exclusive News Briefings
    Facebook X (Twitter) TikTok Instagram

    News

    • World News
    • UK News
    • US News
    • EU News
    • Business
    • Opinions
    • News Briefing
    • Live News

    Company

    • About WTX News
    • Register
    • Advertising
    • Work with us
    • Contact
    • Community
    • GDPR Policy
    • Privacy

    Services

    • Fitness for free
    • Insta Talk
    • How to guides
    • Climate Change
    • In Review
    • Expose
    • NEWS SUMMARY
    • Money Saving Expert

    News delivered to your inbox

    Copyright WTX News 2025

    • Privacy Policy
    • Terms

    Type above and press Enter to search. Press Esc to cancel.