Tag: conflicts of interest
It's Time to Dump, Depose and Defenestrate DeJoy

It's Time to Dump, Depose and Defenestrate DeJoy

Now that Postmaster General Louis DeJoy has confirmed reports that he is under investigation by the FBI for alleged campaign finance violations, ordinary postal customers who have suffered under his regime may rightly wonder why he is still in office. That is an urgent question — and has been an urgent question ever since President Joe Biden's inauguration — but it is worth examining how DeJoy got the job, and how he abused a position of constitutional trust.

The FBI probe concerns an alleged "straw donor" scheme undertaken by DeJoy to illegally funnel over a million dollars in excess contributions to the Republican Party and Donald Trump's presidential campaign. It's an obvious form of trickery designed to evade federal limitations on individual donations by urging others to support a campaign or candidate and then reimbursing them under the table. Corporate executives with political ambitions like DeJoy have committed this particular felony over and over again — and if DeJoy is indicted and convicted, he won't be the first suit sent to prison for it.

During and after the 2016 election, DeJoy raised upwards of a million dollars each for the Trump campaign and the Republican National Committee. For that he was named one of the party's three deputy finance chairmen — along with Michael Cohen, then still Donald Trump's personal attorney, and venture capitalist Elliott Broidy.

By then, Broidy had already been convicted on public corruption and bribery charges, while Cohen would soon plead guilty to campaign finance crimes as well as bank fraud. DeJoy would complete a dubious trifecta.

Last fall, a Washington Post investigation found that DeJoy had used the straw donor technique for over a decade to raise his profile as a Republican fundraiser in North Carolina. Former employees of New Breed Logistics, the supply chain firm he founded and then sold, said they had been pressured to make donations and repaid with bonuses and other compensation. The pattern dated back to the Bush administration — and appeared to have won at least two ambassadorial appointments for DeJoy's wife, Aldona Wos.

Yet while DeJoy's appointment as postmaster general was obviously greased by his massive donations, his alleged violations of election law are not the worst aspect of his regime. Even more troubling are major conflicts of interest that he has failed to resolve — and that some experts have described as potentially criminal.

When DeJoy sold New Breed to XPO Logistics, he held onto large amounts of stock and options in the merged company — which is a U.S. Postal Service contractor and might well profit from decisions made by him as postmaster. Policies promoted by DeJoy to diminish and even destroy postal delivery last year became controversial because of their effect on mail balloting — which his patron Trump blatantly sought to impede for partisan gain. But DeJoy is suspected of devising policies destructive to the Postal Service for his own self-serving purposes, too.

DeJoy and his family have invested tens of millions of dollars in companies, including XPO, that either contract with USPS, compete directly with USPS or both. Their investments in those competing firms, such as United Parcel Service, Forward Air and JB Hunt Trucking, are estimated between $30 million and $76 million, according to their own financial disclosures. Holding those interests in competing companies while serving in government is a serious violation of the law.

As Walter Shaub, former director of the Office of Government Ethics, said last year, "the idea that you can be a Postmaster General and hold tens of millions in stocks in a postal service contractor is pretty shocking." Except that the behavior of Trump, his family, his treasury secretary and many other conflicted employees lowered ethical expectations below zero.

Incredibly, DeJoy has only pretended to shed those conflicts since they were exposed last summer — by "divesting" his XPO holdings to his adult children. He continues to represent a holdover of the corrupt administration that voters ousted in 2020. And his plans to wreck the U.S. Postal Service remain a grave danger to an agency founded in Constitutional authority.

Biden could take action to have the Postal Service Board of Governors remove DeJoy from the board, which would mean he could no longer serve as postmaster general by law. Americans who depend on the mail for their livelihoods, medications and so much more need reform now. They can't wait until the last crooked Trump appointee is taken away in handcuffs.

To find out more about Joe Conason and read features by other Creators Syndicate writers and cartoonists, visit the Creators Syndicate website at www.creators.com.

House Oversight Panel Reissues Subpoena For Trump's Tax Records

House Oversight Panel Reissues Subpoena For Trump's Tax Records

By Jan Wolfe (Reuters) - A U.S. House of Representatives panel has reissued a subpoena seeking Donald Trump's tax and financial records, saying in a memo made public on Tuesday it needs the documents to address "conflicts of interest" by future presidents. In a court filing on Tuesday, House lawyers told a judge that the House Oversight Committee reissued a subpoena to Trump's accounting firm, Mazars USA LLP, on Feb. 25. The committee issued a similar subpoena in 2019, but that subpoena expired in January when new U.S. lawmakers took office. Tuesday's court filing included a Feb. 23 memorandum...

Inside Ivanka And Jared’s Ethics-Free Money Machine

Inside Ivanka And Jared’s Ethics-Free Money Machine

Reprinted with permission from Alternet

Despite the pandemic, which took a toll on many businesses across the United States, Ivanka Trump and Jared Kushner reportedly made substantial profits during their time working for the U.S. government under former President Donald Trump's administration.

According to a report published by Citizens for Responsibility and Ethics in Washington (CREW), the affluent couple's final financial disclosure reports, which cover the duration of 2020 up to Jan. 20, 2021, signal monetary profits of "$23,791,645 and $120,676,949 in combined outside income."

The analysis also highlights a number of questionable aspects of Trump's disclosure reports that center on "fixed guaranteed payments she arranged to receive from a few entities to prevent a situation in which she would have a stake in their performance while she worked in the White House."

CREW reports:

Starting in 2018, Trump began receiving annually $100,000 from T International Realty LLC, $800,000 from TTT Consulting LLC, and $600,000 from TTTT Venture LLC. In her latest financial disclosure report, however, she reported receiving an extra $62,500 from TTTT Venture LLC and only $362,500 from TTT Consulting LLC. While the extra income from TTTT Venture LLC could be explained by the longer reporting period covered by her annual/termination report, it is not clear why she received less than half of the $800,000 guaranteed payment from TTT Consulting LLC in her final year working for the government.

As for Kushner's financial disclosure report, CREW noted that although the former White House senior advisor had committed to selling his $25 to $50 million stake in Cadre over conflict of interest due to his work for the government, "the Office of Government Ethics withdrew the certificate of divestiture related to his plans to sell his interest in the company in June 2020," per his request.

Kushner also unveiled "Kushner Companies BVI Limited," a new company he has formed offshore in the British Virgin Islands. The publication reports that it appears the new offshore company, which is one of many for Kushner, was formed in an effort to restructure some of his assets.

The latest reports come as former President Donald Trump, as well as his family business, faces a number of pending investigations into potential fraud and tax evasion.

Ivanka Trump and Kushner took no salaries from the government, according to previous disclosures; advisers of their status tend to make around $183,000 a year. But their decision to forgo this payment isn't necessarily a good thing, from an ethics perspective. Government workers are typically expected to make their money from the government itself so that they aren't improperly influenced by or dependent on outside entities while doing work for the American people. Kushner and Ivanka Trump could only choose to decline their salaries because they had so much income and wealth from other sources.

Biggest Lobbying Cash Flow Since 2010 Floods Trump’s Swamp

Biggest Lobbying Cash Flow Since 2010 Floods Trump’s Swamp

Reprinted with permission from Shareblue.

Lobbyists are flocking to Washington, D.C., and flooding the city with more money seeking to buy influence than has been spent in seven years. The dynamic where businesses are spending more to pay off politicians and other public figure coincides with a parade of unethical action and behavior from Donald Trump.

Lobbyists spent $3.34 billion in Washington in 2017, the most they have spent since 2010, the second year of Barack Obama’s presidency.

Trump’s campaign rhetoric about “draining the swamp” had an extremely limited shelf life. Not long after he was inaugurated, Trump showed the country that he was dead-set on doing what it took to count his administration among the most corrupt in history.

Instead of a break from his private businesses, where his properties were used to hide international mafia money while he groped women and leered at half-undressed teenage girls at the pageants he owned, Trump kept up the underhanded behavior in the presidency.

Trump’s hotels have become towers of influence, with businesses and foreign powers booking rooms at the Trump International Hotel, putting money in Trump’s pocket as he makes decisions about those same interests from the presidency.

His cabinet is the wealthiest in modern history, loaded with executives from companies he had excoriated on the campaign trail, like Goldman Sachs.

These were the same figures working behind closed doors with Congressional Republicans to craft the tax bill, excluding Democrats from the process as lobbyists inserted sweetheart deals they could profit from while the general public languished.

Despite his campaign rhetoric, Trump has violated ethical standards of the presidency and used his office to enrich himself and his family with no regard for the public good. His behavior, far more than his empty promises, demonstrates the priorities of his administration, and the lobbyists he vowed to banish have instead figured out just how welcome they are in Trump’s swamp.

Oliver Willis is a former research fellow at Media Matters for America who has been blogging about politics since 2001. Follow him on Twitter @owillis.

PHOTO: Flags fly above the entrance to the new Trump International Hotel on its opening day in Washington, DC, September 12, 2016. REUTERS/Kevin Lamarque/File Photo