ActBlue Probed for Possible Fraud

Michael Whatley says RNC supports Rep. Steil's investigation into ActBlue

Rep. Bryan Steil, R-Wis said on Monday that stronger regulations to ensure compliance with campaign finance laws are needed.

Steil, chair of the Committee on House Administration, announced Monday that he is investigating ActBlue, a Democratic fundraising platform, over allegations of inadequate financial controls that may facilitate campaign donation fraud.

"ActBlue does not have the proper financial controls in place that it needs to have to make sure that everyone is abiding by the law," Steil said, "It's why I called on the Federal Election Commission today to take emergency rulemaking action, to change the rules that ActBlue is operating under."

Steil outlined two critical changes that could be implemented immediately to address the perceived vulnerabilities within the fundraising platform.

"One, ActBlue does not require a CVV number - that's a little three- or four-digit code on the back of your card. It prevents identity theft.

"Two, we need to make sure that ActBlue no longer accepts anonymous gift cards. That's a major loophole where an individual could utilize a gift card, operate effectively, steal an individual's identity, donate on their behalf, and break campaign finance laws.

"Both of those things should be banned from the use in our campaign finance system," he said.

Regarding concerns about the legitimacy of numerous donations, Steil said, "There's not an explanation that comes to mind quickly. For me, it's all the more reason you have to close these loopholes that we've identified.

"It's why not only do I have legislation ... I'm calling on an emergency rulemaking from the Federal Election Commission to take place immediately to close the loopholes that we've identified that could be utilized by bad actors around the country or around the world who are interested in putting money into U.S. politics."