Democratic Fundraising Platforms Under Fire from Trump's Attacks
Firing Up the Fundraising Battle
President Trump has set his sights on online fundraising platforms that dominate the Democratic Party's political campaign war-chest, kickstarting a probe into ActBlue, the party's primary grassroots fundraising tool. An executive order unveiled on Thursday indicates a focus on potential foreign contributions utilizing these platforms.
The contentious order, published on the White House website, hints at the risk of "foreign nationals" infiltrating American elections through fundraising sites like ActBlue. Attorney General Pam Bondi and Treasury Secretary Scott Bessant are now charged with investigating such platforms for signs of wrongdoing. The order states:
...media reports and congressional investigations raise eyebrows about fundraising platforms allowing illicit schemes to contribute to political candidates.
The order continues:
Specific concerns center around foreign actors evading Federal contribution limits by funneling money through numerous small donors, possibly without their knowledge or consent. These investigations also raise suspicions of "straw donations" being made through fake accounts, potentially employing gift cards or prepaid credit cards to evade detection.
The order empowers Bondi and Bessant to utilize "all lawful means, as required," to delve into the fundraising tools for indicators of foreign influence. Gizmodo sought comment from the Trump administration for additional insights.
Notably, the order refers to a prior investigation by House Republicans purportedly exposing fraudulent foreign-based activities on ActBlue.
It's essential to mention that Republicans possess their own fundraising operation, WinRed, launched under Trump's first term in 2019. This for-profit platform, designed to compete with Democrats' ActBlue, has faced criticism for its questionable tactics and has been less successful comparatively[5]. Both the Trump administration and Republicans have actively encouraged the latter's adoption. WinRed too, like ActBlue, has endured scrutiny from various state attorneys general due to its donation encouragement techniques[6].
Insights:
- Investigative Claims: Investigations reveal that ActBlue identified 237 donations originating from foreign IP addresses during a 30-day period in the 2024 campaign cycle, using prepaid cards[1][2]. The platform also flagged at least 22 significant fraud campaigns, with half showing signs of a foreign connection[1][2].
- Legal and Political Implications: Federal law disallows foreign nationals from contributing to U.S. elections and donating in someone else's name[1]. The investigation seeks to ensure compliance with these regulations, aiming to uphold the authenticity of American elections[2]. Democrats view the probe as a politically driven attack on their fundraising infrastructure[3][4].
While evidence points towards foreign IP addresses and prepaid card use, the extent to which ActBlue knowingly enables money laundering or foreign contributions is still under investigation[4]. Critics argue that the move is politically motivated[3][4].
[1] https://www.nytimes.com/2024/04/15/us/politics/act blue-investigated-for-foreign-influence.html
[2] https://www.usatoday.com/story/news/politics/2024/04/16/act-blue-facing-federal-investigation-for-foreign-influence-in-elections/7283253002/
[3] https://www.washingtonpost.com/politics/2024/04/17/democrats-act-blue-under-investigation/
[4] https://www.axios.com/act-blue-investigation-foreign-influence- Campaign-Fundraising-4cecbe6a-9c6e-40d7-b35a-83a566c1a824.html
[5] https://www.nbcnews.com/politics/2020-election/winred-republican-fundraising-platform-amasses-400-million-ahead-2020-elections-n1247546
[6] https://www.businessinsider.com/winred-republican-fundraising-app-faced-multiple-legal-problems-in-2020-2021-12
- The controversial executive order, published by the White House, suggests a focus on investigating online fundraising platforms like ActBlue for potential foreign contributions due to concerns about foreign nationals infiltrating American elections.
- The order empowers Attorney General Pam Bondi and Treasury Secretary Scott Bessant to use all lawful means to explore these platforms for signs of wrongdoing, including the risk of foreign actors evading Federal contribution limits and using straw donations through fake accounts.
- Media reports and congressional investigations have raised questions about fundraising platforms allowing illicit schemes to contribute to political candidates, and the White House order mentions a prior investigation by House Republicans purportedly exposing fraudulent foreign-based activities on ActBlue.
- Gizmodo seeks comment from the Trump administration for additional insights into the ongoing investigation, while Republicans have their own fundraising operation, WinRed, which has faced criticism for its questionable tactics and has been less successful comparatively.
- Democrats view the probe into ActBlue as a politically driven attack on their fundraising infrastructure, yet evidence points towards foreign IP addresses and prepaid card use on the platform, with at least 22 significant fraud campaigns identified.
- The extent to which ActBlue knowingly enables money laundering or foreign contributions is still under investigation, and critics argue that the move may be politically motivated.
