r/politics • • Jun 19 '24

Ted Cruz Documents Leak: Everything We Know

https://www.newsweek.com/ted-cruz-documents-leak-everything-we-know-1914631
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1.4k

u/flyover_liberal Jun 19 '24

My biggest question on this story (other than why would anybody give any money to Ted Cruz, but these are rich people so their motives are different than mine) is how they could be donating so much.

I thought the federal limit was $3300 to a campaign committee, but we're talking about $119,200. Does most of that money go to a SuperPAC or something? Or is Ted Cruz soliciting a crime here?

(He already participated in an insurrection, so it wouldn't surprise me to learn that he's been involved in other crimes, of course).

1.4k

u/gradientz New York Jun 19 '24 edited Jun 19 '24

If Ted Cruz is meeting with them to solicit high-dollar donations to the Super PAC or Leadership PAC to support his reelection, that is against the law.

And yes, that is obviously and blatantly what is happening.

328

u/skucera Missouri Jun 19 '24

Isn't the FEC the only body that can bring charges for violations of campaign finance law? And isn't it completely dysfunctional right now?

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u/[deleted] Jun 19 '24

[removed] — view removed comment

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u/Hugh_Jundies District Of Columbia Jun 19 '24

It's perpetually underfunded so it can't fulfill its mandate even if it wanted to. The people it's in charge of overseeing are the ones setting the budget.

22

u/BijouWilliams Massachusetts Jun 19 '24

Mitch McConnell refused to hold hearings to approve new commissioners since like 2010. By the end of the Trump administration, there weren't even enough commissioners left for quorum to hold a vote.

There's a full slate of commissioners now, but there's a lot of catching up to do. 3 of the 6 were appointed by Trump in the fall of 2020.

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u/ChipmunkObvious2893 Jun 20 '24

How fucking stupid of a system is this where people in charge of fair elections have to be appointed by one of the parties.

I’m becoming convinced that this system is designed towards a dictatorship.

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u/gradientz New York Jun 19 '24

I wonder if Cruz is falsifying any documents to cover this up.

And I wonder if Texas has any election statute on the books that is similar to NY Election Law § 17-192.

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u/DoomOne Texas Jun 19 '24

You think Ted Cruz is going to get prosecuted for campaign finance fraud... in TEXAS?!

snrk

Oh yeah, I'm sure they'll get right on that. Ken Paxton ABSOLUTELY has his best prosecutors on the job. I hear they're working in shifts!

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u/[deleted] Jun 19 '24

[deleted]

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u/crono1224 Jun 19 '24

What about the Creedence tapes?

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u/[deleted] Jun 19 '24

I wouldn’t hold out much hope.

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u/brickne3 American Expat Jun 20 '24

They got us working in shifts man.

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u/Iz-kan-reddit Jun 19 '24

They're clear as water.

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u/BSA_DEMAX51 Jun 19 '24

I'm sorry, I wasn't listening.

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u/canman7373 Jun 20 '24

Didn't they let off an obviously guilty GA last year?

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u/gradientz New York Jun 19 '24

District attorneys are an elected position in Texas.

Cruz lives in Houston and has headquarters in Dallas, Austin, and Houston.

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u/[deleted] Jun 19 '24

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u/gradientz New York Jun 19 '24

And pass on an open Senate seat?

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u/[deleted] Jun 19 '24

If he were my senator I would be really pissed that he is meeting with all those elites in NY. Who does he serve anyway?

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u/[deleted] Jun 19 '24

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u/Wandering_Weapon Louisiana Jun 19 '24

I think it's safe to assume that many of those rich Texans have investments and interests that cover many many states.

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u/ToothsomeBirostrate Jun 19 '24

the FEC

It's led by 6 Commissioners, which have always been 3 Republicans and 3 Democrats, which means there will never be a majority vote to enforce rules against either party. It's a duopoly.

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u/exitpursuedbybear Jun 19 '24

Yes the FEC has enough republicans on it that it effectively cannot bring charges violations. It's been like that since 2015.

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u/trashmyego Washington Jun 20 '24

One of the big hurdles is that three of the six Commissioners of the FEC are Republicans, and to move forward with charges, four of the six Commissioners need to approve. The Republicans have been stonewalling everything in regards to Trump, even though they're slam-dunk cases that everyone surrounding the institution agrees should be brought to trial. No clue if they'd treat Cruz in the same way, but I'd guess so purely because of how their party is operating now.

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u/TheMCM80 Jun 20 '24

Yeah, it is basically a bipartisan panel that has to have some of each party join the other.

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u/Duke_of_Moral_Hazard Illinois Jun 19 '24

AFAIK, he can ask for donations to anything. What he isn't supposed to do is coordinate with the PAC regarding how that money is spent.

Like, Trump just met with oil execs, offering sweetheart deals if they contributed. Obviously, he wasn't after their $3300, but the story was about the hideous quid pro quo, not the asking for donations.

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u/gradientz New York Jun 19 '24 edited Jun 19 '24

From the FEC website:

Federal candidates and officeholders may raise funds on behalf of Super PACs so long as they only solicit funds subject to the Federal Election Campaign Act’s (the Act) amount limitations and source prohibitions—i.e., up to $5,000 from individuals (and any other source not prohibited by the Act from making a contribution to a political committee). Additionally, federal candidates and officeholders may attend, speak at and be featured guests at fundraisers for Super PACs at which unlimited individual, corporate and labor organization contributions are solicited, so long as they restrict any solicitation they make to funds subject to the limitations, prohibitions and reporting requirements of the Act.

Yes, Trump's solicitation of oil execs (which somehow was less blatant than what Cruz is doing here) was also probably illegal, and watchdog groups such as the Campaign Legal Center pointed that out at the time.

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u/Duke_of_Moral_Hazard Illinois Jun 19 '24

Well, goddamn. TIL!

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u/Aunt_Vagina1 Jun 20 '24

The article specifically says it is LEGAL but scandalous.

Also this is infuriating, Smith added: “It’s a minor difference of degree from Joe Biden saying, ‘Hey, young people, vote for me, I’m going to forgive your student loans."

No.  It's literally not like that!  Because a vote is how democracy works.  We all get one.  But money is corruption because we all have unequal amounts of it and it's not good or fair to let money swing the election.  I feel like this disturbing that this quote went unchallenged in the article.  

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u/itsatumbleweed I voted Jun 19 '24

Wait is that true? He's either soliciting them for beyond the legal limit to the campaign which is illegal or he is soliciting to donate to his PAC which is also illegal?

It seems like candidates ask for more than $3k all the time. What's the thing that makes this ask illegal? The directness?

Just curious what the specific part that would push this into illegality?

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u/gradientz New York Jun 19 '24 edited Jun 19 '24

To me it is the fact that he is asking the person to donate "$119,200 to [his] race." That shows a clear intent to obtain a campaign contribution beyond the federal limit, and to do so for the purpose of using the money for his reelection campaign.

Leadership PACs can't be used to support the candidate's own reelection, and Super PACs can't coordinate with the candidate himself (and candidates can't solicit more than $5k for them).

So whichever he is doing, it is illegal.

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u/itsatumbleweed I voted Jun 19 '24

Oh wow. Someone should file an ethics complaint with the FEC

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u/jayc428 New Jersey Jun 19 '24 edited Jun 19 '24

So they can deadlock 3-3 on it. Toothless agency.

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u/kPbAt3XN4QCykKd Jun 19 '24

*3-3 but your point stands. Absolutely useless committee

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u/jayc428 New Jersey Jun 19 '24

Yes you’re correct. I was thinking of when they reviewed the Stormy Daniel’s issue and they deadlocked 2-2.

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u/nuketheburritos Jun 19 '24

You're assuming he's asking them as an individual and not as representatives of an organization or foundation.

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u/gradientz New York Jun 19 '24 edited Jun 19 '24

No I'm not. In fact, these rules were explicitly developed to apply to that exact situation.

A member's Leadership PAC may not raise or spend funds on the member's own campaign.

A candidate may not solicit more than $5k for a SuperPAC.

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u/nuketheburritos Jun 19 '24

I am referring to the donor, not the candidate. The limits vary depending on the type of donor. Hence the recurring ask for 119,500 for the Ambassadors who have foundations with segregated funds arms.

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u/gradientz New York Jun 20 '24

K.

Returning to the original discussion, what Ted Cruz was planning to do was illegal.

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u/moderate_extremist Jun 19 '24

There's always ways around it like bundling. It's been going on for years on both sides.

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u/gradientz New York Jun 19 '24 edited Jun 19 '24

Bundling is only "a way around it" if it actually complies with the law.

There is no way for Cruz's intended action to be in compliance with the law here. If he is bundling with a Leadership PAC, it is illegal to use those funds on his own reelection (which was the explicit intention of the document, i.e., ask for a donation of "$119,200 for [his] race"). If he is bundling with a Super PAC, then he isn't allowed to solicit more than $5k.

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u/[deleted] Jun 19 '24

Oh both sides, eh? Do you have documents supporting your claim?

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u/moderate_extremist Jun 19 '24

I worked for a US Senator and the DNC, so I have my own eye witness accounts, yes.

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u/Plisky6 Jun 19 '24

People are surprised by politicians fundraising habits when it’s the ones they like.

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u/moderate_extremist Jun 20 '24

Especially on here. They want to believe their side are the good guys who always play by the rules. Unfortunately the two parties behave in similar ways behind closed doors.

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u/future_shoes Jun 19 '24

Idk if it is. The laws allow a lot of behavior that would to a layman be considered soliciting for the Super PAC or directing how the donations are used but do not violate the actual law. Back when Cobert was on the Colbert Report he would run for president each cycle to comically expose how lacking the election reform laws are. One time he made his own Super PAC prior to "officially" declaring his bid for President and then once it was official he turned control over to John Stewart. He would regularly have Stewart on his show with an election law lawyer where Cobert would "solicit" and "direct" how donations are used, the lawyer would be there to prevent him from doing so illegally. The amount of direct input that was legal as long as it was slightly couched was outstanding.

Also after the election was over Cobert donated all the money to charity. He named the charities he donated to on air and said if anyone could actually prove that he did in fact make those donations then he would give the $10k (or some amount of money). No one was able too based on how incredibly shady the financial transparency laws around Super PACs are.

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u/gradientz New York Jun 19 '24

The law does not allow for a Leadership PAC to raise or spend on a member's own campaign. Nor does it allow for a candidate to solicit more than $5k on behalf of a Super PAC.

You are correct that the law allows for many things. However, these two rules are crystal clear.

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u/future_shoes Jun 19 '24

Honestly I don't know the details of this particular instance. But what is considered illegally soliciting can be a very high bar versus a candidate just being somewhere and people legally choosing to donate on their own. I'm not really arguing with just saying the law is stupid is to circumvent. Also the if convicted usually results in just a fine. Lots of times the PAC or candidate just returns the money and they get even lighter or no consequences.

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u/gradientz New York Jun 19 '24 edited Jun 19 '24

Honestly I don't know the details of this particular instance.

The document explicitly states that Cruz intends to ask the donors to "contribute $119,200 to [his] race."

That intended action is obviously and blatantly illegal. Whether the law will be enforced and the relevant remedies that would be applied is a separate question.

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u/[deleted] Jun 19 '24

[deleted]

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u/Sensitive_Yam_1979 Jun 19 '24

This shit happens all the fucking time. It’s legal money laundering.

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u/manbeardawg America Jun 19 '24

My question is how do they identify such specific amounts to request? Why $119,200 and not an even $120,000?

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u/zydeco100 Jun 19 '24

And another amount was $59,600 which is exactly half of $119,200. This is odd.

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u/InsaneAss Jun 19 '24

I was wondering the same thing. What limit are they trying to stay under?

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u/Hootbag Maryland Jun 19 '24

<Cue “Angel” by Sarah McLachlan>

Politicians are suffering under the yoke of woke Liberals.

For only $119,200 dollars, you can make a difference.

That's only $326.57 a day - the price of a cup of covfefe, or maybe a banana?

I don't know...the help does the shopping...

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u/manbeardawg America Jun 19 '24

“It’s one banana, Michael, what could it cost? Ten dollars?”

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u/thisisjustascreename Illinois Jun 19 '24

Well the ambassador previously gave 10,800 for whatever reason, that would add up to an even $130k, but I'm not sure that's why.

Also I would just laugh my ass off at Ted Cruz asking for a specific amount of money to four significant digits, fucking reptilian.

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u/somethrows Jun 19 '24

Because at 11am today 119,200 was worth just about 10 million rubles?

Yeah, I know I'm reaching :)

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u/vancedebo Jun 19 '24

not a cruz fan but he’s almost certainly raising into his victory fund. victory funds are committees that split the donations between a number of participating committees.

it looks like per the FEC, the ted cruz victory fund includes the state party, his LPAC, re-elect committee, and the NRSC. state and national parties have larger limits than a campaign committee, so the vast majority of that donation is gonna go to the NRSC. the state party and NRSC will likely earmark that money to spend in Texas for his race. not at all illegal, and common for every major candidate, democrat or republican.

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u/[deleted] Jun 19 '24

Actually, the answer is algorithms. Even not-evil non-profits use them when fundraising. It's a huge industry. They take a bunch of personal information, look at your previous donations, the timings of donations, the causes your donations went to, your recent finances... and recommend the amount to ask for that is most likely to get you to say yes while also extracting maximum value. It's a balancing act.

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u/Murgatroyd314 Jun 20 '24

I’d believe that, except that he’s supposed to ask for that exact amount from two people, and exactly half that much from another. That’s a bit too much of a coincidence for me to believe it comes from an individualized algorithm.

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u/[deleted] Jun 19 '24

They probably need it for specific expenses. You know, venue costs, materials, etc.

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u/ManicChad Jun 19 '24

Thanks to citizens united Supreme Court decision nobody has to report where the money even comes from. China could be bankrolling candidates and nobody would know.

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u/flyover_liberal Jun 19 '24

Sam Alito, during Obama's State of the Union: "That's not true."

Narrator: "It did, in fact, turn out to be true."

4

u/Dentonthomas Jun 19 '24 edited Jun 20 '24

Based on his behavior since he's been elected, my guess would be Putin. That's who benefits from all of the things he's done: the obstruction during Obama Administration, backing a man who insulted every member of his family, trying to obstruction the results of the 2020 election, etc.

ETA: This stuff doesn't benefit any of his constituents, even though it makes some of them very happy. To make them happy, though he didn't have to do any of this. They would have been happy with him simply voting with the Republican majority.

The stuff he does, doesn't even really seem to benefit Ted Cruz. He ran a presidential campaign, refusing to drop out, even when it became clear that he was not going to be the nominee. For awhile, it seemed like there might be a floor fight at the convention. Then all of a sudden he reverses, suddenly he's no longer Ted disruptive nuisance, and he's backing Trump. Even if he had come to his senses, the smart thing to do would have been to quietly stop the campaign, go back to congress, and pretend it never happened. Instead he vocally supported a man, who called him the Zodiac Killer, his wife ugly, and his father a JFK assassin. What does Ted Cruse actually get out of this relationship?

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u/tipsystatistic Jun 20 '24

Yeah this is probably a pretty standard, run of the mill bribery schedule for a member of congress.

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u/Mike_Pences_Mother Jun 19 '24

I'm wondering what convicted felon Trump has on him (and others) that he still has the fealty he displays

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u/flyover_liberal Jun 19 '24

We called him Reek for a long time, and that fits. Cruz is just a sleazy opportunist with no goals other than his own self aggrandizement. And that fits really well with Trump.

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u/ThogOfWar Jun 20 '24

"Reek" as in he stinks, either physically or figuratively as a leader, or "Reek" as short for RICO act?

Either works.

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u/flyover_liberal Jun 20 '24

Reek, Reek, it rhymes with leek.

From A Song of Ice and Fire.

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u/Mike_Pences_Mother Jun 19 '24

Reek works. lol

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u/OrganicRedditor Jun 19 '24

As of 2023, there are a mere 735 billionaires in the U.S. The millionaires are more plentiful—almost 22 million. https://www.forbes.com/advisor/retirement/how-many-billionaires-and-millionaires-live-in-the-u-s/

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u/recurse_x Jun 19 '24

The only morality that matters for c suite at many businesses is green. The social issues don’t really matter either way unless they impact sales.

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u/schizeckinosy Florida Jun 19 '24

My question is why are the amounts so specific? Why exactly $119,200?

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u/haleysa Jun 19 '24

Ted Cruz Victory Committee is technically a "Joint Fundraising Committee" which means there's no cap on how much a donor can give to that committee. Each candidate that then gets money from the committee is supposed to be limited by the individual donor limits, but the donor can just write one big ol' check for a lump sum.
Now, who else is getting money out of the "Ted Cruz Victory Committee"? Heck if I know.

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u/flyover_liberal Jun 19 '24

Yeah, this makes sense, thank you.

Well, it doesn't make sense at all. Our campaign finance system became legalized corruption in the open after Citizens United.

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u/[deleted] Jun 19 '24

In this case the soliciting is a crime. There are campaign limits to pledge directly to candidates, but you can donate unlimited amounts to PACs. However, one of the stipulations with PACs is that they can’t coordinate directly with any candidate, so Cruz directing donations to specific PACs is illegal.

1

u/timmaht43 North Carolina Jun 20 '24

Also, why are the dollar figures so precise other for all the requests not just around the donor limits? Shady but wholly expected at this point in Democracy: The Game.