Another Setback For Elon Musk: After CCDH Lawsuit Thrown Out, Media Matters Wins Injunction Against Texas AG's Investigation

A Texas judge has put a stop to the investigation of the media watchdog group Media Matters by Texas Attorney General Ken Paxton, dealing a second blow to tech billionaire and X owner Elon Musk in recent weeks.

What Happened: The preliminary injunction was issued by a judge on Friday, effectively halting Paxton’s probe into Media Matters, according to court filings.

This decision was made in response to a lawsuit filed by Media Matters in the U.S. District Court for the District of Columbia, arguing that Paxton’s investigation violated its First Amendment rights.

Paxton’s investigation was prompted by Media Matters’ reporting on social media platform X, formerly Twitter.

The organization’s Senior Reporter, Eric Hananoki, had reported that X was running ads next to content promoting Adolf Hitler and the Nazi Party.

See Also: Elon Musk Reacts To His 21-Year-Old Profile Calling Tesla CEO ‘The Six Million Dollar Man:’ ‘Feels Like Aeons Ago’

Following this report, Paxton launched an investigation into Media Matters in November. He demanded extensive details on the organization’s financials and its revenue sources in Texas.

Media Matters, however, argued that it has no relevant connection to Texas and does not conduct business in the state.

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Why It Matters: Earlier in March, Musk's lawsuit against the Center for Countering Digital Hate (CCDH) was thrown out by a California judge, who said the tech billionaire wanted to punish free speech.

In November, X filed a lawsuit against Media Matters, accusing the organization of defaming the platform, with Musk warning of "civil and criminal consequences."

On the same day, Texas AG Paxton opened an investigation into Media Matters over "potential fraudulent activity."

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Disclaimer: This content was partially produced with the help of Benzinga Neuro and was reviewed and published by Benzinga editors.

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