Commerce Secretary Howard Lutnick’s Call to Buy Tesla Stock Violates Federal Ethics Rules

In an appearance on Fox News yesterday evening, U.S. Commerce Secretary Howard Lutnick encouraged viewers to buy stock in Tesla, the car company owned by Elon Musk, a “special government employee” advising the president and a leader of the so-called U.S. DOGE Service (DOGE).

This continues a worrying pattern, seen since Inauguration Day, of President Donald Trump and his allies attempting to manipulate the system to enrich wealthy donors. Thus far, the second Trump administration has opened the door to a culture of corruption that rewards wealthy special interests with political favors and extreme influence.

Even Trump’s first administration acknowledged that government officials are prohibited from endorsing “any product, service or enterprise” when White House ethics lawyers rebuked Kellyanne Conway for promoting Ivanka Trump’s products.

But the new administration has senior officials with thousands of documented conflicts of interest and apparently no ethics enforcement. By using a television appearance, while in his official capacity as Commerce secretary, to call on Americans to buy a specific stock, Secretary Lutnick has clearly violated well-established federal ethics rules.

Kedric Payne, vice president, general counsel, and senior director for ethics at Campaign Legal Center, issued the following statement:

“The president’s Cabinet members take an oath to serve the American people, and with that oath comes the ability and privilege to exercise a vast amount of power. Such power is intended to promote the public interest and is legally barred from promoting personal business interests.

“Secretary Lutnick’s actions violate the ethics rules that were enacted to hold public officials accountable to the American people. His statement is part of a pattern of behavior showing that Trump’s indifference to ethics is trickling down to his most senior officials.

“The American people deserve a government that prioritizes public good. Most people will conclude that promoting a stock is not tied to any public good and ethics laws agree. The Office of Government Ethics and Commerce ethics officials should hold Lutnick accountable and reassure the public that their officials will face consequences if they use their public office to enrich themselves or their allies.”