Elon Musk has denied reports in the media claiming that he has plans on leaving the Department of Government Efficiency, calling it fake news. He denied the rumors after Politico said that Donald Trump had told people in the white house that Musk could soon return to Tesla full-time. On the same day, Tesla stock rose by 5.9% amid a tough spell of vehicle delivery numbers.
According to Politico, Trump had mentioned that he expects Musk to walk away from his government responsibilities in the coming weeks to focus on his companies again. The story found its way to Tesla investors, who had been questioning Musk’s commitment to the company amid a drop in sales. “This ‘scoop’ is garbage. Elon Musk and President Trump have both publicly stated that Elon will depart from public service as a special government employee when his incredible work at DOGE is complete,” Press Secretary Caroline Leavitt said, responding to the story on X.
Court blocks Elon Musk’s DOGE from accessing private data
At the same time as the media frenzy, the Trump administration was dealt a legal blow. On Tuesday, the U.S. Court of Appeals for the 4th Circuit dismissed the administration’s appeal to lift a temporary restraining order that blocks DOGE staff from getting into the Social Security Administration’s sensitive data systems. The court said it didn’t have the jurisdiction over the appeal and sent the case back to the district court where it began. The plaintiffs have also said they will file a motion for preliminary induction this week.
The temporary restraining order was previously issued by Judge Ellen Lipton Hollander on March 20. Her ruling banned DOGE employees and contractors from accessing federal systems that store private data, including Social Security numbers, home addresses, health records, employer and employee earnings, and tax documents. The judge also ordered DOGE to delete all private data it had collected that wasn’t properly anonymized.
The legal complaint was filed against the Trump administration by three groups: the American Federation of State, County, and Municipal Employees, the American Federation of Teachers, and the Alliance for Retired Americans. They argued that letting DOGE access the Social Security database would put tens of millions of Americans at risk.
“We are pleased the 4th Circuit agreed to let this important case continue in district court. Every American retiree must be able to trust that the Social Security Administration will protect their most sensitive and personal data from unwarranted disclosure,” the executive director of the Alliance for Retired Americans, Richard Fiesta said.
Democracy Forward, a national legal organization, is representing the plaintiffs. The group noted that the Trump administration didn’t follow normal legal procedures when it appealed the restraining order, and the court’s decision to throw it out proves that. Liz Huston, speaking on behalf of the White House, said Trump still plans to fight in court. “The president will continue to seek all legal remedies available to ensure the will of the American people is executed,” she said.