After riot, major corporations suspend donations to the Republican Attorneys General Association
Welcome to Popular Information, a newsletter about politics and power — written by Judd Legum and Tesnim Zekeria. The violent riot at the United States Capitol last week did not magically appear. First, millions of people had to be whipped into a frenzy over bogus charges of voter fraud. Then, a critical mass of them had to be directed to the Capitol building at the same time. The Republican Attorneys General Association (RAGA) was involved in both activities. First, both the organization itself and the majority of its members pushed baseless allegations of voter fraud. Then, RAGA's self-described "policy arm," the Rule of Law Defense Fund (RLDF), sent a robo-call driving people to participate in the "March to Save America." In response to inquiries from Popular Information, three major corporate donors — Facebook, Lyft, and DoorDash — are suspending their contributions to RAGA. The University of Phoenix, which donated over $50,000 to RAGA in 2020, is demanding its money back. And numerous other companies tell Popular Information that they are reevaluating their support for the organization. The robo-call, first reported by Documented, urged "patriots" to congregate at the White House and then "march to Congress" to "stop the steal."
On the March to Save America website, which is no longer online, the Rule of Law Defense Fund was listed alongside "Stop the Steal" and "Wildprotest.com" as a participating organization. The RAGA also played a key role in setting the predicate for what devolved into a violent riot. Starting weeks before the election, the organization pushed conspiracy theories suggesting Democrats were conspiring to "steal" the election. Sixteen Republican Attorneys General, about two-thirds of the group's members, signed onto a brief urging the Supreme Court to throw out the election results from Pennsylvania, Georgia, Michigan, and Wisconsin. The case was initiated by former Texas Attorney General Ken Paxton, the former chair of the RAGA. While Paxton's effort in the Supreme Court was unsuccessful, he did appear at the "Stop the Steal" rally that preceded the riot. "What we have in President Trump is a fighter. And I think that’s why we’re all here. We will not quit fighting. We’re Texans, we’re Americans, and the fight will go on," Paxton said. A distinction without a differenceBoth the RAGA and some of its corporate donors have sought to draw a distinction between the RAGA and the RLDF. It is not a very convincing argument. RAGA itself refers to RLDF as its “policy branch.” The organizations share "staff and office space in Washington, D.C." The most recent RLDF tax form, obtained by Popular Information, shows that the RLDF board is made up entirely of Republican Attorneys General. Adam Piper served as Executive Director of RAGA and President of RLDF. Notably, neither Piper nor any other of the top staffers were paid by RLDF. Instead, they receive their salaries from a "related organization" –– RAGA. Currently, the leader of RLDF is Alabama Attorney General Steve Marshall. The appointment was announced in November 2020 by RAGA. “I am honored to lead RAGA’s policy branch, the Rule of Law Defense Fund, and bring conservative attorneys general together in promotion of federalism, freedom, and the rule of law,” Marshall said in a RAGA press release. So why does RLDF exist? While the RAGA is a 527 and assists Republican Attorneys General in their campaigns, RLDF is a 501(c)(4) nonprofit organization. As such, RLDF’s political activities are limited. But RLDF has one key advantage: It doesn't have to disclose its donors. The RAGA's corporate donorsUnlike campaign committees, the RAGA can accept direct corporate contributions in unlimited amounts. And many corporations write them large checks. Popular Information contacted 63 corporations who made large donations to the RAGA in 2020 and asked if, in light of recent events, they would continue to support the RAGA in the future. (The amount each company donated to the RAGA in 2020 is in parentheses). University of Phoenix ($50,400) was refreshingly direct: "We have asked RAGA to return our contribution to us as soon as possible." Several other corporations said they were suspending their donations to RAGA as a result of their involvement in the events of last Wednesday. Lyft ($15,000) told Popular Information that it will not renew its support of the organization.
Facebook ($50,000) told Popular Information that it was "surprised and appalled" by the RAGA's involvement and won't donate again absent reforms.
DoorDash ($25,000) condemned the actions of the RLDF and called for a full investigation. The company says that it has "paused" its engagement with the RAGA.
Yelp ($15,375) told Popular Information it was "suspending and reviewing our political contributions in light of last week's events." Other corporations expressed concerns about RAGA's activities without explicitly addressing future donations to the group. Microsoft ($36,622) told Popular Information that it "condemn[s] the actions taken by the RLDF and are raising our concerns directly with RAGA." Smile Club Direct ($40,000) said it is "committed to ensuring that any organization we support financially aligns with our corporate values and are closely monitoring news that develops on what led to the unspeakable events that occurred at the Capitol." Eli Lilly ($50,000) says it is "reviewing our contributions to ensure that we do not support organizations that promote misinformation or violence in order to disrupt the peaceful transfer of power our democracy is founded upon." Johnson & Johnson says that “[i]n light of the events last Wednesday, we are reviewing and evaluating our political giving policies and criteria.” CVS Caremark ($125,000) embraced the technical distinction between RAGA and RLDF. "We’re not a member of nor have we contributed to the Rule of Law Defense Fund," a company spokesman said, "Past support of both the Republican Attorneys General Association and the Democratic Attorneys General Association is in no way linked to recent events or the presidential election results." A few corporations responded but gave little indication of their plans. FedEx ($10,000) said it was "reviewing all future political contributions." Mastercard ($25,000) says it has "not finalized any decisions related to our policy-related spending." Visa ($50,000), said it was committed to engaging in politics "in a manner that reflects responsible corporate citizenship and best serves the interests of our shareholders, employees, and other stakeholders." Toyota ($35,000) says it has "made no decision about our support of groups associated with the tragic events at the U.S. Capitol." Amgen ($25,350) said it has "not interacted" with the RAGA or its affiliates about the 2020 election. Wells Fargo ($25,000) and eBay ($15,425) declined to comment. The following companies did not respond to a request for comment:
The coverupIn response to Wednesday's events, RAGA and RLDF denied responsibility for their actions. The organizations released the following statement:
Notably, the RAGA/RLDF statement does not acknowledge the robocall, their listing on the event website as a sponsor, or the fact that one of their members (and former chair) spoke at the rally. Marshall, who has led the RLDF since November, blamed his staff.
Florida Attorney General Ashley Moody, a RLDF board member, scrubbed references to the RLDF from her online biography. On Monday, Piper, the Executive Director of RAGA and the President of RLDF, resigned. No explanation was given. "Adam’s leadership provided AGs with the necessary support to reach new levels across the country," Marshall said in a statement. You’re on the free list for Popular Information. For the full experience, become a paying subscriber. |
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