I mean sure, it doesn't look great, but it's not fraud.

SpaceX is a private company buying vehicles that regardless of how you feel about them, are capable of towing things or being gifts to employees for the work they've done.

SpaceX needs vehicles to tow things, and using an EV to help lower emissions would be a valid goal. They're also an all day portable 240v power source which I'm sure there are plenty of uses for in construction.

https://www.youtube.com/watch?v=D-2rjmL8MgY

I'm not even sure if it would reach the level of fraud given they're a private company if they just let them sit on a lot for years then sold them at a loss as a used vehicle, but I imagine that would warrant their private investors suing for some breach of duty though

Edit: Also you really need to separate sold services from government giving them money. Grants can be a different thing, but when the government pays them $100 million to launch a rocket, they get a $100 million and launch a rocket. It's not some sort of life line or subsidy. This is in general as well for sold services/contracts, not targeted at SpaceX. SpaceX survived early on because of these, but they were still selling a service the government wanted. Also, the government is saving 10's of billions of dollars using SpaceX vs alternatives.