Claims of Legal Employment Status
Elon Musk has publicly denied allegations that he worked illegally in the United States, responding to a Washington Post report that questioned his immigration status during the early days of his career. In a late-night post on X, Musk asserted that he was indeed authorized to work in the U.S., stating, “I was in fact allowed to work in the U.S.” His comments came after President Joe Biden referenced the report during a campaign event, suggesting a double standard regarding immigration enforcement.
Biden claimed Musk was not in compliance with his student visa, which he was supposed to uphold while attending school. “The wealthiest man in the world turned out to be [an] illegal worker here when he was here,” Biden remarked, emphasizing the contradiction between Musk’s immigration stance and his past actions.
Details of Visa Transition
Elon Musk further clarified his immigration status by stating he possessed a J-1 visa that later transitioned to an H-1B visa. The J-1 Exchange Visitor visa is designed for foreign students to gain academic training in the U.S., while the H-1B visa permits temporary employment. However, Musk did not specify when this transition occurred. Six former business associates indicated that Musk claimed he was on a student visa around the time concerns about his legal status arose at Zip2, the start-up that eventually made him a millionaire.
The report suggested Musk had abandoned a graduate program in California to launch his company, raising questions about his employment legality at that time. A Zip2 board member noted that Musk’s visa status was not appropriate for someone legally employed in the U.S.
Concerns Among Investors
Upon realizing Musk’s uncertain legal status, investors at Zip2 were alarmed, fearing that the issue might have to be disclosed in a securities filing if the company went public. Derek Proudian, a Zip2 board member, expressed concern, stating, “We don’t want our founder being deported.” The investment agreement allowed Musk and his associates 45 days to secure legal work status. In a 2005 email, Musk acknowledged applying to a graduate program at Stanford University, which he did not attend, as a means to maintain his legal status in the country. He stated, “I had no money for a lab and no legal right to stay in the country, so that seemed like a good way to solve both issues.”
Immigration regulations from the mid-1990s dictated that holders of J-1 visas could only work under specific conditions, including maintaining “good academic standing” and pursuing a “full course of study.” However, Elon Musk did not attend classes at Stanford upon his arrival in 1995 and instead focused on developing his company. According to Adam Cohen, an immigration attorney, dropping out of school would not provide Musk with authorization to work, indicating a significant gap in compliance with visa requirements.
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