April 11, 2025 | ActBlue Scandal – Democratic Party Funded by Fraud

ActBlue is a self-proclaimed grassroots fundraising platform for the Democratic Party. The Democrats want the public to believe that the everyday American fully supports them, but the truth has come to light after an ongoing investigation found that the organization has been upheld by dark money from both “foreign and domestic fraudulent actors.”

The House Judiciary Committee, the Committee on House Administration, and the House Committee on Oversight and Government Reform released a joint interim staff report titled, “Fraud on ActBlue: How the Democrats’ Top Fundraising Platform Opens the Door for Illegal Election Contributions.” When the investigation began, seven senior staff members resigned from their positions. Every lawyer affiliated with the organization stepped away, further raising suspicions. ActBlue’s chief fraud-prevention specialist stated he was solely focused on DEI work even as he listed his top goal as “not allowing more than 10 [percent] additional missed fraud.”

Internal documents revealed that ActBlue lowered its standards for fraudulent donations twice ahead of the 2024 US elections. Instead of actively looking for fraud, employees were encouraged to be “more lenient” and actively “look for reasons to accept contributions.”

“Internal documents also indicate that there have been instances in which bad actors have fraudulently taken control of user accounts, giving them the ability to make straw donations appearing to be from regular donors,” the report noted. There were over 22 ongoing fraud campaigns to Democratic candidates, nine of which received donations from foreign actors.

“Internal documents also indicate that there have been instances in which bad actors have fraudulently taken control of user accounts, giving them the ability to make straw donations appearing to be from regular donors,” the report stated. In a separate case, a Wisconsin Republican strategist claims ActBlue stole his identity to make 385 fraudulent donations on his behalf. “ ActBlue has even seen brazen instances of fraud in which multiple people have made donations using the same credit card information, and has internally acknowledged multiple incidents in which fraudulent donations evaded ActBlue’s automatic fraud review processes,” the report found.

One tactic used was collecting and saving card verification values (CVVs) for the first donation and using that information for recurring contributions. These contributions were found to amount to nearly half of all funding to ActBlue.

ActBlue violated the Federal Election Campaign Act of 1971 (FECA). Enacted by President Nixon, FECA established regulations for campaign fundraising, spending, disclosures, and penalties for those in violation. The act has been amended numerous times, with the last amendment occurring in 2002 known as the McCain-Feingold Act. FECA bans foreign national from donating to US elections to prevent foreign interference. We heard the rumors of Russian collusion, but ActBlue openly accepted donations from foreign nations like Iraq, Saudi Arabia, India, Brazil, and Colombia.

ActBlue used straw donor schemes, also illegal under FECA, that permitted contributions under false names. There were even instances of identical small fonations occurring from the same day under different names, which points to bundling or automated donations that the individual may not have approved of.

FECA also establishes contribution caps and limits to prevent undue influence. The investigation found that donors bypassed this law by using prepaid cards or varying billing details. “Smurfing” practices, breaking large donations into a series of smaller donations, also occurred.

Transparency went out the window as the agency processed 1,900 flagged fraudulent transactions between 2020 and 2024. Employees were encouraged to accept every and any donation even if that meant turning a blind eye to fraud.

ActBlue is the Democratic Party’s main fundraising platform. These allegations seriously undermine the ethics of the Democratic Party in general. Charges have not been filed at the time of this writing but the agency could face a DOJ case, but since things are (D)ifferent, they may get a slap on the wrist with FEC fines.

Martin Armstrong April 11th, 2025

Posted In: Armstrong Economics

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