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conflict of interest
Watchdogs, Unions Target DOGE With Lawsuits Mere Minutes Into Trump Administration
"This fight is about fairness, accountability, and the integrity of our government," said AFGE national president Everett Kelley.
Jan 20, 2025
The legal fight over President Donald Trump's "Department of Government Efficiency" kicked off less than hour into his presidency with a flurry of lawsuits filed in federal court—including multiple that allege the body is in violation of the the 1972 Federal Advisory Committee Act.
Trump tapped billionaire and Tesla CEO Elon Musk and tech entrepreneur Vivek Ramaswamy to run the Department of Government Efficiency (DOGE), which was conceived by Trump to help aid with cuts to government spending and regulation. (Ramaswamy, however, is reportedly departing DOGE to launch a bid for Ohio governor).
In a Monday statement announcing one of the lawsuits, Skye Perryman, CEO of Democracy Forward, said that "allowing unelected billionaires to run roughshod over essential services without being transparent about their operations does not achieve the efficiency the American people want to see from their government and only threatens to further undermine the public's trust."
Democracy Forward is serving as co-legal counsel in one of three lawsuits alleging Federal Advisory Committee Act violations. That complaint was filed by a diverse group of plaintiffs, including the advocacy organization the American Public Health Association, the union the American Federation of Teachers, the veterans group the Minority Veterans of America, the progressive veterans group VoteVets Action Fund, the consumer advocacy group the Center for Auto Safety, and the watchdog group Citizens for Responsibility and Ethics in Washington (CREW).
A second was filed by the watchdog group Public Citizen, the watchdog nonprofit State Democracy Defenders Fund, and the federal employees union the American Federation of Government Employees (AFGE). A third was filed by the public interest firm the National Security Counselors.
"This fight is about fairness, accountability, and the integrity of our government," said AFGE national president Everett Kelley in a statement Monday. "Federal employees are not the problem—they are the solution. They deserve to have their voices heard in decisions that affect their work, their agencies, and the public they serve."
Plaintiffs in the first three suits argue that DOGE is operating as a federal advisory committee but not adhering to regulations overseeing those bodies.
Under the 1972 law, federal advisory committees—bodies that advise federal decision-makers on policy, which are also known as FACAs—must do things like furnish meeting minutes and make their meetings open to the public. The groups must also establish a charter and ensure the viewpoints of its members are "fairly balanced."
According to the complaint co-authored by lawyers with Democracy Forward and CREW, the defendants—who include DOGE and the Office of Management and Budget—"have taken no action to comply with FACA, including by making a formal determination that DOGE's creation serves the public interest, nor have they filed a charter identifying the scope of DOGE’s work."
The lawsuit also alleges that "DOGE's membership does not include anyone who brings the perspective of the people and communities that will be most directly affected by the drastic cuts to the federal programs and services that DOGE will recommend."
The complaint co-authored by Public Citizen also makes the same argument regarding balanced viewpoints. Each of the plaintiffs listed in that suit appealed to have representatives from their respective groups join DOGE in order to offer expertise, according to the filing.
"Elon Musk and Vivek Ramaswamy both hold financial interests that will be directly affected by federal budgetary policies—presenting substantial conflict of interest concerns," said Lisa Gilbert, co-president of Public Citizen, in an early January statement regarding her request to join DOGE.
Two of Musk's companies account for at least $15.4 billion in government contracts over the past 10 years, according to New York Timesreporting from October. Ramaswamy's perch atop DOGE could also present conflicts of interest stemming from financial interests he has in multiple companies with exposure to the federal government, the Timesreported before revelations of his plans to leave DOGE.
Also Monday, the conservation organization the Center for Biological Diversity sued to obtain public records showing how "people claiming to represent DOGE" have communicated with the White House since the presidential transition began.
In t complaint, the Center for Biological Diversity argues that they filed an unfilled public records request with the Office of Management and Budget for materials that would "shed valuable light on any directives or communications with OMB regarding DOGE and its objectives, which will shed light on the new administration's intended operations and responses as they take office."
"Whether it's Trump or Elon Musk who's really running the government, we're a nation of laws and the people have a right to know what Musk and his cronies have been up to during the transition," said Kierán Suckling, executive director of the Center for Biological Diversity, in a statement Monday.
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Crypto Billionaire Trump Already 'Cashing In On the Presidency' With Meme Coin
"We now have a president-elect who, the weekend before inauguration, is launching new businesses along with promises to deregulate... those sectors in a way to just blatantly profit off his own presidency."
Jan 19, 2025
U.S. President-elect Donald Trump faced a flood of criticism throughout the weekend for launching a cryptocurrency token as the world prepared for his Monday inauguration and policies expected to benefit the industry that helped Republicans take control of the White House and Congress.
"It is literally cashing in on the presidency—creating a financial instrument so people can transfer money to the president's family in connection with his office," Campaign Legal Center executive director Adav Noti toldThe New York Times. "It is beyond unprecedented."
Jordan Libowitz, vice president for communications at Citizens for Responsibility and Ethics in Washington, also contrasted Trump's move with behaviors of past presidents, tellingPolitico, "It is absolutely wild."
"After decades of seeing presidents-elect spend the time leading up to inauguration separating themselves from their finances to show that they don't have any conflicts of interest, we now have a president-elect who, the weekend before inauguration, is launching new businesses along with promises to deregulate... those sectors in a way to just blatantly profit off his own presidency," said Libowitz.
The president-elected announced the $TRUMP meme coin, hosted on the Solana blockchain, via his Truth social media platform and X—owned by Elon Musk, his ally and the richest person on the planet—on Friday, declaring that "it's time to celebrate everything we stand for: WINNING!"
He linked to a website that explains "there are 200 million $TRUMP available on day one and will grow to a total of 1 billion $TRUMP over three years." It also states that "Trump Memes are intended to function as an expression of support for, and engagement with, the ideals and beliefs embodied by the symbol '$TRUMP' and the associated artwork, and are not intended to be, or to be the subject of, an investment opportunity, investment contract, or security of any type."
Forbesreported that "the remaining 80% of tokens that have yet to be publicly released are owned by the Trump Organization affiliate CIC Digital LLC and Fight Fight Fight LLC, a company formed in Delaware on January 7, according to state filings, and both companies will receive an undisclosed amount of revenue derived from trading activity."
The president-elect's son Eric Trump, who helps run Trump Organization, told the Times that "this is just the beginning."
"I am extremely proud of what we continue to accomplish in crypto," he said in a statement. "$TRUMP is currently the hottest digital meme on Earth."
In an article simply headlined, "Donald Trump, crypto billionaire," Axiosnoted that by Sunday morning, "Trump's crypto holdings were worth as much as $58 billion on paper, enough—with his other assets—to make him one of the world's 25 richest people."
Responding to Axios' report, Wa'el Alzayat, who served as a Middle East policy expert at the U.S. Department of State for a decade, said that "when I was in government I couldn't accept a lunch over $20. Now anyone can give our next president millions."
Predicting that "this is going to end VERY badly for everyone except Donald Trump and his cronies," journalist Jeff St. John said that "it is a scandal and an outrage."
The meme coin announcement came as "the elite of the crypto world" gathered in Washington, D.C. for the first-ever Crypto Ball.
The president-elect did not attend the event, but House Speaker Mike Johnson (R-La.) and the nominees for commerce and treasury secretary, Howard Lutnick and Scott Bessent, were there. Reporting on the gala, Reuterspointed out that the Trump "courted crypto campaign cash with promises to be a 'crypto president,' and is expected next week to issue executive orders aimed at reducing crypto regulatory roadblocks and promoting widespread adoption of digital assets."
Trump is no stranger to ethics scandals. As Mother Jonesdetailed:
The meme coin is just the latest in a bizarre line of grifty, super-weird takes on "merch." Last February, Trump showed off gold "Never Surrender High-Tops" for $399 at Sneaker Con, which had Fox Newsapplauding his appeal to Black voters. In March, he began endorsing the $59.99 "God Bless the USA Bible," which includes the Constitution, the Bill of Rights, and handwritten lyrics to the chorus of Lee Greenwood's "God Bless the USA." (Trump's inaugural committee has confirmed that he will not be using one of these Bibles to swear the presidential oath of office on Monday.) In August, Trump released a new round of his "baseball card" NFTs.
S.V. Dáte, a senior White House correspondent at HuffPost, highlighted Sunday that during the Republican's first term, "Trump's D.C. hotel was a convenient way for foreign and domestic lobbyists to put cash directly into his pocket."
"This crypto thing is next level. Anyone on the planet can put money directly into his pocket. Huge," Dáte added. "The efficiency here is a thing of beauty. With a hotel, you have all the costs of owning the property as well as paying cleaning staff, front desk staff, and so on. This selling of fake money is almost pure profit."
The Trump Organization sold the D.C. hotel in 2022, but The Wall Street Journalreported earlier this month that his "real estate company is in talks to reclaim" the property.
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Trump’s Pick For AG Perfectly Exemplifies His MO—Cronyism and Corruption
Pam Bondi has a worrying history of receiving support from corporate actors before seemingly using her power to shield them from legal action.
Jan 16, 2025
In late November, President-elect Donald Trump announced Pam Bondi—former Florida attorney general, current partner at Ballard Partners, and long-time Trump-world regular—as his nominee for attorney general. Bondi perfectly exemplifies Trump’s approach to staffing the executive branch: prioritizing loyalists with a history of defending him personally and actively creating opportunities for revolver-induced corruption.
Going into the second Trump administration, the Department of Justice (DOJ) faces a broad array of issues, from counter-intelligence to civil rights enforcement. But in many respects the Justice Department is most central and critical as the enforcer of laws that limit corporate misbehavior. From monopolistic collusion and tax evasion to wage theft and polluting the air, the DOJ is constantly deciding whether to pursue potential civil and criminal actions against a wide array of corporations.
Is someone whose (virtual) rolodex is full of contacts at large tech companies likely to be enthusiastic about supporting antitrust enforcement against the very tech executives she has a warm working relationship with?
If confirmed, Bondi will be a classic corporate revolver. While at Ballard, she’s worked with a slate of corporate clients, prominently including Amazon, which has pending cases before the DOJ and Federal Trade Commission. As attorney general, Bondi would stand to oversee cases against a number of her former clients and their ilk, creating at the very least the appearance of a conflict of interest.
Bondi would also have the power to influence resource allocation decisions, determining how much effort the federal government puts toward enforcing the law against corporate actors and individuals alike. With many of Bondi and her Ballard peers’ clients and former clients number among those who stand to face federal enforcement, there are clear reasons to worry she might de-emphasize corporate misconduct and prioritize Trump’s political enemies.
Is someone whose (virtual) rolodex is full of contacts at large tech companies likely to be enthusiastic about supporting antitrust enforcement against the very tech executives she has a warm working relationship with? Questions like this seem to answer themselves, and the outlook isn’t good for those of us who see the role of government as protecting most of us from the greed and abuses of wealthy and powerful corporations and executives.
Beyond concerns about corporate revolver dynamics that could undercut DOJ’s efficacy in cracking down on corporate wrongdoing, Bondi herself has a worrying history of receiving support from corporate actors before seemingly using her power to shield them from legal action.
In 2011, newly inaugurated Florida Attorney General Bondi led the charge to fire two attorneys who had been investigating Lender Processing Services (LPS)—a mortgage services company that later pled guilty to having forged documents to illegally repossess borrowers’ homes—after Bondi received substantial campaign contributions from LPS. In 2013, Bondi directly solicited a reelection campaign donation from the Donald J. Trump Foundation. Shortly after Bondi received the $25,000 donation, her office declined to continue investigating complaints against Trump University. Also during Bondi’s first term as Florida attorney general, she had an extended relationship with lawyers from firm Dickstein Shapiro who met with Bondi to represent an array of corporate clients. In several documented cases, Bondi declined to use her AG powers to pursue action against these companies, as The New York Times reported in a Pulitzer-winning 2014 series. (As the Miami Herald reports, a brochure from the firm even boasts that “we persuaded AGs not to sue Accretive Health.”)
These corruption concerns don’t even scratch the surface of Bondi’s broad network of financial and personal relationships with conservative interest groups and influential corporate actors, not to mention her lobbying work for the nation of Qatar. As such, Bondi's confirmation would likely become quite difficult, as every issue from how to deal with Foreign Agents Registration Act enforcement to antitrust policy is implicated by her time at Ballard.
These blatant concerns with Bondi’s fitness for the role were drawn out to some extent in her first confirmation hearing on Wednesday. Bondi repeatedly took a combative tone in response to questions. She dodged or evaded numerous questions about how her loyalty to Trump might influence her decision-making as attorney general, even making the blanket statement, “I’ll never speak on a hypothetical, especially one saying that the president would do something illegal”—a concerning hard line for her to take, given Trump's multiple, non-hypothetical, criminal convictions.
Bondi’s second hearing, scheduled for on Thursday, promises to produce more eventful and contentious testimony, as hearings for Trump nominees continue this week.
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