A major fundraiser for Donald Trump's 2024 White House campaign has seen a surge in spending at the former president's properties in recent months, putting him in serious legal jeopardy and in dire need of cash. During this period, he poured money into his business.
According to federal election filings, President Trump's Community Chest Committee issued three checks in February and one in March to the Mar-a-Lago club in Palm Beach, Florida. In total, he drew $411,287, and in March, he drew another ticket to Trump National Doral Miami for $62,337. This week's committee.
Experts say federal law and FEC regulations allow campaigns to spend donations on candidate projects as long as they pay fair market value. Trump has been doing this for years, making millions to cover expenses such as the use of his private plane for political events, rent for Trump Tower, and events at his properties, which include hotels and private clubs. He is moving dollar campaign funds into his vast business empire.
Although this practice is legal, some campaign finance experts believe it raises ethical concerns when candidates earn personal income from running for office.
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“When voters see something like this happening, it increases their distrust of the political system and the motives of elected officials,” said Shanna Portes, senior legal counsel at the Campaign Legal Center, a nonprofit government accountability organization. It will heighten the feeling.”
Trump faces huge legal costs in multiple civil and criminal cases
The money the Trump campaign is spending on businesses could help the former president, who is facing a huge cash crunch.
Trump has been hit with two huge financial judgments after losing two civil lawsuits.
He posted bail of $91.6 million in a defamation case brought by author E. Jean Carroll and $175 million in a fraud case involving falsification of business records. New York's attorney general is challenging the fiscal soundness of President Trump's agreement to record large bond payments.
The amounts the Trump campaign has paid for his businesses are small compared to the huge financial judgments ordered by the courts, but they have increased in recent months.
The Trump campaign and affiliated political committees have paid at least $4.9 million to companies owned by Trump since the beginning of 2023, according to an analysis by USA TODAY. Most of that money ($4.1 million) he donated to TAG Air, Inc. for air travel.
President Trump listed TAG Airlines among his assets in the latest financial disclosure required of presidential candidates, with a value between $5 million and $25 million. He operates his own aircraft, nicknamed Trump Force One.
Super PACs controlled by Trump's various campaign committees and allies have also spent at least $809,000 on Trump real estate since early last year.
Campaign spending at Doral in Miami and Mar-a-Lago in Palm Beach
Since the beginning of 2023, the majority of Trump's campaign spending at real estate ($663,000) has been at Mar-a-Lago, with most of it occurring in February. It is not clear what kind of event the funds were used for.
A spokesperson for President Trump did not respond to specific questions about campaign finance at his facility, instead issuing a statement attacking President Joe Biden.
Other Republican candidates have also spent large amounts of their campaign funds on President Trump's real estate.
Ohio Republican U.S. Senate candidate Bernie Moreno's campaign spent $109,000 on “event catering” at Mar-a-Lago in April, December and January 2023, records show. became. President Trump endorsed Moreno in December. Moreno won the March primary and will face third-term Democratic Sen. Sherrod Brown in November.
Nevada Senate candidate Jim Merchant's campaign spent about $67,000 on “event venue rental and catering” at Mar-a-Lago in November and December. President Trump unsuccessfully endorsed Merchant to become Nevada's secretary of state in 2022. Mr. Merchant is currently seeking to unseat first-term Democratic Sen. Jacky Rosen.
In January, a PAC called Giuliani Defense spent $2,400 on fundraising and food at Trump's golf club in Bedminster, New Jersey. The PAC spent $540,000 on legal fees, according to FEC filings. President Trump hosted a fundraiser for Rudy Giuliani in Bedminster in September to help pay for the former New York mayor's legal costs. Some of the costs stem from criminal charges against Mr. Giuliani in Fulton County, Georgia, for trying to help Mr. Trump overturn the 2020 presidential election.
On March 5, President Trump hosted a party at Mar-a-Lago for a crowd of supporters to watch the results of the Super Tuesday primary elections in 16 states. He also held a fundraiser at Mar-a-Lago in October, with attendees including Congressmen Marjorie Taylor Greene and Byron Donald, Texas Attorney General Ken Paxton, and actress Roseanne Barr. Hundreds of supporters gathered.
Another fundraiser at Trump National Doral in March was hosted by former Ambassador Carlos Trujillo, and the funds went to the Make America Great Again super PAC.
The Trump Save America Community Chest, which raises money for Trump's campaign, and his Save America Leadership PAC account for the bulk of Trump's real estate spending, while other expenses are Trump's primary It was paid for by MAGA Inc.'s Super PAC and Save. America.
Concerns about Trump's business conflicts date back to the 2016 election
Questions about how Trump's businesses have benefited from his political career have swirled around the former president throughout his three campaigns and four years in the White House.
Under pressure to avoid potential conflicts of interest between his role as president and his vast business deals, Trump declared he would not enter into any “new deals” after his 2016 election victory. The president-elect has also put his two adult sons in charge of the family business, which is managed by a trust that critics say does not protect against potential ethical conflicts. It was pointed out that there were not enough requirements.
A lawsuit accusing Trump of violating the Constitution's Emoluments Clause while president was unsuccessful. Critics say people seeking to influence the Trump administration funneled money into his businesses, including the sale of a hotel near the White House in Washington, D.C., which was renamed the Waldorf Astoria. This includes changing the brand name.
The Legal Fund for American Democracy filed a complaint with the FEC in 2016 alleging that “Mr. Johnson.” Although the suit was dismissed, concerns remain in the minds of some campaign finance experts.''Mr. Trump is using presidential campaign funds to further his business and personal interests.''
“People should run for office, not because they want to enrich themselves, but because they want to serve the people,” Ports said. “So the fact that campaigns are allowed to pay for candidates' business expenses creates such concerns. It's legal, but it creates a kind of negative impression of the electoral system.” There is.”
Richard Briffault, a law professor at Columbia Law School, said using Trump's campaign funds for his own business may not be illegal, but it is “a little risky.”
“No one has ever seen anything like it.”
Briffault said the only comparable political candidate with such a vast business may be former New York Mayor Michael Bloomberg, who ran for president as a Democrat, but that's still not an accurate comparison. “The whole thing about Trump, no one has ever seen anything like that,” he said.
The first thing President Trump's companies should do is charge the Trump campaign and PAC the same amount they charge other paying customers for their services. But there are also ethical questions about whether campaigns and PACs can get better terms elsewhere.
“How much are they charging? And how often are they referring people who might stay somewhere else cheaper?” Brifau asked. “You could imagine there might be cheaper venues, but they're holding it there on purpose.”
The Trump Leadership PAC is also spending billions on lawyers as the president faces four criminal charges. He is currently on trial in New York City for allegedly paying an adult film star to keep quiet about an alleged sexual relationship during the 2016 presidential campaign.
Starting in the days after the 2020 election, the leadership PAC Save America spent more than $72.5 million in legal fees to many of the same firms representing him in his civil and criminal cases. This fund accounts for the bulk of his legal spending, but his affiliated committees spend millions more.
Spending money on legal issues is not unusual for campaigns, but campaign finance experts say Trump has pushed the boundaries of what is acceptable.
