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Tags: actblue | liberal | foreign donations | gift cards | bryan steil | james comer | bryan steil

Dems' ActBlue Under Fire for Handling of Foreign Gift Card Donations

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By    |   Thursday, 12 December 2024 08:53 PM EST

ActBlue, the prominent online fundraising platform for liberal causes, recently informed Congress that it had not automatically blocked donations made with foreign-purchased gift cards until Sept. 2024, a disclosure that could play a key role in an ongoing investigation into potential illicit contributions to Democrat candidates from countries such as China, Russia, Iran, and Venezuela, Just the News reported.

The revelation emerged amidst ongoing investigations into whether foreign powers such as China, Russia, Iran, or Venezuela may have routed illicit funds into U.S. elections through the platform.

House Administration Chair Bryan Steil, R-Wis., announced Tuesday that ActBlue provided documents under subpoena showing that it updated its donor verification policies on Sept. 9.

The change, implemented shortly after Steil introduced the Secure Handling of Internet Electronic Donations (SHIELD) Act, aims to "automatically reject donations that use foreign prepaid/gift cards, domestic gift cards, are from high-risk or sanctioned countries, and have the highest level of risk," according to ActBlue.

Previously, donations made with foreign gift cards were not automatically blocked, which is a troubling policy gap, Steil noted.

"While this is a positive step forward, there is still more work to be done to ensure our campaign finance system is fully protected from fraud and unlawful foreign interference," Steil said in a statement to Just the News.

The policy change coincided with concerns about potential loopholes in online political fundraising systems. Democrats raised record sums in July, just two months before ActBlue implemented the enhanced safeguards.

Steil's committee has been investigating allegations that illicit foreign money may have been funneled through ActBlue to Democratic campaigns. This inquiry has referred thousands of suspicious donations to state attorneys general across five states, leading to expanded investigations in 19 states.

In a separate development, a Wisconsin Republican strategist filed a lawsuit in October, alleging his email identity was misused to make unauthorized donations to Democrat causes. A judge recently approved a subpoena for ActBlue to provide evidence in the case.

Meanwhile, Steil and House Oversight Committee Chair James Comer, R-Ky., have requested access to suspicious activity reports from banks that flagged specific donations processed by ActBlue. Comer has indicated that hundreds of such reports could warrant review.

ActBlue has denied any wrongdoing and maintains it is cooperating with investigators. In a recent statement, the platform accused critics of spreading "disinformation" and emphasized its commitment to donor privacy and compliance with the law.

"We rigorously protect donors' information by maintaining a robust security program and strict fraud prevention measures — often beyond what is required by law," the statement read.

"We must keep working to ensure that no foreign funds were illegally funneled into U.S. political campaigns during this election cycle," he said.

ActBlue has raised over $13.6 billion since its inception in 2004.

Jim Thomas

Jim Thomas is a writer based in Indiana. He holds a bachelor's degree in Political Science, a law degree from U.I.C. Law School, and has practiced law for more than 20 years.

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ActBlue, the prominent online fundraising platform for liberal causes, recently informed Congress that it had not automatically blocked donations made with foreign-purchased gift cards until recently.
actblue, liberal, foreign donations, gift cards, bryan steil, james comer, bryan steil
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Thursday, 12 December 2024 08:53 PM
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