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      Top Republicans Balk at WinRed’s Plan to Charge More for Online Donations

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      Republican Party leaders are opposed to a proposed price increase by the online donation-processing company, WinRed, stirring debate about the company’s future.A battle over a threatened price increase has exposed growing tensions between top Republican Party officials and the company with a virtual monopoly on processing Republican campaign contributions online.Party leaders have risen up in opposition to the plan to raise prices, which would siphon millions of dollars from G.O.P. campaigns less than 20 months after the company, WinRed, had said its finances were robust enough to forego an extra fee on every transaction.In a series of private meetings in recent weeks, Gerrit Lansing, the president of WinRed, has told the leaders of the Republican National Committee, the House and Senate campaign arms and former President Donald J. Trump’s campaign that WinRed’s prices needed to go up.The Republican officials all objected.Mr. Lansing’s company, a private for-profit firm responsible for processing almost all online Republican political donations, charges 3.94 percent of almost every donation made online. But he said it wasn’t enough, citing an unforeseen slowdown in online G.O.P. giving last year and also plans to broaden WinRed’s suite of services. He moved to impose a 30-cent transaction fee on each of the tens of millions of coming contributions in the 2024 race, according to several people directly involved in or briefed on the conversations.The plan to raise prices appears to have stalled over fierce G.O.P. objections, according to people involved in the talks. But the episode has accelerated conversations at the party’s highest levels about the decision four years ago to clear the way for WinRed to dominate the online donation-processing field, and about whether the for-profit company’s model needs to be reassessed. Democrats process most online donations through ActBlue, which, unlike WinRed, is an independent nonprofit. ActBlue charges a flat rate of 3.95 percent per donation and does not charge an additional per-transaction fee.“WinRed is constantly evaluating what it takes to compete against and leapfrog ActBlue, combat the Democrats’ campaign to attack us by all means available, and still make the necessary investments to provide our customers with the features they need to win,” WinRed said in a statement. “At this time, WinRed has no announcements to make regarding pricing.”Representatives for the party committees declined to comment.Gerrit Lansing, the president of WinRed, has told officials about a plan to charge an extra fee on every transaction.Tom Williams/CQ Roll Call, Getty ImagesMr. Lansing’s pursuit of outside investors to expand WinRed’s digital footprint and offerings — including talks with advisers to Paul Singer, a major Republican financier — has spurred further discussions about the company’s ownership structure.The obscure industry of processing donations online is deeply consequential for Republicans because the party has faced a persistent digital fund-raising deficit against Democrats. WinRed has been held up as the linchpin of the party’s plans to help close that gap.Huge sums are involved. There were nearly 31.2 million donations made on WinRed during the 2022 federal elections, worth nearly $1.2 billion. The upcoming presidential cycle could easily double that.The creation of WinRed in 2019 was supposed to be one of Mr. Trump’s enduring legacies within the Republican infrastructure, a bold bid to unify the party around a single platform to help shrink the G.O.P. fund-raising gap with ActBlue. Mr. Trump, his son-in-law Jared Kushner and Mr. Trump’s campaign manager at the time, Brad Parscale, were all personally involved.The site has largely been a success, achieving near-universal adoption among G.O.P. campaigns. WinRed originally had charged 3.8 percent of contributions with an additional 30-cent transaction fee. That amounted to an especially steep share of smaller contributions — 68 cents, or nearly 7 percent, of a $10 donation, for instance.A Trump rally in Waco, Texas, in March. As president, Donald J. Trump was among those personally involved in the creation of WinRed in 2019.Christopher Lee for The New York TimesIn late 2021, Mr. Lansing trumpeted the removal of the 30-cent transaction fee, saying the company had been able to “achieve and maintain scale.” But the decision by credit card companies to raise their own fees not long afterward made WinRed’s move unsustainable, according to a person close to the company, as most of its processing fees are quickly spent on credit card costs.In recent weeks, Mr. Lansing told party officials that WinRed had suffered financially in 2022 as a result of diminished Republican giving and that he needed to reimpose a per-transaction fee ahead of 2024 to continue broader investments in technology. Because WinRed is a private firm, its executive compensation and the state of its finances remain mostly hidden from public view. Records show that federal candidates and committees paid WinRed at least $64 million in the 2022 election cycle; those funds were not all from processing fees but also included significant vendor fees, according to a person close to WinRed.Its Democratic counterpart, ActBlue, has faced a financial pinch too, announcing in early April plans to lay off 17 percent of its work force. ActBlue discloses more of its finances than its counterpart does, including the amount of donors who volunteered to add “tips” on top of their donations. Those tips go directly to ActBlue and have built a $68.7 million balance in ActBlue’s federal account as of the end of 2022. Mr. Lansing has begun discussing adding the option to make tips to the Republican site as well, according to people involved in the conversations.WinRed faces other unique pressures, including an investigation by multiple state attorneys general into the firm’s use of prechecked boxes that automatically signed up donors to make recurring donations unless they opted out. A New York Times investigation in 2021 revealed how the extensive use of those boxes — known internally as “money bombs” for withdrawing more than one donation at a time — spurred an enormous wave of demands for refunds and complaints of fraud to credit card companies at the end of the 2020 campaign.WinRed sued to block subpoenas but lost a key legal battle in February when the Eighth Circuit Court of Appeals ruled that the investigation could proceed in Minnesota. In New York, a December filing from the state attorney general, Letitia James, that demanded compliance with a subpoena gave a glimpse into the internal documents her office has already obtained. The filing cited an internal WinRed memo as saying that, at one point in June 2020, donors who were opted into multiple donations through pre-checked boxes had caused a surge of phone calls and “a 10,000 message deep queue over one weekend.” Recurring donations were dropping over time, the memo theorized, because “as donors get used to or go through the process they become more savvy.”One Republican candidate who saw a surge of refund requests from people who were unwittingly opted into recurring donations was Kelly Loeffler, a senator who lost her runoff in Georgia in January 2021 and who found the experience of working with WinRed jarring.“It absolutely was a red flag,” Ms. Loeffler said in an interview, referring to the deluge of refund requests. Ms. Loeffler, a former co-owner of the Women’s National Basketball Association team in Atlanta, has since bought donation-processing technology from a Republican firm that stopped its business after the creation of WinRed. She has rebranded the technology and now uses it in running RallyRight, another company that processes online donations.“We have seen a need for a competitor in this market,” Ms. Loeffler said.So far, she is undercutting WinRed on price — charging 3.5 percent of donations — and ensuring that “no campaign can automatically check a recurring payments box.” She declined to name specific Republican groups that she has spoken with but said the price could go even lower — down to 3 percent — with “the scale of some of the organizations we are talking to.”Ms. Loeffler said that she was in the business not for personal profit but to direct more money to campaigns. “It’s absolutely not about me making millions of dollars,” she said. “I’ve done that.” More

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      Fugees Rapper Pras Michel Found Guilty in Illegal Foreign Influence Scheme

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      Mr. Michel took orders, and millions of dollars, from a Malaysian financier who sought to gain political influence in the U.S., prosecutors said.A founding member of the hip-hop group the Fugees was found guilty in federal court on Wednesday of orchestrating a sprawling international conspiracy that used millions of dollars worth of foreign money for illegal lobbying and campaign contributions, the Justice Department said.The rapper Prakazrel Michel, known as Pras, had been accused of accepting $865,000 from Low Taek Jho, a Malaysian financier, and giving that money to a network of straw donors who used it to make campaign contributions to former President Barack Obama in 2012.Mr. Michel was also accused by prosecutors of trying to convince the Trump administration and the Justice Department to drop federal investigations into Mr. Low related to embezzlement, as well as assisting China in its efforts to have a Chinese dissident brought back to China, according to the Justice Department.Mr. Michel, who received millions of dollars for his part in the schemes, was convicted of 10 criminal counts including money laundering, illegal lobbying, witness tampering and campaign finance violations, according to court records. He faces a maximum possible sentence of 20 years in prison.“Today’s verdict demonstrates that anyone who engages in unlawful foreign-sponsored efforts to influence American officials, our elections, or the criminal justice system will be brought to justice,” Kenneth A. Polite, Jr., an assistant attorney general with the Justice Department, said in a statement.Mr. Michel’s lawyer, David E. Kenner, did not immediately respond to a call seeking comment on Wednesday evening.Mr. Michel’s conviction in U.S. District Court in Washington followed an extensive trial that included testimony from several big names in entertainment and political circles, including Leonardo DiCaprio and former Attorney General Jeff Sessions, according to The Associated Press and Politico.Mr. DiCaprio testified that Mr. Low seemed to be a legitimate businessman years ago when he said he wanted to donate to the Obama campaign, and Mr. Sessions testified about his knowledge of the Chinese extradition efforts.Prosecutors argued that Mr. Low essentially used Mr. Michel for back-channel dealings in the U.S., and that Mr. Michel was a subservient accomplice.Mr. Low, also known as Jho Low, is a fugitive and has been wanted by law enforcement in the United States and Malaysia for his role in the theft of $4.5 billion from a Malaysian sovereign wealth fund, according to the Justice Department. That case contributed to the electoral defeat and eventual indictment of that country’s former prime minister, Najib Razak.Mr. Michel, 50, of Coconut Creek, Fla., conspired with Mr. Low to funnel millions of dollars of Mr. Low’s money into the 2012 U.S. presidential election “as purportedly legitimate campaign contributions, all while concealing the true source of the money,” prosecutors said.Mr. Michel would receive Mr. Low’s money and contribute to Mr. Obama’s campaign personally and through about 20 straw donors, court records state. The men’s goals were to “gain access to, and potential influence with” Mr. Obama’s administration, according to prosecutors.The indictment accused Mr. Michel and Mr. Low of concealing the scheme from the Obama administration and from federal regulators.Federal officials learned of their activity in 2017. Mr. Michel was charged in 2019.Harry A. Lidsk, a special agent with the Justice Department, said in a statement that Mr. Michel “played a central role in a wide-ranging conspiracy to improperly influence top government officials.”In 2017, Mr. Michel also began to “engage in undisclosed lobbying campaigns” at the orders of Mr. Low and a Chinese government official, prosecutors said. Mr. Low wanted to have his embezzlement investigation dropped, and the Chinese official asked Mr. Low to help them get a Chinese dissident extradited, the Justice Department said.Mr. Michel did not manage to sway U.S. officials on either matter, court records show.Glenn Thrush More

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      Major G.O.P. Donor’s Commitment to DeSantis Is Murkier Than Thought

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      The hedge fund billionaire Kenneth Griffin, who seemed set to be a powerful financial backer of the Florida governor, is said to still be evaluating the Republican primary race.Nearly six months ago, Kenneth Griffin, the Republican megadonor and hedge fund executive, seemed poised to be a powerful financial backer of Gov. Ron DeSantis of Florida in his anticipated run for president.Mr. Griffin had given $5 million to Mr. DeSantis’s re-election effort, and he told Politico that while Mr. DeSantis was not yet a White House candidate, “he has a tremendous record as governor of Florida, and our country would be well served by him as president.”These days, Mr. Griffin is keeping his cards closer to the vest, and his intentions are harder to discern. A person familiar with his thinking, noting that Mr. DeSantis had not yet made his run official, said Mr. Griffin was still evaluating the Republican primary race as it unfolded.The financier and Mr. DeSantis met in Florida in the last two weeks, according to two people with knowledge of the meeting, which came as Mr. Griffin has taken issue in private conversations with some of Mr. DeSantis’s policy moves and pronouncements. In particular, the two people said, Mr. Griffin was deeply troubled by Mr. DeSantis’s statements that Russia’s invasion of Ukraine was a “territorial dispute” — a remark he later tried to clarify — and that the war was not a vital U.S. interest.Mr. Griffin, who has made clear that he wants to move on from former President Donald J. Trump, was also disconcerted by a six-week abortion ban in Florida that Mr. DeSantis recently signed, according to the people familiar with Mr. Griffin’s thinking, who insisted on anonymity to discuss private conversations. Last year, Mr. Griffin moved his hedge fund, Citadel, to Miami from Chicago, citing crime concerns.The meeting between the governor and Mr. Griffin was, for the most part, one on one, without staff members, one of the people briefed on it said, and it was one of their few direct interactions. Reading Mr. Griffin’s intentions after the meeting has been difficult for some people close to him.One person predicted the financier was still likely to donate to Mr. DeSantis once he made his candidacy official, which could happen as early as next month. But the person said Mr. Griffin might also give to other candidates who seemed able to defeat Mr. Trump.In a statement, Zia Ahmed, a spokesman for Mr. Griffin, ticked off Mr. DeSantis’s “many accomplishments” and mentioned job creation, “increasing the number of quality school options, and prioritizing the safety of our communities.”He went on, “Ken may not agree with all of the governor’s policies, but he appreciates all that the governor has done to make Florida one of the most attractive states to live and work in America.”Kenneth Griffin has made clear that he would like the Republican Party to move beyond former President Donald J. Trump.Mike Blake/ReutersBut Mr. Ahmed declined to address what Mr. Griffin thought about the presidential race. A spokesman for Mr. DeSantis declined to comment.What Mr. Griffin does is being closely watched, after word spread of his unhappiness about how Mr. DeSantis had comported himself early this year.Mr. DeSantis’s supporters say there is still a broad appetite — in the donor community and among prospective voters — for a viable Republican alternative to Mr. Trump.“The money has walked,” said Roy Bailey, a Dallas businessman and longtime Republican fund-raiser for Mr. Trump. “From my conversations with a lot of people from around the country, it has moved to DeSantis. It is a cold, hard fact.”Mr. Bailey disputed the idea that momentum had shifted away from Mr. DeSantis recently.In the first two weeks of May, Mr. DeSantis is set to host a series of small dinners with major donors and supporters from across the country at the governor’s mansion in Tallahassee, according to two people with knowledge of his plans.If Mr. DeSantis enters the presidential race as expected, he will be armed with a well-funded super PAC, Never Back Down, which said this month that it had raised $30 million in its first few weeks of fund-raising.Two-thirds of that money, $20 million, came from a single donor, the Nevada hotel magnate Robert Bigelow, Time magazine reported.In private conversations, Mr. DeSantis’s associates have indicated that they have $100 million in commitments to the super PAC, along with roughly $82 million in a Florida committee that will probably be transferred to Never Back Down.Still, some donors who had hoped Mr. DeSantis could stop Mr. Trump have cooled their enthusiasm.Thomas Peterffy, a prominent conservative donor, also cited Florida’s abortion law in explaining why he was withholding support from Mr. DeSantis for now. Mr. Peterffy had supported Mr. DeSantis in his state campaigns, and according to one person familiar with the event, hosted Mr. DeSantis at his house early in his first term as governor. But Mr. Peterffy told The Financial Times this month he was holding still, as were some friends.Some donors have also expressed concern about Mr. DeSantis’s pre-campaign strategy. When his allies made clear this year that he would not enter the race before the end of the legislative session in Florida, Mr. DeSantis effectively gave Mr. Trump three months to define him — and taunt him — before becoming a candidate. More

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      Trump Endorsed by Senator Daines of Montana, a Key Republican Fund-Raiser

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      Steve Daines of Montana, the chairman of the National Republican Senatorial Committee, cited the former president’s accomplishments on issues like immigration.Former President Donald J. Trump has secured one of his most important Capitol Hill endorsements for a 2024 presidential bid: Senator Steve Daines of Montana, the chairman of the Senate Republicans’ campaign arm.While top Republicans in the Senate have been lukewarm about the prospects of another election cycle dominated by Mr. Trump, the endorsement gives him a foothold with a key party fund-raiser.“I’m proud to endorse Donald J. Trump for president of the United States,” Mr. Daines said during a Monday night appearance on “Triggered,” the podcast of Donald Trump Jr., the former president’s eldest son and an occasional hunting buddy for Mr. Daines.He added that the “best four years” he’d had in the Senate was when Mr. Trump was president. And Mr. Daines ticked off a list of accomplishments that he said Mr. Trump had recorded, on issues like immigration.“That’s absolutely awesome,” Mr. Trump Jr. replied.Mr. Trump has notched a string of congressional endorsements, but Mr. Daines, the chairman of the Senate campaign arm, the National Republican Senatorial Committee, has outsize influence. Mr. Daines is in constant contact with the wealthiest donors in Republican politics, who have been reluctant to support Mr. Trump, even as he asserts himself as the clear front-runner less than a year out from the primaries. If Mr. Daines vouches for the former president as he works the donor circuit, it may bolster what has been until now fairly lackluster fund-raising from the Trump campaign.Mr. Trump and Senator Mitch McConnell, the Republican leader, are not on speaking terms, and his supporter in the Senate with the most seniority was Lindsey Graham of South Carolina.Yet for Mr. Daines, the decision was a relatively safe move. With a closer relationship, Mr. Trump could support the Senate candidates backed by Mr. Daines’s committee — or at least avoid attacking the committee’s preferred candidates. Mr. Daines’s relationship with Mr. Trump Jr. is also seen as an important conduit between the Senate and the Trump operation.Mr. Daines and Mr. Trump Jr. began the interview bantering about their past hunting trips but Mr. Daines eventually spoke of how Republicans have a “once a decade” opportunity to pick up seats with a favorable map in 2024. If Republicans failed, he warned, they could remain in the minority “for the rest of the decade.” Before he endorsed Mr. Trump, during the interview, Mr. Daines talked about the power that strength at the top of the ticket could mean in the Senate races.Mr. Trump’s chief rival for the nomination, Gov. Ron DeSantis of Florida, has faced some difficulty connecting with potential supporters as he works toward making his candidacy official. Both hopefuls have pushed for endorsements in Congress. While Mr. Trump has collected dozens, Mr. DeSantis, a former congressman, has secured just a handful. The people endorsing Mr. Trump have been quick to praise his personal touch.In the 2022 cycle, the National Republican Senatorial Committee, under the chairmanship of Senator Rick Scott, took a largely hands-off approach to the primaries. Mr. McConnell lamented the “candidate quality” of those who had emerged from primaries, and several Republicans aligned with Mr. Trump went on to lose key battlegrounds in November, including Don Bolduc in New Hampshire and Blake Masters in Arizona, both of whom party strategists had predicted would be weak nominees.Mr. Daines has taken a different approach. He has endorsed Representative Jim Banks for an open Senate seat in Indiana and has courted other candidates, including David McCormick, the former hedge fund executive who lost a Senate primary in Pennsylvania last year, to run again.Still, Senate Republicans are facing a gantlet of potential 2024 primaries, and the party leadership is worried that weak potential candidates could yet again hinder Republicans in November, including in Mr. Daines’s home state, Montana.In West Virginia, for instance, national Republicans have wooed Gov. Jim Justice, a billionaire former governor, to run against Senator Joe Manchin III, a Democrat who faces a tough re-election fight in a state that Mr. Trump won overwhelmingly in 2020. Mr. Justice is expected to enter the race on Thursday, but Representative Alex X. Mooney, who won a fierce Republican primary in 2022 with Mr. Trump’s endorsement, has already entered the contest.Other states that may feature thorny Republican primaries include Arizona, where the former television newscaster Kari Lake, who lost her 2022 bid for governor, may run for Senate in 2024, and Pennsylvania, where Doug Mastriano, who badly lost a 2022 governor’s race, is looking at a Senate run.“The primary is ours to walk away with,” Mr. Mastriano said in an interview on Monday with the conservative radio host John Fredericks. “We have the base. We are the base.”Mr. Mastriano is the type of nominee Mr. Daines is seeking to avoid. “His last race demonstrated he can’t win a general,” Mr. Daines said last month. More

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      Biden Summons Big Donors to Washington as 2024 Campaign Nears

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      The gathering is the latest in an intensifying series of planning moves ahead of Mr. Biden’s expected announcement of a re-election bid.Top donors to President Biden have received a last-minute invitation to travel to Washington at the end of next week to see Mr. Biden as he gears up for a 2024 campaign, according to more than a half-dozen people who have been invited to or briefed on the event.Invitations are going out to some of the biggest donors and bundlers for Mr. Biden’s 2020 campaign — those who donated or raised at least $1 million, according to one person. The initial round of invitations is being made by phone instead of email.The event, which is not a fund-raiser, is seen as an effort to rally donors before what is expected to be an expensive 2024 run.The gathering is the latest in an intensifying series of discussions and planning meetings between the White House and Democratic National Committee officials ahead of Mr. Biden’s expected campaign. The president has said for months that he plans to run, and last week he said while traveling in Ireland that an announcement would come “relatively soon.”Even as Biden advisers say they feel under no immediate pressure to formally begin a campaign, there has been some discussion of an announcement as early as next week, which would coincide with the anniversary of Mr. Biden’s entry into the 2020 race.Some of the details of the donor event appear to still be coming together, but it is expected to include a meeting on Friday evening with Mr. Biden outside the White House, multiple people said. There might also be briefings from some of Mr. Biden’s top strategists on Saturday.One person familiar with the event described it as something of an outstretched hand after a relatively long drought of interactions between Mr. Biden’s world and some of its donors.Two governors who have previously been top Democratic fund-raisers, J.B. Pritzker of Illinois and Phil Murphy of New Jersey, have also been invited because of their past fund-raising, according to two people briefed on the event. Both have been seen as potential candidates in 2024 if Mr. Biden decides not to run.The White House and the Democratic National Committee did not immediately respond to requests for comment. More

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      How Nikki Haley’s Campaign Inflated Her Fund-Raising Haul

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      This month, her campaign said she had raised $11 million in the opening six weeks of her bid for the Republican presidential nomination. But the real figure appears to be about $8.3 million.Nikki Haley, the former South Carolina governor and United Nations ambassador, has staked her presidential run on an image as a straight shooter, with experience and drama-free competence.This weekend, though, it became clear that the impressive early fund-raising numbers her campaign promoted this month had been inflated, apparently because of double-counted money.The campaign had broadcast an $11 million haul in its opening six weeks, through the end of the first-quarter filing period on March 31. But when three of her affiliated committees filed reports on Saturday, the math did not add up.Instead, the three committees appeared to have taken in about $8.3 million, including $2.7 million that one of the committees transferred to two other committees and that was double-counted in the overall figure.On Saturday, a spokeswoman for Ms. Haley said other campaigns had accounted for their money similarly in the past.How can this happen?The muddied accounting exposes the risks of building a campaign-finance operation with a patchwork of committees, which has become standard for presidential candidates. Ms. Haley is backed by four affiliated entities registered with the Federal Election Commission, three of which made filings on Saturday.Team Stand for America, her joint fund-raising committee, solicits contributions that are then divided between three entities: her presidential campaign committee, a multicandidate political action committee and a hybrid PAC (which did not file on Saturday).According to its filing on Saturday, Team Stand for America raised nearly $4.3 million in contributions in the first quarter. It also transferred $2.7 million to affiliated committees, and here is where the math got tricky. Without those transfers, the total raised by the three committees was $8.3 million, not $11 million.More details, pleaseMs. Haley’s principal campaign committee — Nikki Haley for President — disclosed that it had taken in $5.1 million in receipts. But only $3.3 million of that sum came from contributions: The remaining $1.8 million came from Team Stand for America in two transfers recorded on March 31, the filings show.Stand for America PAC, a group that supports her but can also raise money for other candidates, reported $1.5 million in receipts — but just $600,000 of that came from contributions, the filing shows. The PAC received $886,000 in transferred money from Team Stand for America on March 31.In offering the original $11 million figure, the campaign added up the total receipts for the three groups — $5.1 million, $4.3 million and $1.5 million — without accounting for the fact that $2.7 million was being moved between the groups.What does it mean?Not much. There is nothing inaccurate about the filings themselves — they appear to add up — and there is nothing new about campaigns overhyping their fund-raising.And $8.3 million is still a sizable haul for the first six weeks of a presidential campaign. In comparison, former President Donald J. Trump’s campaign disclosed $9.5 million in receipts in January for the first six weeks of his official bid.A spokeswoman for Ms. Haley did not respond to a request for comment on Monday.In 2021, Mr. Trump’s advisers announced, inaccurately, that his affiliated political committees had raised nearly $82 million in the first six months of the year. That figure improperly counted at least $23 million in transfers to new political action committees from other accounts, The New York Times found.Mr. Trump’s joint campaign committee — which has been the main vessel for his fund-raising this election cycle — raised $18.8 million in the first quarter, his campaign has said. It transferred $14 million to his principle campaign committee, according to filings Saturday. More

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      For Ron DeSantis, Overflowing War Chest Obscures the Challenges Ahead

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      As he prepares for a widely expected 2024 campaign, the Florida governor has at least $110 million in allied committees. But he will also have to navigate a series of financial and political hurdles.As Gov. Ron DeSantis of Florida prepares to take a widely anticipated leap into the 2024 presidential campaign, one of his chief strengths is his ability to raise huge sums from deep-pocketed donors.But his formidable war chest — at least $110 million in state and federal committees aligned with him — is no guarantee of success on the national stage, and his financial firepower brings with it a series of challenges he must navigate to capture the Republican nomination.Mr. DeSantis’s unsteady debut on the national stage over the past month, including remarks about Ukraine that alarmed many Republicans and hesitant counterpunches against former President Donald J. Trump, has also showcased his aloof and at times strained relationship with donors.Recent additions of seasoned advisers to his team and to an allied super PAC have allayed some concerns, strategists and donors said, but the early rookie mistakes, as one Republican donor put it, may have rattled influential would-be backers. Mr. DeSantis’s poll numbers have sagged against Mr. Trump, who has repeatedly taunted Mr. DeSantis and weaponized his fund-raising strength against him, painting the governor as a puppet of wealthy Republican elites.Those barbs by Mr. Trump — who was largely forsaken by big donors even before his recent indictment by New York prosecutors — underscore the political reality that no matter how much money Mr. DeSantis has, he will have to overcome the grass-roots enthusiasm and army of small donors that Mr. Trump continues to command. The former president’s popular appeal was particularly apparent this past week, with his campaign announcing on Wednesday that it had raised $12 million off the news of his indictment.Mr. DeSantis will also have to cultivate and tend to relationships with the everyday financial players in Republican politics — the millionaire donors, bundlers and fund-raisers whose enduring support is necessary to sustain a presidential campaign. He has, by many accounts, kept these donors at arm’s length while touring the country this past month, opting for rallies, book signings and closed-door meetings with allies instead of fund-raising dinners.Most of Mr. DeSantis’s campaign cash is tied up in a Florida political action committee.Chris Dumond/Getty ImagesThough it is still early in the campaign cycle, some donors and strategists have questioned whether Mr. DeSantis’s skills as a politician are lagging behind his robust bank account.“He is in the most enviable financial position of any candidate,” possibly including Mr. Trump, said Mike Murphy, a longtime Republican strategist. “There are questions in Republican circles about DeSantis’s candidate skills — can he make the transition from being the governor of a Republican state, where you exist on people’s TV screens, to the microscope of New Hampshire and Iowa?”Mr. DeSantis also has a campaign-finance conundrum on his hands: Most of his money — more than $80 million, as of the end of February — is tied up in a Florida political action committee. He is prohibited by law from transferring that “soft” money — dollars raised without federally imposed limits — into a presidential campaign.Any move to use that money in support of his national ambitions — including transferring it to an affiliated super PAC, called Never Back Down — would still be likely to raise red flags among campaign finance watchdogs, although campaign finance experts said the Federal Election Commission, which has for years been deadlocked between the parties, was unlikely to act on it.“Can he take that money, which was raised through his state PAC, and use it to advance his presidential campaign directly or through a federal super PAC supporting him?” said Saurav Ghosh, a former F.E.C. enforcement lawyer who is now the director of federal campaign finance reform at the Campaign Legal Center, a watchdog group. “The common-sense answer, and the law, says no.”Mr. Ghosh added, “The unfortunate reality is that the F.E.C. is probably not going to do anything about it.”In a statement, the F.E.C.’s chairwoman, Dara Lindenbaum, and vice chairman, Sean Cooksey, said any assertion that the commission’s bipartisan structure prevented it from fulfilling its mission was “misinformed.”“Without commenting on any specific case, commissioners assess each enforcement matter on its merits, and we reach agreement in nearly 90 percent of them,” they said.Representatives of Mr. DeSantis did not respond to requests for comment. In a statement Saturday, Erin Perrine, communications director for the affiliated super PAC, Never Back Down, said, “Governor DeSantis isn’t even an announced candidate and supporters from all 50 states have already stepped up and donated to the Never Back Down movement. Should he decide to run for president, he will be a grass-roots-fueled force to be reckoned with.”At the end of February, as Mr. DeSantis began a national tour of speaking engagements and promotional events for his new book, his allies and backers stepped up preparations for a possible presidential run.Friends of Ron DeSantis, a Florida PAC that had supported his successful re-election effort in November, continued to take in millions of dollars, including $10 million in February alone.The vast majority of money the group has raised since the election has come from a few rich donors. Jeff Yass, a Philadelphia investment manager and major Republican donor, gave $2.5 million; Joe Ricketts, the founder of TD Ameritrade and an owner of the Chicago Cubs, gave $1 million; and Gregory P. Cook, a founder of a Utah-based multilevel marketing company that sells essential oils, gave $1.3 million.Mr. Yass has given tens of millions of dollars in recent years to conservative and libertarian candidates and committees, including the Club for Growth PAC, an arm of a prominent conservative anti-tax group that has sought to move the Republican Party beyond Mr. Trump. Mr. Ricketts, the patriarch of a powerful political family in Nebraska, gave at least $1 million to support Mr. Trump in 2016, after initially opposing him in the primaries. Mr. Cook does not have a record of major gifts to federal candidates.DeSantis supporters at an event before his re-election as Florida’s governor in November.Zack Wittman for The New York TimesJohn Childs, a billionaire Republican donor in Florida, gave $1 million to Friends of Ron DeSantis in late February, as did Stefan Brodie, the founder of a Pennsylvania chemical company.In March, Kenneth T. Cuccinelli II, a former Trump administration official, announced the creation of Never Back Down.The group, which recently brought on the veteran Republican strategist Jeff Roe as an adviser, said it had raised at least $30 million since March 9.Super PACs, though powerful tools for pooling enormous sums of unregulated cash, come with drawbacks for candidates. For one, the campaigns cannot directly control how that money is spent. Crucially, television ads also cost more for PACs: Federal law lets candidate committees pay a lower price.So the money raised by official campaigns — ideally from bundlers who can summon hundreds of friends and allies to max out their individual contributions, now capped at $3,300 per person — is often worth more to the candidate.“You make me choose between a bundler and a big check writer, I’d rather have the hard dollars,” Mr. Murphy said. “Most bundlers really need to be pursued — and that goes back to the interpersonal skills.”For that reason, Mr. DeSantis’s nine-figure haul is hard to compare to the $21.8 million that, at year’s end, sat in the federal campaign account of Senator Tim Scott of South Carolina, another potential Republican candidate.Mr. Scott is also supported by a super PAC, the Opportunity Matters Fund, which since 2020 has raised tens of millions of dollars — including at least $35 million from the Oracle founder Larry Ellison.Mr. DeSantis has been touring important primary states while he promotes his new book.Scott McIntyre for The New York TimesAnd big-dollar fund-raising does not always translate to victory. Donors and strategists cite the examples of former Gov. Scott Walker of Wisconsin and former Gov. Jeb Bush of Florida as warnings. Cast as front-runners for the 2016 election, both took in huge cash hauls in 2015 — Mr. Bush raised more than $100 million — only to fizzle out of the race early.In his recent stops in Iowa, New York, Pennsylvania and Georgia, Mr. DeSantis has offered a preview of how he might interact with donors as a national candidate. Some Republican donors, strategists and bundlers took note of what they said appeared to be Mr. DeSantis’s diffidence or even discomfort with the mingling and small talk that are staples of the campaign trail, particularly with contributors.Many also said, though, that some donors and bundlers were waiting until the election cycle was further along to take a side.Some were taken aback by Mr. DeSantis’s comments last month calling Russia’s invasion of Ukraine a “territorial dispute” and saying the war was not a vital U.S. interest. Those remarks, coupled with his aversion to old-fashioned “grip and grin” politics, may have given some supporters pause.“I think he’s had a wobbly few weeks in communicating to donors,” said Rob Stutzman, a public affairs consultant who worked for former Gov. Arnold Schwarzenegger of California and for Mitt Romney’s 2008 presidential campaign. Donors keen to move on from Mr. Trump might “start to imagine — maybe this isn’t the way,” he said.Mr. Trump’s campaign, which he announced in November, said at the end of January that it had raised $9.5 million — a sluggish start in comparison to front-runners from past elections. Though official numbers will not be out for several weeks, his campaign appears poised to see a significant boost after the indictment.An affiliated super PAC, MAGA Inc., reported $54.1 million on hand at the end of 2022.Last month, MAGA Inc. filed an ethics complaint with Florida officials accusing Mr. DeSantis of operating a shadow presidential campaign.A spokeswoman for the governor’s office, Taryn Fenske, called the complaint part of a “list of frivolous and politically motivated attacks.” More

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      Trump’s Bet: Criminal Case Could Help His Campaign, and Vice Versa

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      The former president aims to apply political pressure to prosecutors — while revving up support for his campaign by portraying himself as a victim of Democratic persecution.PALM BEACH, Fla. — At one end of the palatial Donald J. Trump Grand Ballroom at Mar-a-Lago on Tuesday, the former president made his first public comments about his arrest. At the opposite end of the hall — a space illuminated by 16 crystal chandeliers and bigger than four professional basketball courts — were several cardboard boxes stuffed with white campaign T-shirts.The shirts read “I STAND WITH TRUMP,” and had a date printed on them in bold type: 03-30-2023 — the day Mr. Trump was indicted by a Manhattan grand jury for his role in a hush-money scandal.After Mr. Trump’s indictment, it has become impossible to tell where his legal defense ends and his presidential campaign begins.The blurring of the lines between his White House bid and his mounting court battles is at the center of a high-stakes, norm-shattering bet from Mr. Trump: that he is capable of swaying public opinion to such a degree that he can simultaneously bolster his legal case and gin up enthusiasm — and campaign contributions — from his supporters.His legal calculation, according to aides and allies close to him, is that his pressure campaign against the Manhattan district attorney, Alvin L. Bragg, will lead to his acquittal and deter other prosecutors from seeking additional indictments — though some of his lawyers have warned him that’s unlikely.Politically, Mr. Trump’s strategy is to paint himself as a victim of Democratic persecution, generating sympathy and good will to aid his campaign for a third consecutive Republican presidential nomination.Trump supporters outside the Manhattan courthouse where Mr. Trump was arraigned on Tuesday over his role in a hush-money payment.Ahmed Gaber for The New York Times“President Trump isn’t just right to speak this way, he has a duty to use his bully pulpit to expose corrupt and uncontrolled prosecutors,” said Rod R. Blagojevich, a former Democratic governor of Illinois who was imprisoned for corruption until Mr. Trump commuted his sentence in 2020. “I applaud him for it.”Mr. Trump and his allies repeatedly have made baseless accusations of wrongdoing by Mr. Bragg.No one can say for certain whether a recent uptick for Mr. Trump in presidential primary polls has been the result of his braiding of legal and political tactics, or the recent stumbles by his chief potential Republican rival, Gov. Ron DeSantis of Florida, or some combination of the two.But Mr. Trump’s conflation of his political and legal campaigns has been on display for weeks.His public remarks about his arrest on Tuesday were made from the same stage — surrounded by the same “Make America Great Again” banners and American flags — where he announced his 2024 White House bid nearly five months earlier. One of the lawyers seated near Mr. Trump during his arraignment in the New York courthouse was Boris Epshteyn, who has provided both political and legal advice to the former president and other Republican candidates.At Mr. Trump’s first major rally of the race last month in Texas, his campaign distributed “Witch Hunt” signs for the crowd to wave. The campaign has sent more than three dozen fund-raising appeals to supporters this week — each one referring to Mr. Trump’s legal battles. On Tuesday, one email solicited campaign contributions in return for T-shirts printed with a fake mug shot of the former president and the words “not guilty.” (The authorities in New York opted not to take an actual mug shot.)“Donald Trump has been masterful at blurring the line between his own potential legal and political peril,” said Rob Godfrey, a longtime Republican strategist based in South Carolina. “But now that he faces actual legal peril, it will be fascinating to see how loyal his supporters are, whether they have the same tolerance for chaos he continues to and whether any of his opponents figure out a way to peel anyone away from him.”Mr. Trump has long viewed public opinion as the solution to an increasingly lengthy list of personal dramas, political scandals and legal crises. He used similar tactics as president during the 22-month investigation led by Robert S. Mueller III, the special counsel, and his approval rating was virtually unchanged. Mr. Trump’s legal advisers had urged him to create a team outside the White House structure to respond publicly to the Mueller inquiry, but he declined.One of Mr. Trump’s political high-water marks — in terms of re-election polling and fund-raising — came in February 2020, after a Republican-controlled Senate acquitted him in his first impeachment trial.More recently, he has spent months seeking to make state and federal prosecutors investigating his behavior appear indistinguishable from the Democratic and Republican opponents actively trying to stunt his political career.Mr. Trump has proved his skills at using investigations, impeachments and indictments to inflate his campaign coffers (and using a portion of those contributions to pay legal fees). His campaign has claimed to have raised more than $12 million from online contributions during the past week since he was indicted by the grand jury.But his strategy in the hush-money case to mingle his legal troubles with his 2024 presidential campaign carries significant risks and masks, at least for now, potential problems.While the Trump team has celebrated the recent influx of campaign cash, there have been questions about how many more new donors he can tap and whether he can maintain his fund-raising prowess without an immediate crisis to leverage. His only public campaign finance report so far showed a less-than-stellar haul for such a prominent political figure.The bigger question for the former president is how attacks on the court system and law enforcement — on Wednesday he called on his party to defund the F.B.I. and Justice Department in response to his criminal indictment — will help him win back moderate Republicans and independent voters who have abandoned him, and his preferred candidates and causes, for three consecutive election cycles.At Mr. Trump’s first big campaign rally of the 2024 race, in Waco, Texas.Christopher Lee for The New York TimesMr. Trump has used his standing as a former president — and as the front-runner for the Republican Party’s 2024 presidential nomination — to repeatedly describe the felony charges in New York (and open criminal investigations in Georgia and Washington) as a politically motivated attack aimed at undermining his White House bid.But that message ignores a series of electoral disappointments for Republicans since Mr. Trump’s 2016 victory made him the face of the party. Those defeats — in 2018, 2020 and 2022 — have been largely the result of a Democratic base motivated to vote against him and a significant defection of moderate Republicans turned off by his antics.Additionally, every major investigation focusing on Mr. Trump started well before he announced his third presidential campaign. By the time he opened his White House bid in November, Mr. Trump had spent months pushing for an unusually early campaign introduction, a move intended in part to shield him from a stream of damaging revelations emerging from the investigation into his attempts to cling to power after losing the 2020 election.Similarly, Mr. Trump has been using his legal battle to energize his enthusiastic backers and coalesce support in a divided Republican Party. While public opinion polls show Mr. Trump has a wide lead over most other primary contenders and potential rivals, about half of the party remains opposed to his candidacy.In the Mar-a-Lago ballroom on Tuesday, Mr. Trump’s campaign set up the room with a center aisle for the former president and his V.I.P.s to walk to their seats.The aisle resembled something a wedding party might use to make an entrance. But it also appeared to embody the very line that Mr. Trump has sought to blur: Mr. Epshteyn, one of Mr. Trump’s legal counselors, smiled and waved as the crowd cheered his arrival along with several campaign aides and family members.“The only crime that I have committed,” Mr. Trump said a few minutes later from center stage, “is to fearlessly defend our nation from those who seek to destroy it.” More