Latest Developments:
- Potential for Sweeping FCPA Changes: President Trump has issued an executive order pausing enforcement of the Foreign Corrupt Practices Act on the grounds that current FCPA enforcement impedes the United States’ foreign policy objectives, therefore implicating the President’s Article II authority over foreign affairs; the order calls for “revised, reasonable enforcement guidelines” from the Justice Department that will not hamper American firms competing abroad. Reuters reports that in 2024, the Justice Department and the Securities Exchange Commission filed 26 FCPA-related enforcement actions, and at least 31 companies were under investigation by year end.
- Federal Judge Strikes Minnesota Foreign Influence Ban: In Minnesota Chamber of Commerce v. Choi, a federal judge has entered an order permanently enjoining the state from enforcing its “foreign-influenced corporation” provisions, which blocked any company or nonprofit with a foreign investor who holds 1% or more of shares from making donations in Minnesota elections.
- Trump Says FEC Chair Fired: The New York Times reports that Ellen Weintraub, the Democrat who has acted as commissioner of the Federal Election Commission since 2002, has received a letter from President Trump saying that she was “hereby removed” from the commission effective immediately, but Weintraub questions the validity of the letter because an FEC commissioner is removed only after a replacement is nominated by the president and confirmed by the Senate.
- Cooksey also Resigned from FEC: From the Hill, Sean Cooksey, a Trump-appointed commissioner on the Federal Election Commission, resigned on President Trump’s first day in office.
- Trump Fires Ethics Czar: CNN reports that President Trump fired David Huitema, the head of the Office of Government Ethics, on the same day that California Democratic Senator Adam Schiff had written to Huitema and White House chief of staff Susie Wiles, demanding information about whether tech billionaire Elon Musk was in compliance with federal conflict of interest and ethics laws.
- Resignations in the Wake of DOJ Order to Dismiss Mayor Adams’s Case: From Reuters, six DOJ officials, including two heading the Public Integrity Section and the Trump administration’s recent pick to temporarily lead the office prosecuting New York Mayor Eric Adams, have resigned in the face of a DOJ order that the investigation into Adams be dismissed on the rationale that the prosecution not hinder Adams’ ability to help Trump’s immigration crackdown. In our last edition, we noted the resignation of Corey Amundson, the DOJ’s senior career official in charge of overseeing public corruption.
Reminders:
- California’s Fair Political Practices Commission has updated its 2025-2026 limits, including on contributions to city and county candidates that do not have their own campaign finance limits. Local campaign finance limits are posted on the FFPC’s website.
- Other jurisdictions that have adjusted limits include: The Kentucky Registry of Election Finance, which has raised contribution limits to $2,200, an increase from the old limit of $2,100. The Illinois State Board of Elections has also increased contribution limits, such that the amount PACs are limited to contributing to any candidate committee, political party committee, legislative caucus committee, or PAC each election cycle increased from $68,500 to $72,800, with individual limits increased from $6,900 to $7,300 to any candidate committee; from $13,700 to $14,600 to any political party or legislative caucus committee; and from $13,700 to $14,600 to any PAC. The South Carolina Ethics Commission has announced the adjusted spending limits for lobbyist principals; the limits increased from $70 per day and $560 per year to $75 per day and $600 per calendar year.
In Case You Missed It:
- Greenland Bans Foreign Contributions after Trump Statements: The Washington Post reports that Greenland’s parliament passed a bill that bans political parties from receiving contributions “from foreign or anonymous contributors” after President Donald Trump expressed his wish that the United States take over the vast and mineral-rich Arctic island that belongs to Denmark.
- Trump Pardons Former Illinois Gov. Rod Blagojevich: From Politico, President Trump issued a full pardon for former Illinois Gov. Rod Blagojevich, who was convicted in 2011 on charges that included trying to sell or trade the appointment to the Senate seat that had been held by Barack Obama after he was elected president, and on charges of extorting a Chicago children’s hospital; there are indications that Blagojevich could be appointed as ambassador to Serbia.
- Former FDNY Chief Pleads Guilty: Tribune News Service reports that former Fire Department of New York Chief Anthony Saccavino pleaded guilty on Wednesday to conspiring to accept thousands of dollars in bribes for speeding up inspections for businesses with matters before the department; he must pay back the $57,000 bribes from the scheme, and he agreed not to fight any prison time of less than 60 months.
- Mayor Adams Faces Breach of Certification Finding: As reported by Politico, New York City Mayor Eric Adams has received a letter from the city’s Campaign Finance Board indicating that the deadline for completing its audit of Adams’s campaign is “suspended indefinitely” and that Adams might be found “in breach of certification,” the board’s most serious punishment.
- South Dakota Closes Loan Loophole: From the Argus Leader, the South Dakota Legislature has passed a bill that would prevent the ability to make unlimited campaign donations as long as the donation is categorized as a loan; the bill now awaits action by the Governor.