The attorney general of North Carolina called for an investigation into an alleged illegal donation scheme by Postmaster General Louis DeJoy.
The Washington Post reported over the weekend that DeJoy’s former employees at New Breed Logistics were pressured to donate to Republican candidates while DeJoy was a top fundraiser and had their donations reimbursed through bonuses, which could constitute an illegal straw donation.
DeJoy, a GOP mega-donor who was previously the top fundraiser for the Republican National Committee, saw an influx of donations to candidates he helped from his employees -- but those donations dried up or decreased substantially once he left the company, according to the report.
“Louis was a national fundraiser for the Republican Party. He asked employees for money. We gave him the money, and then he reciprocated by giving us big bonuses,” David Young, who was DeJoy’s longtime head of human resources, told the Post. “When we got our bonuses, let’s just say they were bigger, they exceeded expectations — and that covered the tax and everything else.”
DeJoy spox denies:
Numerous former employees told the Post a similar trend.
“He would ask employees to make contributions at the same time that he would say, ‘I’ll get it back to you down the road,’” one employee told the outlet.
DeJoy spokesman Monty Hagler did not directly respond to allegations that employees were reimbursed but told the Post that DeJoy was unaware any employee was pressured and that DeJoy “believes that he has always followed campaign fundraising laws and regulations.”
Hagler said DeJoy “sought and received legal advice” from a former Federal Election Commission attorney “to ensure that he, New Breed Logistics and any person affiliated with New Breed fully complied with any and all laws. Mr. DeJoy believes that all campaign fundraising laws and regulations should be complied with in all respects.”
Hagler said DeJoy “encouraged employees and family members to be active in their communities, schools, churches, civic groups, sporting events and the politics that governs our nation.”
“Mr. DeJoy was never notified by the New Breed employees referenced by the Washington Post of any pressure they might have felt to make a political contribution, and he regrets if any employee felt uncomfortable for any reason,” he added.
NC AG calls for probe:
The scheme laid out in the Post article could be a violation of federal and state law. While the statute of limitations is likely up on the federal side, there is no statute of limitations in North Carolina, where the company is based.
"It is against the law to directly or indirectly reimburse someone for a political contribution," said North Carolina Attorney General Josh Stein. "Any credible allegations of such actions merit investigation by the appropriate state and federal authorities. Beyond this, it would be inappropriate for me as Attorney General to comment on any specific matter at this time."
