The Federal Trade Commission’s (FTC) investigation against the left-leaning advocacy group Media Matters has been blocked by a preliminary injunction issued by a federal judge.
Media Matters revealed in 2023 that advertisements from large corporations have been displayed on Elon Musk’s X website alongside offensive and antisemitic content. X submitted a lawsuit against Media Matters, after the withdrawal of prominent advertisers from the platform. Additionally, it filed lawsuits against advertisers and advertiser associations for allegedly engaging in a “systematic illegal boycott.”
The FTC also launched an investigation into whether Media Matters had engaged in unlawful collusion with advertisers following the reelection of Donald Trump, Musk’s former supporter, in January.
However, Judge Sparkle L. Sooknanan stopped the FTC’s probe on Friday, siding with Media Matters. The “expansive” investigative requirements of FTC initially appeared to be “a retaliatory act,” according to Sooknanan. She is a district court judge for the District of Columbia and was hired by Joe Biden. She noted in her ruling that the Media Matters story constituted “quintessential First Amendment activity.”
She wrote:
“It should alarm all Americans when the Government retaliates against individuals or organizations for engaging in constitutionally protected public debate. And that alarm should ring even louder when the Government retaliates against those engaged in newsgathering and reporting.”
According to Sooknanan, Andrew Ferguson had called for the FTC to look into progressive organizations that criticize online disinformation on Steve Bannon’s podcast prior to being appointed as the current FTC chair. He then “brought on several senior staffers at the FTC who previously made public comments about Media Matters.”
The organizations in question are already being substantially influenced by lawsuits of X, without regards of the legal outcome. Media Matters has downsized its staff, and the World Federation of Advertisers has discontinued its brand safety program and believed to be complaining about exhausting the resources of funds.
Sooknanan gave a statement in which she claimed that Media Matters chose “against pursuing certain stories about the FTC, Chairman Ferguson, and Mr. Musk” as an outcome of the FTC investigation’s “intended effect.”
Angelo Carusone said.:
“Elon Musk has made clear he wants to destroy Media Matters, and by launching this investigation his allies in the Trump administration are helping do his dirty work. Nothing less than the right of every American to exercise their First Amendment right to speak truth to power is at stake in this case.”