SpaceX Investors Beat Lawsuit by Member Ousted on China Ties (2)

An investment consortium formed to buy a piece of SpaceX prevailed in court Tuesday against a former member kicked out of the group over ties to China that raised concerns at Elon Musk’s space company.

A Delaware judge ruled for a major SpaceX investor, Iqbaljit Kahlon, rejecting nearly all of the legal claims brought by the ousted member, a Hong Kong-based subsidiary of China’s Leo Group Co. Although “Kahlon’s conduct was hardly commendable from a moral standpoint,” he had little choice after a top SpaceX executive made clear the rocket venture would scuttle any deal that included Leo Group, ...