Texas Attorney General Ken Paxton has called on the Federal Election Commission (FEC) to take action after a nearly year-long investigation into ActBlue uncovered suspicious donations. Paxton’s office launched the investigation in December 2023 to determine if ActBlue, a Democratic Party fundraising platform, was facilitating illegal donations. On Monday, Paxton petitioned the FEC to implement new regulations to prevent fraudulent “straw donations.”
According to Paxton, straw donations occur when a person disguises their identity by making donations using another individual’s information, often without their knowledge. The investigation alleges that prepaid credit cards, a favorite tool of fraudsters, were used to obscure the identities of donors, raising concerns over potential violations of campaign finance laws.
Paxton’s office found numerous donations made through “untraceable means,” prompting the attorney general to demand the FEC act swiftly. “If not corrected by the FEC, bad actors can – with trivial ease – illegally funnel foreign money into American elections, exceed political contribution limits, and more,” Paxton said in a statement.
In response to the investigation, ActBlue implemented a new requirement for donors to provide CVV codes for credit card transactions in August, but Paxton argues this is not enough. Paxton believes additional regulations are needed to close loopholes that could jeopardize the integrity of U.S. elections.
