The liberal advocacy organization said in a lawsuit that the Federal Trade Commission’s inquiry into boycotts with other advertising groups was “retribution.”
Media Matters, a liberal advocacy organization, sued the Federal Trade Commission on Monday, claiming that the agency was waging a “campaign of retribution” against the group on behalf of the Trump administration and Elon Musk.
The F.T.C. started investigating Media Matters last month over whether the organization had illegally colluded with other advertising advocacy groups to pinch off revenue from X, Mr. Musk’s social media company, and other right-leaning sites. Media Matters reported in 2023 that ads on X appeared alongside antisemitic content.
Media Matters said in its lawsuit that the Federal Trade Commission had employed “sweeping governmental powers to attempt to silence and harass an organization for daring to speak the truth.” The lawsuit, filed in federal court in Washington, D.C., claimed that the agency was trying to limit the organization’s free speech rights, and asked a judge to immediately halt the investigation.
In its lawsuit, Media Matters blamed pressure from Mr. Musk, Republican state attorneys general and the Trump administration for “disruptions in fund-raising” and some staff cuts. Media Matters has also been cut out of coalitions with other advocacy groups that feared the association could lead to retribution, the lawsuit said. The group has effectively censored itself for fear of retaliation, according to the lawsuit, limiting its reporting on X, Mr. Musk and the F.T.C.
The F.T.C. and a representative for X did not immediately respond to a request for comment.
Andrew Ferguson, the F.T.C. chairman appointed by Mr. Trump, has said advertiser boycotts represent a form of censorship and can choke off funding for important online venues for speech.
The F.T.C.’s investigation is the latest example of the Trump administration’s taking actions against individuals and organizations that play critical roles in the infrastructure of the political left, including some elite law firms and the Democratic fund-raising platform ActBlue.