Chairmen Jordan and Comer Launch Inquiry into D.C. Attorney General's Politically Motivated Investigation of Leonard Leo
October 30, 2023
WASHINGTON, D.C. – Today, House Judiciary Committee Chairman Jim Jordan (R-OH) and House Oversight Committee Chairman James Comer (R-KY) sent a letter to Washington, D.C. Attorney General Brian Schwalb demanding information on his politically motivated investigation of Leonard Leo and certain nonprofit groups he is affiliated with.
Leonard Leo was baselessly accused of receiving "excessive payments for consulting and other services from the several conservative nonprofit groups" by the Campaign for Accountability with no evidence to substantiate the complaint. Now, he is being investigated by Attorney General Brian Schwalb even though he and the organizations with which he is affiliated are based outside of Washington, D.C.
Excerpts of the letter to Attorney General Brian Schwalb:
"The Committees on Judiciary and Oversight and Accountability are conducting oversight of the District of Columbia Office of Attorney General's reported effort to investigate Leonard Leo and certain nonprofit organizations with which he is affiliated. Given prior attempts by state attorneys general to target conservative nonprofits and their donors—and your apparent political motivations for investigating Mr. Leo—the Committees are concerned about potential infringement on free association and donor privacy. To ensure that these vital constitutional protections are being respected, the Committees are seeking additional information about your efforts and would appreciate your full cooperation with our inquiry. On March 1, 2023, Politico published an article accusing Mr. Leo of benefitting financially from the conservative nonprofits with which he is affiliated. Three weeks later, Campaign for Accountability—a progressive 'watchdog' organization with ties to liberal dark money—filed a complaint with the Internal Revenue Service (IRS), asking the agency to investigate these nonprofit organizations. The complaint alleged, without evidence, that Mr. Leo received excessive payments for consulting and other services from the several conservative nonprofit groups. Even Politico conceded that the complaint offered nothing more than speculation to support its accusations.
"In a press release announcing the complaint, the Campaign for Accountability also called on your office to 'pursue any appropriate enforcement actions.' Within months, the District of Columbia Office of Attorney General reportedly commenced its own investigation into Mr. Leo and several nonprofit organizations.
"The Committees are concerned that your office's investigation may be improper and politically motivated. First, it appears that your office does not have jurisdiction over this matter because Mr. Leo and the organizations with which he is affiliated are, according to publicly available information, based outside of Washington, D.C. Worse yet, the Committees are troubled that your investigation could infringe upon the fundamental rights of donor privacy and free association. The U.S. Supreme Court has repeatedly affirmed the associational and privacy rights of donors—including the right of Americans to donate anonymously—especially when these rights are threatened by attorneys general who target nonprofit organizations for political reasons. As Justice Harlan made clear in the seminal case on this issue:
'Effective advocacy of both public and private points of view, particularly controversial ones, is undeniably enhanced by group association, as this Court has more than once recognized by remarking upon the close nexus between the freedoms of speech and assembly. It is beyond debate that freedom to engage in association for the advancement of beliefs and ideas is an inseparable aspect of the ‘liberty’ assured by the Due Process Clause of the Fourteenth Amendment, which embraces freedom of speech.'
"There are serious problems occurring in Washington, D.C. that merit your attention, including the 27 percent increase in crime across all crime categories since last year Contributing to this increase is the alarming rise in crime committed by juvenile offenders. Instead of using your office's substantial resources to address these problems, however, your office has reportedly decided to dedicate those resources to a politically motivated probe that 'creates an unnecessary risk of chilling free speech.' The Committees will not tolerate any efforts to undermine donor privacy and chill association of American citizens.
"To assist the Committees in the conduct of our oversight duties, we ask that you provide the following documents and information as soon as possible but no later than 5:00 p.m. on November 13, 2023:
1. All documents and communications relating to your inquiry into Mr. Leo and nonprofit organizations affiliated with Mr. Leo, including but not limited to the (a) 85 Fund, (b) Rule of Law Trust, (c) Wellspring Committee, (d) the Concord Fund, (e) Federalist Society for Law & Public Policy Studies, (f) Freedom and Opportunity Fund, and (g) Marble Freedom Trust; and
2. All documents and communications between or among the District of Columbia Office of Attorney General and third-party groups—such as the Campaign for Accountability—referring or relating to Mr. Leo and organizations affiliated with Mr. Leo.
"Please treat these requests as continuing in nature and applicable to any information generated after receipt of this letter. In addition, please contact Committee staff no later than November 13, 2023, to schedule a briefing on the status and scope of your investigation."
Read the full letter to Attorney General Brian Schwalb here.
Leonard Leo was baselessly accused of receiving "excessive payments for consulting and other services from the several conservative nonprofit groups" by the Campaign for Accountability with no evidence to substantiate the complaint. Now, he is being investigated by Attorney General Brian Schwalb even though he and the organizations with which he is affiliated are based outside of Washington, D.C.
Excerpts of the letter to Attorney General Brian Schwalb:
"The Committees on Judiciary and Oversight and Accountability are conducting oversight of the District of Columbia Office of Attorney General's reported effort to investigate Leonard Leo and certain nonprofit organizations with which he is affiliated. Given prior attempts by state attorneys general to target conservative nonprofits and their donors—and your apparent political motivations for investigating Mr. Leo—the Committees are concerned about potential infringement on free association and donor privacy. To ensure that these vital constitutional protections are being respected, the Committees are seeking additional information about your efforts and would appreciate your full cooperation with our inquiry. On March 1, 2023, Politico published an article accusing Mr. Leo of benefitting financially from the conservative nonprofits with which he is affiliated. Three weeks later, Campaign for Accountability—a progressive 'watchdog' organization with ties to liberal dark money—filed a complaint with the Internal Revenue Service (IRS), asking the agency to investigate these nonprofit organizations. The complaint alleged, without evidence, that Mr. Leo received excessive payments for consulting and other services from the several conservative nonprofit groups. Even Politico conceded that the complaint offered nothing more than speculation to support its accusations.
"In a press release announcing the complaint, the Campaign for Accountability also called on your office to 'pursue any appropriate enforcement actions.' Within months, the District of Columbia Office of Attorney General reportedly commenced its own investigation into Mr. Leo and several nonprofit organizations.
"The Committees are concerned that your office's investigation may be improper and politically motivated. First, it appears that your office does not have jurisdiction over this matter because Mr. Leo and the organizations with which he is affiliated are, according to publicly available information, based outside of Washington, D.C. Worse yet, the Committees are troubled that your investigation could infringe upon the fundamental rights of donor privacy and free association. The U.S. Supreme Court has repeatedly affirmed the associational and privacy rights of donors—including the right of Americans to donate anonymously—especially when these rights are threatened by attorneys general who target nonprofit organizations for political reasons. As Justice Harlan made clear in the seminal case on this issue:
'Effective advocacy of both public and private points of view, particularly controversial ones, is undeniably enhanced by group association, as this Court has more than once recognized by remarking upon the close nexus between the freedoms of speech and assembly. It is beyond debate that freedom to engage in association for the advancement of beliefs and ideas is an inseparable aspect of the ‘liberty’ assured by the Due Process Clause of the Fourteenth Amendment, which embraces freedom of speech.'
"There are serious problems occurring in Washington, D.C. that merit your attention, including the 27 percent increase in crime across all crime categories since last year Contributing to this increase is the alarming rise in crime committed by juvenile offenders. Instead of using your office's substantial resources to address these problems, however, your office has reportedly decided to dedicate those resources to a politically motivated probe that 'creates an unnecessary risk of chilling free speech.' The Committees will not tolerate any efforts to undermine donor privacy and chill association of American citizens.
"To assist the Committees in the conduct of our oversight duties, we ask that you provide the following documents and information as soon as possible but no later than 5:00 p.m. on November 13, 2023:
1. All documents and communications relating to your inquiry into Mr. Leo and nonprofit organizations affiliated with Mr. Leo, including but not limited to the (a) 85 Fund, (b) Rule of Law Trust, (c) Wellspring Committee, (d) the Concord Fund, (e) Federalist Society for Law & Public Policy Studies, (f) Freedom and Opportunity Fund, and (g) Marble Freedom Trust; and
2. All documents and communications between or among the District of Columbia Office of Attorney General and third-party groups—such as the Campaign for Accountability—referring or relating to Mr. Leo and organizations affiliated with Mr. Leo.
"Please treat these requests as continuing in nature and applicable to any information generated after receipt of this letter. In addition, please contact Committee staff no later than November 13, 2023, to schedule a briefing on the status and scope of your investigation."
Read the full letter to Attorney General Brian Schwalb here.
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