Washington Post Report Alleges Postmaster General Louis DeJoy Violated Election Law by Reimbursing Campaign Contributions
A Washington Post report alleged Sunday that Postmaster General Louis DeJoy used bonuses to “reimburse” employees at his former company for making political contributions to Republican candidates, a potential felony under state and federal law.
“Five people who worked for DeJoy’s former business, New Breed Logistics, say they were urged by DeJoy’s aides or by the chief executive himself to write checks and attend fundraisers at his 15,000-square-foot gated mansion beside a Greensboro, N.C., country club,” the Post claimed. “There, events for Republicans running for the White House and Congress routinely fetched $100,000 or more apiece. Two other employees familiar with New Breed’s financial and payroll systems said DeJoy would instruct that bonus payments to staffers be boosted to help defray the cost of their contributions, an arrangement that would be unlawful.”
DeJoy and his wife, Aldona Wos, have led fundraising for an array of Republicans over the last two decades. Wos led fundraising for Sen. Elizabeth Dole’s (R-NC) 2002 Senate campaign and for President George W. Bush’s 2004 reelection campaign. DeJoy served as North Carolina co-chair of former New York Mayor Rudy Giuliani’s 2008 presidential campaign. He became one of three deputy finance chairmen for the Republican National Committee in 2017, and was local finance chairman for the 2020 Republican National Convention. The Board of Governors named him postmaster general in May 2020.
“Louis was a national fundraiser for the Republican Party. He asked employees for money. We gave him the money, and then he reciprocated by giving us big bonuses,” said David Young, a former director of human resources for DeJoy’s company. “When we got our bonuses, let’s just say they were bigger, they exceeded expectations — and that covered the tax and everything else.”
The practice of reimbursing “straw donors” for making campaign contributions is a felony in DeJoy’s home state of North Carolina that does not carry a statute of limitations. There is a five-year limit on prosecuting such violations under federal law, which can be considered as either a misdemeanor or felony depending on the amount of money involved. According to the report, 124 donors contributed more than $1 million to Republicans at the state and federal level between 2000 and 2014. Nine employees contributed a combined $700 to Democrats.
DeJoy — who served as CEO of New Breed Logistics from 1983 until 2014 — denied the claims, saying through spokesman Monty Hagler that he “sought and received legal advice” from a former general counsel for the Federal Election Commission “to ensure that he, New Breed Logistics and any person affiliated with New Breed fully complied with any and all laws.
“Mr. DeJoy believes that all campaign fundraising laws and regulations should be complied with in all respects,” Hagler said.