A top House Democrat calls for the suspension of Postmaster General Louis DeJoy over campaign finance allegations.

Sep 8, 2020
In The News

Representative Carolyn B. Maloney, Democrat of New York and the chairwoman of the House Oversight Committee, on Monday called on the Postal Service’s board of governors to suspend Louis DeJoy, the postmaster general, while she investigates allegations that he asked former employees to make campaign contributions to Republicans and gave them bonuses to defray the cost.

“If these allegations are true, Mr. DeJoy could face criminal exposure — not only for his actions in North Carolina, but also for lying to our committee under oath,” Ms. Maloney said in a statement. “We will be investigating this issue, but I believe the board of governors must take emergency action to immediately suspend Mr. DeJoy, who they never should have selected in the first place.”

Ms. Maloney’s committee on Wednesday issued a subpoena for documents she said Mr. DeJoy had withheld from Congress related to mail delays and communications with the Trump campaign. Since then, Mr. DeJoy, a Republican megadonor and onetime executive of a shipping company based in North Carolina, New Breed Logistics, has been accused of cultivating an environment at his former company that left employees feeling pressured to make donations to Republican candidates, and rewarded them with bonuses for doing so.

The practice was described to The New York Times by three former employees at New Breed Logistics who said that workers would receive bonuses if they donated to candidates he supported, and that it was expected that managers would participate. A fourth employee confirmed that managers at the company were routinely solicited to make donations. The four former employees spoke on the condition of anonymity for fear of professional retaliation.

The former employees did not say how explicit Mr. DeJoy was about linking the campaign contributions he was encouraging to the extra compensation, but three of them said it was widely believed that the bonuses were meant to reimburse the political donations, an allegation first reported by The Washington Post.

Federal campaign finance law bars straw-donor schemes, in which an individual reimburses someone else to donate to a political campaign in order to skirt contribution limits. But it is legal to encourage employees to make donations, as Mr. DeJoy routinely did.

Senator Chuck Schumer of New York, the Democratic leader, has called for the North Carolina attorney general to investigate the allegations. At a hearing last month, Mr. DeJoy angrily denied a suggestion by Representative Jim Cooper, Democrat of Tennessee, that he had reimbursed his employees’ political donations.

“That’s an outrageous claim, sir, and I resent it,” Mr. DeJoy responded. “What are you accusing me of?” A spokesman for Mr. DeJoy has insisted that he followed federal and local laws.