ActBlue Under Fire: House Committee Probes Fundraising Platform Over Lax Verification

The House Committee on Administration is investigating the Democratic fundraising platform ActBlue over accusations of skirting campaign donation laws and allowing for rampant fraud. The probe comes after similar investigations launched by GOP attorneys general.

The House Committee on Administration is widening its probe into the major Democratic fundraising platform ActBlue, escalating concerns over potential fraud and lax donor verification standards on the site.

Rep. Bryan Steil, R-Wis., who chairs the committee, sent a letter to top officials on the Federal Election Commission (FEC) on Monday, urging them to "immediately initiate an emergency rulemaking" to require political campaigns to verify the card verification value ('CVV') of donors who contribute online using a credit or debit card.

ActBlue Under Fire: House Committee Probes Fundraising Platform Over Lax Verification

ActBlue Under Fire: House Committee Probes Fundraising Platform Over Lax Verification

"Following widespread allegations of fraudulent donations being reported to the FEC by ActBlue, one of the largest fundraising platforms in the country, this emergency rulemaking is necessary to reassure the American people that ActBlue is taking the necessary steps to protect its donors," Steil wrote.

According to the committee, whistleblowers who approached the panel in recent weeks have accused ActBlue of deliberately not using CVV numbers for donations to reduce the bar for verification. Whistleblowers have also reported receiving a significant number of donations from retirees living on a fixed income and hundreds of donations of $2.50 from the same individual, according to the committee.

ActBlue Under Fire: House Committee Probes Fundraising Platform Over Lax Verification

ActBlue Under Fire: House Committee Probes Fundraising Platform Over Lax Verification

Steil's letter also argued that the site's acceptance of prepaid credit cards and gift cards fueled a "very real possibility that straw donors are making campaign donations with funds provided by another person or an unlawful donor including a foreign national. These issues present a serious loophole to the transparency and integrity of the campaign donation process, and an emergency rulemaking is required to rectify these issues."

The committee said whistleblowers have also claimed that prepaid gift cards and credit cards are being used to launder campaign contributions that would otherwise violate campaign finance laws.

ActBlue Under Fire: House Committee Probes Fundraising Platform Over Lax Verification

ActBlue Under Fire: House Committee Probes Fundraising Platform Over Lax Verification

ActBlue told Newsweek that the investigation is "nothing more than a partisan political attack and scare tactic to undermine the power of Democratic and progressive small-dollar donors."

However, the allegations against ActBlue have prompted similar investigations by GOP attorneys general in Virginia, Wyoming, and Missouri. The FEC has declined to comment on the matter.

The investigation comes as ActBlue has been used to raise millions of dollars for Vice President Kamala Harris as she seeks to take on former President Trump in November. As of Monday morning, however, a CVV number was required on the page accepting credit card donations for the vice president.

ActBlue and the Harris campaign have not responded to requests for comment.

The House Committee on Administration's investigation into ActBlue is ongoing and could result in further action, including potential legal challenges or penalties. The FEC is also expected to face pressure to take action and strengthen its rules regarding online political donations.