Campaign Finance

Subterms

    More stories

    • 138 Shares199 Views

      in Elections

      Companies Donated Millions to Those Who Voted to Overturn Biden's Win

      by

      One year after the Capitol riot, many businesses resumed corporate donations to lawmakers who voted against certifying the 2020 election.WASHINGTON — At its annual summit on the state of American business last January, officials from the U.S. Chamber of Commerce expressed disgust at the siege of the Capitol that had unfolded days earlier, and declared that lawmakers who discredited the 2020 election would no longer receive the organization’s financial backing.“There are some members who, by their actions, will have forfeited the support of the U.S. Chamber of Commerce. Period. Full stop,” Neil Bradley, the executive vice president and chief policy officer for the chamber, said at the time.Less than two months later, the nation’s biggest lobbying group reversed course. “We do not believe it is appropriate to judge members of Congress solely based on their votes on the electoral certification,” Ashlee Rich Stephenson, the chamber’s senior political strategist, wrote in a memo.In the year since the riot at the Capitol, many corporate giants and trade groups have moved from making stern statements about the sanctity of democracy to reopening the financial spigot for lawmakers who undermined the election. Millions of dollars in donations continue to flow to what watchdog groups deride as the “Sedition Caucus,” highlighting how quickly political realities shift in Washington.A report published this week by Citizens for Responsibility and Ethics in Washington, a nonprofit watchdog group, showed how corporate money continued to support most of the 147 lawmakers who voted to overturn the election results.In the last year, 717 companies and industry groups gave more than $18 million to 143 of those lawmakers. Businesses that pledged to stop or pause their donations to those lawmakers have since given nearly $2.4 million directly to their campaigns or leadership political action committees, according to CREW.Many of the corporations that have donated are household names, including Boeing, Pfizer, General Motors, Ford Motor, AT&T and UPS. Trade groups such as the Chamber of Commerce have also continued to be big donors, with such associations, or their political actions committees, giving $7.67 million to political groups associated with lawmakers who voted to overturn the election or to PACs that support them.Understand the Jan. 6 InvestigationBoth the Justice Department and a House select committee are investigating the events of the Capitol riot. Here’s where they stand:Inside the House Inquiry: From a nondescript office building, the panel has been quietly ramping up its sprawling and elaborate investigation.Criminal Referrals, Explained: Can the House inquiry end in criminal charges? These are some of the issues confronting the committee.Garland’s Remarks: Facing pressure from Democrats, Attorney General Merrick Garland vowed that the D.O.J. would pursue its inquiry into the riot “at any level.”A Big Question Remains: Will the Justice Department move beyond charging the rioters themselves?To be sure, many companies have kept their word and maintained their pause on donations. Jeffrey Sonnenfeld, a professor of leadership at the Yale School of Management, said his own research showed that a majority of corporations that pledged to slow or cease their PAC donations to election certification objectors had followed through with those promises.According to the CREW report, more than half of the nearly 250 companies that said they would evaluate their political giving after the attack have not made a donation to the lawmakers who tried to stop the certification of the election. Microsoft has held firm on its pledge to cease donations to those lawmakers, and Hewlett-Packard decided to shut down its PAC entirely after Jan. 6.But many companies have restarted campaign donations, with some saying they are doing so in the spirit of nonpartisanship.“Our employee PAC program continues to observe longstanding principles of nonpartisan political engagement in support of our business interests,” said Trent Perrotto, a spokesman for the defense contractor Lockheed Martin, which contributed $145,000 to 72 lawmakers who voted against certifying the election.Sharon J. Castillo, a Pfizer spokeswoman, said in a statement that “following the events of Jan. 6, 2021, the company adhered to its commitment to pause political giving to the 147 members of Congress who voted against certifying the election for six months.” She added that “monitoring elected officials’ conduct and statements is a part of our governance process, and we will continue to do so as we consider future Pfizer PAC disbursements.”CREW noted that some lawmakers who had downplayed the riot or sought to sow doubts about what happened on Jan. 6 had continued to be magnets for corporate money. Representative Madison Cawthorn, a North Carolina Republican who has blamed Democrats for instigating the violence and has called those taken into custody in connection with the riot “political hostages,” received $2,000 in donations from the National Association of Insurance & Financial Advisors and the Farmers’ Rice Cooperative Fund.Representative Louie Gohmert, a Texas Republican who has said there is no evidence that an “armed insurrection” took place, received $1,000 from the National Association of Insurance & Financial Advisors.In the immediate aftermath of the riot, associating with lawmakers who appeared to abet it was viewed by many companies as a political liability. But in many cases, those concerns did not last.Charles Spies, a Republican campaign finance lawyer who helped run Mitt Romney’s presidential super PAC, said that while the initial shock of the attack made corporate donors risk-averse, their thinking shifted with the politicization of the Jan. 6 congressional inquiry. Republicans have sought to downplay the attack and have accused Democrats of using the investigation to hurt the G.O.P.’s image.“It’s now a bit more politicized, which makes it harder for companies to just pick one side,” Mr. Spies said.As a House committee continues its inquiry into the Jan. 6 riot, many Republicans have argued that the investigation is politically motivated.Stefani Reynolds for The New York TimesMelissa Miller, a Ford spokeswoman, justified the carmaker’s donations by explaining that they were not driven by a single issue.Key Figures in the Jan. 6 InquiryCard 1 of 10The House investigation. More

    • 125 Shares179 Views

      in Elections

      As Midterms and 2024 Loom, Trump Political Operation Revs Up

      by

      The former president is set to headline an event at Mar-a-Lago next month for endorsed candidates and major donors to benefit a supportive super PAC.Donald J. Trump and his allies are scheduling events and raising money for initiatives intended to make the former president a central player in the midterm elections, and possibly to set the stage for another run for the White House.He and groups allied with him are planning policy summits, more rallies and an elaborate forum next month at his Mar-a-Lago resort for candidates he has endorsed and donors who give as much as $125,000 per person to a pro-Trump super PAC.The efforts seem intended to reinforce the former president’s grip on the Republican Party and its donors amid questions about whether Mr. Trump will seek the party’s nomination again or settle into a role as a kingmaker.Taken together, the pro-Trump groups form a sort of shadow political party that could help start another presidential campaign and, if that were successful, shape his administration. They include Mr. Trump’s own PACs, which amassed more than $100 million by last summer, employ an overlapping roster of former top officials from his administration and have signaled that they intend to embrace policies and candidates supported by Mr. Trump.The groups have also helped reinforce his properties as a center of Republican power, holding events at his private Mar-a-Lago resort in Palm Beach, Fla., and at the Trump National Golf Club in Bedminster, N.J. Mr. Trump has welcomed to the clubs a stream of Republicans seeking his political blessing, issuing nearly 100 endorsements to aligned candidates, including challengers to G.O.P. incumbents who voted for Mr. Trump’s impeachment or supported the certification of his defeat to President Biden in the 2020 election.The candidate forum at Mar-a-Lago is being planned for Feb. 23 by a super PAC run by some of Mr. Trump’s closest allies called Make America Great Again, Again! Inc., according to an email to donors from Roy W. Bailey, a Texas businessman and Republican fund-raiser.“There will be an all-day candidate forum with back-to-back speeches from the endorsed candidates and familiar faces in the Trump orbit,” wrote Mr. Bailey, who was a leading fund-raiser for Mr. Trump’s campaigns and inaugural committee, then registered to lobby his administration. “We want those who attend to leave thinking that it was the best political event they have ever attended,” he wrote.Donors who raise $375,000 will be invited to a private dinner with Mr. Trump.Mr. Bailey noted that the PAC’s national finance director was Kimberly Guilfoyle, who is dating Mr. Trump’s son Donald Trump Jr., and that its board included Pam Bondi, the former Florida attorney general who advised Mr. Trump during his first impeachment; Richard Grenell, who was Mr. Trump’s ambassador to Germany and acting head of national intelligence; and Matthew G. Whitaker, who was acting attorney general.The forum is for federal candidates endorsed by Mr. Trump. It is not clear how many of them intend to attend. But some, including Harriet Hageman, who is mounting a primary challenge against Representative Liz Cheney of Wyoming, one of Mr. Trump’s harshest Republican critics, and Kelly Tshibaka, who is running in the primary against Senator Lisa Murkowski, Republican of Alaska, have been asked to hold the date, according to a person familiar with the planning who was not authorized to discuss it.Still, Mr. Trump’s political activities have generated some grumbling within his circle of supporters.One donor who had supported Mr. Trump’s campaigns said he was leery about donating to Make America Great Again, Again! because of concerns that the money would be wasted. Citing events at the former president’s properties as an example, the donor, who insisted on anonymity to avoid antagonizing Mr. Trump and his allies, said he declined invitations to the February candidate forum and to a $125,000-a-plate fund-raising dinner with Mr. Trump held by the super PAC last month at Mar-a-Lago. Other donors and party leaders worry about the damage that could be done by Mr. Trump’s backing of primary challenges to Republicans who pushed back against his false claims that the 2020 election was stolen.Mr. Trump was impeached twice, including after his supporters stormed the Capitol seeking to disrupt the certification of Mr. Biden’s victory. Since then, he has been banned from the social media accounts he had wielded so effectively to generate attention and punish enemies without spending any money.While Mr. Trump has announced the formation of his own media company, including a new social network to reinsert himself into the conversation, it has yet to launch and its financing has come under scrutiny from securities regulators.Mr. Trump’s team also has continued fund-raising voraciously online for various PACs that he directly controls, which had compiled a war chest of more than $100 million last summer, and his team has continued financing campaign-style rallies. He has plans for one in Arizona this month, and more to follow, according to a person familiar with the matter.Many of Mr. Trump’s rallies in 2021 were paired with private donor round tables to raise money for his super PAC. He is planning more rallies in 2022 at locations chosen to help the candidates he has endorsed, according to people familiar with the plans.Groups allied with him have stepped up their fund-raising in recent months, indicating they intend to spend funds to promote his causes and endorsements.A nonprofit group called America First Policy Institute, which was started last year to serve as a think tank for Trump world, has the look of a Trump administration in waiting. It raised more than $20 million last year and has 110 employees, including Ms. Bondi, Mr. Whitaker and a number of former Trump cabinet members, such as David Bernhardt (who ran the Interior Department), Rick Perry (Energy Department) and Andrew Wheeler (Environmental Protection Agency).The group held two events with Mr. Trump at his properties — a fund-raising gala at Mar-a-Lago in November, and an event at Bedminster in July with Ms. Bondi to promote a lawsuit filed by Mr. Trump against tech companies that barred or limited his use of their platforms — and it is planning twice-a-year policy summits around the country.The next summit, planned for April in Atlanta, could feature Mr. Trump, according to the group’s president, Brooke Rollins, who served as director of the White House Domestic Policy Council under Mr. Trump and says she remains in contact with Mr. Trump about her group’s efforts.She said her group’s goal was to persuade Americans to support policies like those Mr. Trump pursued as president, and “not about getting anyone re-elected,” though she said she hoped the group’s efforts would shape the debates around the midterms and the 2024 presidential election.“The metric of a successful policy organization is how much those policies are part of the debate,” she said.A linked nonprofit group called America First Works is promoting policies that comport with Mr. Trump’s agenda. They include voting rules that make it “hard to cheat,” according to a fact sheet that seems to echo Mr. Trump’s false claims that the 2020 election was stolen, which his allies have been relying on to reshape election laws in a manner that could favor Republicans.But the raft of new groups has brought with it some of the drama and infighting that marked Mr. Trump’s campaigns and presidency.A previous iteration of the super PAC behind the Mar-a-Lago forum was replaced after one of its founders, the former Trump campaign manager Corey Lewandowski, was accused of sexual misconduct by a donor.That super PAC, which reported $5.6 million in the bank in mid-August, was supplanted by the new PAC, according to a statement announcing the shift in October that said the assets of the old PAC would be transferred to the new one.The statement called the new group “the ONLY Trump-approved super PAC.” More

    • 138 Shares119 Views

      in Elections

      That ‘Team Beto’ Fund-Raising Email? It Might Not Be From Beto.

      by

      Mimicking official correspondence is an age-old marketing trick. But look-alike emails suggesting links to Beto O’Rourke’s campaign for governor show the tactic has accelerated in the digital era.Kenneth Pennington, a top digital strategist for Beto O’Rourke, had a simple plan.Mr. O’Rourke would announce his bid for governor of Texas early on a recent Monday morning and then Mr. Pennington would break the news via email to Mr. O’Rourke’s lucrative list of supporters, a loyal following that had already raised tens of millions of dollars for Mr. O’Rourke in his past bids for the Senate and the White House.But Mr. Pennington soon noticed something troubling: a parallel wave of look-alike emails from groups completely unaffiliated with the O’Rourke campaign that were designed to capitalize on the Texas Democrat’s moment. The emails used subject lines, sender names and URLs embedded with phrases like “team Beto” and “official Beto.” And in most cases, none of the money these emails eventually raised went directly to the campaign.Mr. O’Rourke still brought in more than $2 million from 31,000 donors, the largest 24-hour sum that any new candidate has announced this year, his campaign said. But for Mr. Pennington and the rest of the campaign, the nagging question was how much more they might have hauled in if other Democratic groups hadn’t been so busy siphoning off their share.“The frustrating thing,” Mr. Pennington said, “is we will never know how much we lost.”Welcome to the sometimes-sketchy world of online campaign fund-raising, where misdirection and misleading everyday Americans — often older Americans — to maximize clicks and cash is increasingly a dark art form.Imitating others and mimicking official correspondence with postage-paid mailers is an age-old trick that marketers have used since long before the internet. The tactic has been adapted and updated for the digital era — and appears to be accelerating in prevalence in the political sphere.At stake can be millions of dollars in an era when mass online political donating is in vogue in both parties. Copycatting Mr. O’Rourke’s brand surged in popularity recently, but on the Republican side, mimicking the brand of former President Donald J. Trump has been common for months.In some cases, established organizations are simply capitalizing on the day’s big news or the politician of the moment to gin up excitement among their own supporters with some verbal sleight-of-hand. In others, political action committees with anodyne names are raising funds in the name of a popular politician that they have no affiliation with at all. Mr. Pennington described such groups as “leeches” and “scam PACs.”Where the money goes from there can be murky, though big payments to the operatives and consulting firms that operate those PACs have drawn increasing scrutiny from political colleagues, regulators and law enforcement alike.Some of these operations are legal, sometimes burying the requisite disclaimers in the fine print. Others may not be. This month, the Justice Department charged three political operatives with running a scheme that prosecutors said defrauded small donors of $3.5 million.“I am not at all surprised that unscrupulous actors are essentially impersonating popular Democratic campaigns to try to raise money,” said Josh Nelson, a Democratic digital strategist who runs a firm, The Juggernaut Project, focused on growing email lists more ethically. “That’s the unfortunate trend we’ve seen.”Mr. Nelson has been publicly pressuring progressives to abandon more deceptive fund-raising tactics, and has asked the leading Democratic technology companies to intervene because new laws are unlikely to stiffen penalties for deception anytime soon.“Ultimately, I think it is going to take technology vendors cracking down on these tactics,” Mr. Nelson said.For now, there seems to be little that the most aggressive politicians and PACs in both parties won’t say to raise more money from online supporters.“Your covid test result,” read the alarming subject line of a fund-raising email from the campaign arm of House conservatives the day before Mr. O’Rourke entered the governor’s race. (The email was about mobilizing opposition to a Covid-19 vaccine mandate.)A new favorite tactic of the Republican National Committee has been making it appear as if supporters have urgent and overdue bills. “WARNING: Payment Incomplete” has been the sender line of more than 15 party emails since August, including one just before Thanksgiving. (A warning this week was about membership status as “Trump Social Media Founding Supporter.”)The day after Mr. O’Rourke’s announcement, the Republican governor of Texas, Greg Abbott, sent an email to supporters who had not ordered anything, using “Your Order Confirmation” as the sender and “Order ID: 73G526S” as the subject line. (The email was an effort to sell “Let’s Go Brandon” wrapping paper, which references a popular conservative phrase that has become a stand-in for an insult aimed at President Biden.)The House Conservatives Fund, the Republican National Committee and Mr. Abbott’s campaign did not respond to requests for comment.Some of these examples may seem like easily detectable and even harmless deceptions. But strategists in both parties say a huge share of online cash is raised from older Americans who are less adroit online and have a harder time separating fact from hyperbole. The reason that so-called Nigerian prince scams exist, after all, is because people fall for them.When Mr. O’Rourke ran for Senate in 2018, he shattered Democratic fund-raising records, and his entry into the 2022 governor’s race has been highly anticipated. His campaign team held discussions before the announcement about how to limit the funds that less scrupulous actors might try to cannibalize.Two PACs sent out similar emails suggesting they were raising money for Mr. O’Rourke, using “team beto” and “official beto” in the URLs of their donation links. But all of the funds went directly to the PACs instead of the campaign.And outside groups did pounce almost immediately.“Official: Beto is in!!” came one such message the morning his run was announced. It listed its sender as “Team Beto (BSP).”The “BSP” stood for Blue South PAC, a new political action committee that sprung up this year and was among the more aggressive imitators of Mr. O’Rourke’s campaign. The group sent no less than five emails from a sender that included the phrase “Team Beto” in the campaign’s first three days.“At the very least, they’re trying to trick people into opening the email as if it’s from the campaign,” Mr. Pennington said, adding that he raced to send out the campaign’s first fund-raising message sooner than planned when he saw others already arriving.In one solicitation, the link to the Blue South PAC donation page on ActBlue, the Democratic digital donation-processing site, was highlighted in bright yellow and appeared as if it belonged to the campaign: actblue.com/donate/team-beto.Those who clicked were greeted by a message: “Show your support by donating and joining Team Beto!” Except 100 percent of the funds went to the Blue South PAC, according to the fine print on the donation page.A related group, Defeat Republicans, deployed a nearly identical email, featuring a similar URL highlighted in yellow: actblue.com/donate/official-beto.Both groups are linked to the same digital strategist, Zach Schreiber, who emailed a statement on behalf of both Blue South PAC and Defeat Republicans saying that their digital strategy was “in line with the industry best practices.”“Our community looks to us for news, action alerts, and opportunities to help elect Democrats,” the statement said, adding that the PACs “look forward to working with the Beto campaign.”Founded in the summer of 2020, Defeat Republicans raised almost $1 million in less than a year through the end of June 2021. In that time, federal records show it paid Mr. Schreiber $133,000 and directed another $208,000 to a firm, Opt-In Strategies, that lists him as a consultant on its website. Blue South PAC had spent only about $37,000 through the end of June, with more than one-third of the spending going to another consulting firm, UpWave Digital Solutions, founded by Mr. Schreiber.Federal records show that Defeat Republicans has given more than $400,000 to Democratic campaigns. The biggest chunk, $230,000, went to Jennifer Carroll Foy, who ran for governor of Virginia as a Democrat; Ms. Foy’s campaign paid Opt-In Strategies $67,500 for “list acquisition,” state records show. The PACs also said it had contributed $5,000 to Mr. O’Rourke.Plenty of other groups with missions that bear little relation to Mr. O’Rourke’s campaign seized on his entry into the race. These PACs have no formal affiliation with Mr. O’Rourke, even as they cite his campaign in fund-raising, and have no obligation to spend any of what they collect to help him.One PAC, The Majority Rules, ostensibly devoted to ending partisan gerrymandering, wrote an email to its list on Mr. O’Rourke’s first day that read, “The first 24 hours after a campaign announces are critical to its success. We still need another 103 grassroots Democrats to step up before midnight to give Beto the momentum he needs.”All the funds went to the PAC.A solicitation email sent from a PAC called 314 Action.Another PAC, 314 Action, devoted to electing scientists, sent an email with the subject line “BREAKING: Beto is running for Texas governor” the day he entered the race. The funds went to the PAC. The sender line in that email displayed as “Beto O’Rourke Update” — a format that industry insiders say can make it appear, at a glance, as if the politicians themselves sent the missive. (Directly using a politician’s name alone without consent is generally not allowed because it is seen as writing directly in his or her voice without authorization.)A nonprofit arm of 314 Action has announced it will spend up to $500,000 this year targeting four Republican governors, including Mr. Abbott of Texas. Joshua Morrow, the executive director of the 314 Action groups, did not respond to questions about the group’s fund-raising tactics but said in a statement that Mr. Abbott is “at the top of the list” of “anti-science politicians” they will target into 2022.314 Action uses other techniques to lure potential supporters, including sending three emails so far this month from “BREAKING from NBC News.” Another set of 314 Action emails used “NBC News Alert” in the sender line in September.Mr. Nelson, the Democratic digital strategist pressing his industry to curb such tactics, said groups keep doing it because it works — at least in the short term. But he worries that over time bad actors could poison the well for the whole party if donors stop trusting political groups with their money.“Ultimately there is a real risk that we’re going to push donors away,” he said. More

    • 50 Shares169 Views

      in Elections

      Scams and Slippery Slopes

      by

      I’ve always believed that part of education — especially higher education — is learning to ask better questions about complex topics, knowing you might not have the right answers. In my graduate seminars, one of my favorite ways of prompting students to pursue deeper lines of inquiry is by asking this question: If we take off the table that something is racist, sexist or classist, what else can we say about it?Society is embedded with power imbalances and inequalities. Of course there are gender disparities and discrimination, of course there is a racial hierarchy and a racial order. But if we set that aside, what more can we say about a text, about a person, about a moment?I was thinking about this when reading a “rare interview” with Politico this week, in which Kyrsten Sinema weighed in on writing about her clothes, including our three-part discussion of her sartorial presentation as a form of political speech:“It’s very inappropriate. I wear what I want because I like it. It’s not a news story, and it’s no one’s business,” Sinema said. “It’s not helpful to have [coverage] be positive or negative. It also implies that somehow women are dressing for someone else.”The idea that women dress only for themselves is a truism in modern feminism, one that we could dispute or qualify. But let’s set that aside, for now, and stipulate that she’s right, generally speaking.It still remains that she is a politician. And part of the job of politicians is to court attention and manage their image. As I have argued, since presentation and style are part of the politician’s tool kit, the question for us is whether we are willing to allow this kind of political communication to go unexamined and without critique.Here, it’s important to consider the context when setting the bounds of appropriate discourse. The details of the Democrats’ social spending bill, Build Back Better, are in flux. But it has funds for Pell Grant increases, affordable child care, paid family leave and expanded health care coverage. It contains policy to slow climate change and mitigate its effects. It is not an exaggeration to say that lives hang in the balance with the fate of the bill.And Sinema has placed herself at the center of this political drama. So it matters how she marshals her power. It also matters how she manages attention.Sinema largely allows her performance to speak for her. She avoids interviews, and has been quite guarded about what she wants out of these negotiations. As Politico writes, “On policy, the first-term senator has remained almost completely quiet during breakneck negotiations to finish Biden’s agenda.”That silence puts a curtain between a powerful political actor and the public, who have a lot on the line. It also means it is more than fair to discuss and critique the political rhetoric coded in her performance, and that includes what she is wearing. Politicians should not be allowed to have a one-way dialogue with the American public. One-way political communication is a very slippery slope to a closed political process — one that trades real accountability for a process that appears transparent only because we can see the moving images on our screens.We get to talk back. And we should.Speaking of talking back, many of you wrote in and said we should be keeping our eye on what matters. A pair of reports, both from this month, got my attention. I think they point to an important trend.First, Politico reported that Sinema has received donations from the multilevel marketing industry:The political action committee associated with Alticor, the parent entity of the health, home and beauty company Amway, gave $2,500 to the Arizona Democrat in late June, as did the PAC for Isagenix, an Arizona-based business that sells nutrition, wellness and personal care products. Nu Skin Enterprises, another personal care and beauty company, gave $2,500 that month, as did USANA Health Sciences, which sells similar products. In April, Richard Raymond Rogers, the executive chair of Mary Kay, a Texas-based cosmetics company, gave $2,500 to Sinema. Herbalife, which also sells nutritional supplements, gave $2,500 in July. All are affiliated with the Direct Selling Association, a trade group that promotes multilevel marketing.These are not enormous sums of money, but it is notable for a few reasons. As Politico notes, it’s relatively uncommon for some of these companies to get involved in national politics at all. And Sinema has had a friendly relationship with the Direct Sellers Association, which represents 130 multilevel marketing companies, including Amway and Herbalife.This alliance is unusual for a Democratic senator given her party’s longtime alliance with unions and labor more generally. In multilevel marketing structures, the independent contractors who sell the product are paid commissions from their own sales of the product, but they also can receive income based on the sales or purchases of the sellers they have recruited. Sinema is the one of only three Democratic senators who do not co-sponsor the PRO Act, which would allow the “independent contractors” to unionize, as well as making it harder for companies to classify workers as independent contractors at all.Second, Dr. Mehmet Oz is reported to be considering running for Senate in Pennsylvania, to fill the seat being vacated by Pat Toomey. Through a very convoluted process of media culture that is possible only in the celebrity-obsessed American culture, Dr. Oz has become one of the most visible and wealthy endorsers of a host of scientifically questionable vitamins, herbal remedies and miracle cures.These news items brought to mind the way these kinds of businesses — on the border of illegality and not quite respectable — have gone mainstream in America. Donald Trump is perhaps the best example of this phenomenon. Among other things, he happened to be the founder and namesake of one of the most blatantly fraudulent for-profit school apparatuses that I have ever seen: Trump University, which National Review called a “de jure” scam.Donald Trump’s election seems to have opened the door to us not even pretending anymore that these kinds of scams aren’t legitimate parts of our political and economic system, and even pathways to power.Whenever I talk about multilevel marketing, people often make two suggestions of things to check out. One is a podcast called “The Dream” by Jane Marie. The other is a recent documentary about LuLaRoe, which sells leggings. Both of these tell stories about the mechanisms of multilevel marketers, how they work and why they work.With the holiday coming up, I’m going to spend some time on your behalf listening to the “The Dream” as I travel around by car. And I’m going to watch the LuLaRoe documentary. I have questions about why scamming has become mainstreamed as a legitimate part of national politics, and what it says about culture. We’ll be talking about that soon. I’ll be off next week to celebrate Thanksgiving, and I’ll see you the week after that.Tressie McMillan Cottom (@tressiemcphd) is an associate professor at the University of North Carolina at Chapel Hill School of Information and Library Science, the author of “Thick: And Other Essays” and a 2020 MacArthur fellow. More

    • 100 Shares149 Views

      in Elections

      Gerald Migdol Is Charged in Campaign Finance Scheme

      by

      Gerald Migdol is accused of concealing contributions to a New York City comptroller candidate to get more public-matching funds.A Manhattan real estate developer was charged on Friday with scheming to conceal contributions to a candidate in this year’s New York City comptroller’s race in a bid to get as much public financing for the candidate as possible.The developer, Gerald Migdol, arranged for dozens of donations to be made to the campaign in the names of people who had not authorized the payments, according to an indictment unsealed on Friday by federal prosecutors in Manhattan.One contribution that prosecutors said Mr. Migdol arranged, a $250 money order, was made in the name of a relative who is a minor, prosecutors said.The indictment does not name the candidate Mr. Migdol sought to help. But the details of the case and publicly available information suggest it is Brian A. Benjamin, a Democrat who ran unsuccessfully for comptroller and is now New York’s lieutenant governor.The indictment does not indicate that the candidate knew of the scheme.Mr. Migdol, 71, was arrested early Friday on charges of wire fraud, conspiracy to commit wire fraud and aggravated identity theft, officials said. He pleaded not guilty in an arraignment on Friday in Federal District Court in Manhattan and was released on bond. The wire fraud charges carry a maximum sentence of 20 years in prison.“Free and fair elections are the foundation of our democracy, and campaign finance regulations are one way communities seek to ensure everyone plays by the same rules,” Damian Williams, the U.S. attorney for the Southern District of New York, said in a statement.Reached by phone after Mr. Migdol’s arraignment, Joel Cohen, his lawyer, said his client had pleaded not guilty “and that’s appropriate.”“That says what we need to say,” Mr. Cohen added.A man who answered the phone at Mr. Migdol’s family-run real estate company, the Migdol Organization, declined to comment. The company, which is based in Harlem, owns and operates residential properties across New York City.In a statement, a spokesman for Mr. Benjamin’s comptroller campaign said that “neither Lieutenant Governor Benjamin nor his campaign are being accused of any wrongdoing and they are prepared to fully cooperate with authorities.”The spokesman added that “as soon as the campaign discovered that these contributions were improperly sourced, they donated them to the campaign finance board.”The office of Gov. Kathy Hochul referred all questions to Mr. Benjamin’s campaign. Ms. Hochul chose Mr. Benjamin as her lieutenant governor in August after she succeeded Andrew M. Cuomo.Mr. Migdol’s family has long supported Democratic candidates, according to the Migdol Organization website, which includes photos of family members with Mr. Benjamin and other politicians.Several Migdol family members, including Gerald Migdol, contributed to Mr. Benjamin’s campaign under their own names, campaign finance records show.The contributions at issue in the case against Mr. Migdol, the indictment says, were meant to allow the candidate’s campaign to qualify for public-matching funds through the city’s campaign finance system, potentially unlocking tens of thousands of dollars in additional money. The scheme ran from November 2019 to January 2021, the indictment says.A few of the contributions mentioned in the indictment were given to the campaign by a person at Mr. Migdol’s direction, prosecutors said. The indictment does not name the person, who is identified only as CC-1. The indictment also cites other unnamed “co-conspirators.”Mr. Migdol, prosecutors said, explained the scheme in a message to the unnamed people in July 2020, describing how the city’s public-financing system could multiply their contributions eightfold.“We get 8xl for money orders of $100,” the message said, according to the indictment. “For Money orders of $250=8×1 for first $100 and the other $150 is not matched. So a MO for $250 is worth $950 for [Candidate-1]. Hopefully our next City Comptroller.”A biography of Mr. Migdol on his company’s website says he has been involved in the real estate business in New York City for more than 40 years, primarily in Harlem and the Bronx.Mr. Migdol told The New York Post in 2006 that he started buying brownstones in Harlem in the early 2000s when they were selling for several hundred thousand dollars, far less than the prices such buildings can fetch today.In October 2019, Mr. Migdol received a community leadership award in Harlem that described him as “a true Harlem legend.” He said in his acceptance speech that Mr. Benjamin had nominated him for the award.“I am grateful to my new friend — our great State Senator Brian Benjamin,” Mr. Migdol said in the speech, which his company posted on its website. “At first glance my nomination would not normally be a popular choice. He then said but for the fact that what you guys do here is worthy of being honored.”Mr. Benjamin, a former state senator from Harlem, placed fourth in the Democratic primary for comptroller, well behind the winner, Brad Lander, a City Council member from Brooklyn.Many of the details in the indictment were first reported in January by the news website The City, including that several people whose names were listed on donations to Mr. Benjamin’s campaign said they had not made the payments.One donation reported by The City was a $250 contribution made in the name of Mr. Migdol’s 2-year-old grandson.Jefferson Siegel contributed reporting. More

    • 150 Shares189 Views

      in Elections

      The N.Y. Governor’s Race Is Wide Open, and Democrats Are Rushing In

      by

      Jumaane Williams, the New York City public advocate, became the latest Democrat to enter the 2022 race for governor.On a weekend swing through Southern California, Letitia James, New York’s attorney general, wooed corporate donors to join a new fund-raising initiative aimed at helping her become the nation’s first Black female governor.Closer to home, Gov. Kathy Hochul — her campaign accounts already swelling with more than $11 million — waded into Ms. James’s political backyard on Sunday, preaching from the pulpits of Black churches in vote-rich Brooklyn and Queens about the scourges of the coronavirus and gun violence.Two days later, Jumaane D. Williams of Brooklyn, New York City’s public advocate, formalized his bid for governor, using a campaign launch video to position himself as an activist with the most authoritative claim to the race’s increasingly crowded left lane.“Without courageous progressive leadership, the way things have always been will stand in the way of what they can be,” he said in the video.Three months after Ms. Hochul’s unexpected ascension as the state’s first female governor, next year’s Democratic primary contest is now veering toward something New York has not seen in decades: a freewheeling intraparty battle among some of the state’s best-known political figures.The race, which has played out in recent weeks from the beaches of Puerto Rico to West Hollywood, Calif., and will culminate in June, will test traditional racial, geographic and ideological coalitions in a liberal stronghold, setting up one of the most high-profile Democratic primary battles in the nation as a midterm election year arrives.“Like me, so many people are going to grapple with this really, really hard,” said Ruben Diaz Jr., the Bronx borough president.The melee in the making has already inspired a mix of anticipation and wariness among party leaders.For some left-wing officials and activists, the profusion of possible nominees has stirred memories of this year’s mayoral primary, when they struggled to coalesce around one candidate, and Eric Adams, a relative moderate, triumphed. This time around there is a real commitment, officials say, to unite behind one contender early — most likely Ms. James or Mr. Williams — though that may be easier said than done.Mr. Williams, the New York City public advocate, lost to Ms. Hochul in 2018 in a race for lieutenant governor.Anna Watts for The New York TimesMore moderate leaders are voicing worries, too, warning that after this month’s stinging electoral losses for Democrats in New York and across the country, nominating someone seen as too far to the left could put the party’s hold on Albany at risk. Some have pointed to the losses to argue for their own brands of politics.Steven Bellone, the Suffolk County executive who is thought to be considering a number of statewide offices, said the drubbing his party took on Long Island “was a message to the Democratic Party.” He added: “If our party is not sounding the alarm now, in advance of the midterms, I think we’re in for a very tough time ahead.”The tensions were on vivid display just after Election Day as New York’s political elite — including every potential candidate but Mr. Williams — decamped to the humid, booze-filled beaches of Puerto Rico for an annual postelection junket of lobbying, politicking and partying.After months of shadowboxing, it proved to be a surreal campaign in miniature, as Ms. Hochul, Ms. James, and Mr. Bellone schmoozed under palm trees alongside two more potential Democratic candidates: Mayor Bill de Blasio and Representative Thomas Suozzi. Contenders met surreptitiously with City Council members, party activists and union leaders in what amounted to high-powered focus groups fueled by piña coladas.Ms. James, for her part, offered fresh indications in Puerto Rico that she intends to run to the left of Ms. Hochul while building a base that, her allies hope, will be broader than that of Mr. Williams.She referred to herself as “the face of the Working Families Party,” New York’s leftist alternative to the Democratic line. She literally dropped a mic after a stem-winding campaign appeal to Bronx Democrats gathered in a makeshift club, who roared their approval. And the next morning, Ms. James turned a breakfast hosted by labor unions into a de facto campaign rally.“Join the O.G. team,” Ms. James said at a Working Families Party gathering. “Her name is Tish James.”Ms. Hochul showed her political power in other ways. She threw a lavish soiree in a ballroom overlooking the ocean, where labor leaders and business lobbyists fought for the governor’s ear between bites of passed hors d’oeuvres, and Mr. Adams showed up, a few days after Ms. Hochul made a cameo at his victory party.In an interview in a private room at a beachfront hotel — which was briefly interrupted when Ms. James walked in — Ms. Hochul warned that the general election in the governor’s race could be competitive; Representative Lee Zeldin of Long Island is considered the leading Republican candidate. She urged her party to focus on matters of public safety and economic growth, among other priorities, after Democrats lost badly across New York.Governor Hochul announced that her campaign had raised $11 million in her bid for a full four-year term. Stephanie Keith for The New York Times“They have concerns about where our party’s headed,” she said. “They want to make sure that the mainstream principles of our party prevail.”For now, though, it is the left-leaning and Brooklyn-area lanes of the primary that appear most crowded. As many as three candidates — Ms. James, Mr. Williams and Mr. de Blasio — could ultimately run: all boasting of deep ties to the progressive-left movement, and all from that borough.“I’m supporting Jumaane because I think he has real potential to fire people up,” said Brad Lander, the New York City comptroller-elect. Calling both Mr. Williams and Ms. James “really compelling leaders,” he also emphasized that “it’s important for progressives to get on the same page in the governor’s race and to rally around one candidate.” Allies of Ms. James had hoped that Mr. Williams, who garnered 47 percent of the vote running against Ms. Hochul as lieutenant governor in 2018, would skip the race, wary that the two candidates would siphon votes from one another.An in-person meeting between Ms. James and Mr. Williams to discuss the race last month, before either had formally entered, ended with both still moving toward a run, according to three people with direct knowledge of the meeting. Representatives for both candidates declined to comment on the meeting, which was first reported by City and State.Takeaways From the 2021 ElectionsCard 1 of 5A G.O.P. pathway in Virginia. More

    • 138 Shares189 Views

      in Elections

      Letitia James Hires Staff Ahead of a Possible Bid for Governor

      by

      Ms. James, the New York attorney general, has recently recruited several advisers and fund-raisers ahead of a possible run for the state’s top office.While New York’s political elite awaits some definitive word from Letitia James about whether she intends to run for governor next year, her campaign team is being less guarded.In recent weeks, the team has made four significant new hires, most prominently Celinda Lake, the veteran Democratic strategist who served as one of the two lead pollsters for President Biden in the 2020 campaign, according to multiple people familiar with the hire and confirmed by one of the four people recently brought on board.The addition of advisers like Ms. Lake, a longtime party pollster who has a background in electing female candidates, would strongly suggest that Ms. James is gearing up for a high-profile, competitive race — rather than focusing on her current run for re-election as state attorney general.She has also hired Kimberly Peeler-Allen, a close ally and the co-founder of the group Higher Heights for America — a major organization dedicated to helping Black women win elected office — as a senior adviser and a campaign coordinator.And she has brought on two operatives who have significant local and national fund-raising experience.Ms. James is currently running for re-election as attorney general, but her campaign staff is expected to quickly transition to a run for governor if she ultimately challenges Gov. Kathy Hochul in what would be an expensive and historic Democratic primary contest.Ms. Peeler-Allen confirmed the hires.Ms. Hochul, the state’s first female governor, has moved aggressively to fund-raise and to secure endorsements around the state, including from people or political groups whose backing Ms. James and other potential candidates would also seem to covet: the president of the N.A.A.C.P. New York State Conference, for example, and Emily’s List, the fund-raising powerhouse focused on electing women who support abortion rights.Some donors and elected officials have become increasingly anxious to know whether Ms. James will proceed with a bid for governor.“People who like her, want her and are part of the entourage, if you will, would be there for her,” said Alan Rubin, a lobbyist in New York City who intends to back Ms. James if she runs and who believes she would be a strong fund-raiser. “I also think it’s getting to the point — I think it’s pretty obvious it’s getting to the point — where decisions need to be made.”The new hires amount to the clearest indication yet that Ms. James is laying the groundwork to do so, though she could make a different final assessment.Ms. James’s allies believe that while she has not historically been known as a strong fund-raiser, if she does run for governor, she could attract significant national interest, given her potential to be the first Black female governor in America. Her hires also reflect an intense focus on fund-raising.She brought in Jenny Galvin, who has led fund-raising efforts for New York officials including Alvin Bragg, the likely next Manhattan district attorney; State Senator Alessandra Biaggi; and for the mayoral campaign of Scott M. Stringer, the New York City comptroller, in addition to national political fund-raising work.Kristie Stiles has also joined Ms. James’s team. She is a veteran Democratic fund-raiser with deep experience in New York and on the national stage.“She’s got a lot of great relationships with donors and she’s well-known,” Christopher G. Korge, the Democratic National Committee finance chairman, said of Ms. Stiles. “I think it adds some credibility from a fund-raising point of view to that operation.”Former Representative Steve Israel, who worked with Ms. Stiles when he chaired the House Democratic campaign arm, called her “a name brand in political fund-raising.”Ms. Galvin and Ms. Stiles will join David Mansur, a fund-raiser whose firm has worked for a number of prominent New York politicians. He led fund-raising efforts for Ms. James’s successful 2018 campaign for state attorney general and has remained engaged with her.Ms. James’s moves come as other aspects of the New York governor’s race have begun to take shape. New York City Public Advocate Jumaane D. Williams has started an official exploratory committee for governor.Several other New York City-area Democrats are also looking at the race, including Mayor Bill de Blasio, who is a Brooklynite like Ms. James, and who has told associates that he is intending to jump in. Representative Thomas Suozzi of Queens and Long Island hopes to decide whether to proceed with an exploratory committee for governor by mid-November, according to people familiar with his thinking who were granted anonymity to discuss internal deliberations.Two recent polls have shown Ms. Hochul with a sizable lead, though it is difficult to gauge the race at this early stage and without a defined field.In the meantime, Ms. James has maintained an intense public and private schedule: She has traveled the state in her official capacity as attorney general, she is speaking with county chairs and other local elected officials, and she is a fixture at New York City political events, like birthday parties and Democratic fund-raisers.“That’s all anybody talks about,” said Keith L.T. Wright, the leader of the New York County Democrats, speaking of the governor’s race. “People are trying to assess the lay of the land, if you will, the lay of the political land. And they just want to know all the players before they make a decision.” More

    • 88 Shares129 Views

      in Elections

      This Election Season, Look Out for Virginia

      by

      We’re heading around the bend, people! Elections are just a couple of weeks away and the two biggest races in the nation are …You have no idea, right?OK, most of the voting is going to be about local government — mayors and council members and holders of even smaller offices. But there are a couple of contests for governor, in Virginia and New Jersey.It’s Virginia that’s obsessing the world. Or at least the world that’s already terrified about what’s going to happen in 2022 (Dems lose Congress?) or 2024 (Trump? Trump? Trummmpp?).The candidates are the Democrat Terry McAuliffe, a former governor who left office after one term because Virginia is the only state in the union that makes governors do that. Versus Glenn Youngkin, a former business tycoon who’s chipped in at least $16 million of his own money.McAuliffe isn’t exactly a pauper — Virginia’s very loose filing rules show he’s worth at least $6.9 million. But he’s always been a star at raising money. He once recalled a political event he was involved in when he was 7: “Nobody got in that door unless I got 50 dollars from them. Unfortunately, for a lot of people, 35 years later I’m still making sure that they pay.″OK, not all that inspiring, but everybody knows how important money is in these off-year elections. Virginia has evolved into a Democratic state, but what if McAuliffe loses — or just squeaks in? What if the turnout is puny? Will the nation read this as a prelude to disaster for congressional candidates next year?Democrats can’t think of anything else, and if you’ve wound up on any party mailing lists — truly, it can happen to anyone — you may have been getting more letters about Terry McAuliffe than you got greetings on your last birthday. Certainly bigger presents are involved.“I’m flabbergasted, Gail … ” reads one of the many, many missives I received from him recently. “We’ve been sending you email after email about just how important this race is, but it’s October, and it’s looking like a tossup right now.”Given my profession, I have never made a contribution to a political campaign in my life, but this doesn’t seem to have any impact on McAuliffe’s expectations.One of my all-time favorite donor requests came from Ellie Warner, McAuliffe’s finance director:“Gail, I’m freaking out right now! I meant to send this email earlier … but I forgot to press send, and now, we’re even more behind on our fund-raising goal than we were before.”That is so 2021. If, God forbid, McAuliffe somehow loses the election, “I forgot to press send” is going down in modern political history.New Jersey’s race has also had its moments. Republicans are trying to beat Gov. Phil Murphy over the head with his 2019 remark that if you’re a person whose only concern is tax rates, New Jersey is “probably not your state.”Now really, this is pretty obvious. Anybody who sits down with the family in, say, Montana, and announces, “Well, we’re going to relocate in the East, and the only thing we care about is taxes,” is not under any circumstances going to discuss real estate opportunities in the Trenton area.New Jersey is diverting but Murphy is expected to win handily. And the political world won’t be all that impressed. It’s Virginia that’s mobilized a national get-out-the-money campaign.“Gail, we don’t have much time, so I’ll make this quick,” wrote the political consultant James Carville in a mass email about a “critical fund-raising deadline.”Carville, who recently referred to himself as “an email-signing slut,” has reportedly sent out over 40 pleas for donations to various campaigns in the last three months, one darkly demanding to know if the recipient wants “Democrats to lose every election from here to eternity.”Meanwhile, Donald Trump is, of course, online constantly (“Did you see my RALLY in IOWA? It was INCREDIBLE”). He is supporting Youngkin, but not with nearly the enthusiasm he’s dedicating to raising money for his own political action fund.“President Trump specifically told us he wants this one-of-a-kind HAND-SIGNED football to go to YOU, Friend,” says one missive, looking for a contribution for a chance to be in a drawing for said memento.In the Virginia race, Youngkin, whose nickname is reportedly “Yunk,” is delicately dancing around the Trump issue. It’s tricky — if you want to be a winning Republican, you have to keep his fans happy while assuring the suburban moderates that you know Joe Biden was actually elected president.McAuliffe’s job is to make voters turn out, and one main strategy is to terrify them into action. (“I thought folks would be fired up to get out the vote, but at this point, it seems like enthusiasm is at an all-time low.”)Same thing goes for money. (“You can imagine how confused I am about why people aren’t stepping up and donating. We’re blowing this one, Gail.”)Everybody’s jumping in. John Fetterman, the lieutenant governor of Pennsylvania who’s planning to run for the U.S. Senate next year, wrote suggesting that I split an early bird $10 donation between his campaign and McAuliffe’s. There’s quite a lot of this going on, but Fetterman’s campaign website is notable for including the picture of a dog on the bottom, saying: “Hi, I’m Levi Fetterman. Boop my nose to donate $1.”Indeed, if you poked Levi’s nose, a special donation box did pop up. Like I said, they’re everywhere.The Times is committed to publishing a diversity of letters to the editor. We’d like to hear what you think about this or any of our articles. Here are some tips. And here’s our email: letters@nytimes.com.Follow The New York Times Opinion section on Facebook, Twitter (@NYTopinion) and Instagram. More