Citigroup and JPMorgan to resume campaign donations
WASHINGTON – Two major U.S. banks have said they will resume campaign donations from their Political Action Committee, but are divided over whether they will donate money to one of 147 Republican lawmakers who have voted to challenge the 2020 election results.
In a note to employees on Friday, Citigroup Inc.
said he would not ban donations to these Republicans, but would only give money to candidates who support a set of principles, such as protecting democratic institutions.
JPMorgan Chase & Co. has told employees it will not give money in the 2021-2022 election to Republicans who contested the election of President Joe Biden.
The announcements make Citigroup and JPMorgan two of the first major U.S. companies to announce that they will resume political donations since the cessation of contributions following the Jan.6 assault on the U.S. Capitol by a pro-Trump mob.
Citigroup and JPMorgan were among the first companies to say they would stop donating after the January 6 riot. Their decisions to resume political donations may prompt others to follow suit.
Citigroup told employees it would consider donating to those who meet five standards, including their relevance to Citi’s business, their “character and integrity” and their commitment to bipartisanship.
The company said it would “assess whether elected officials under consideration for contributions, including those who opposed the verification of the 2020 election, meet our criteria in the future.”
JPMorgan said he would not donate to the 147 Republicans who voted to challenge Mr Biden’s election because “it was a unique and historic time when we believe the country needs our elected officials. to put aside strongly entrenched differences and show unity, “according to a copy of the note reviewed by the Wall Street Journal.
“We will review this decision candidate by candidate after this election cycle,” the company said in the note, which was reported earlier by Reuters.
Days after supporters of former President Donald Trump stormed the Capitol, Citigroup and JPMorgan were among the first companies to announce that they would temporarily suspend their donations to the PAC to reassess their donation strategy.
Over the next few weeks, dozens of other companies followed suit. Some have chosen to put donations on hold for the remainder of the 2021-2022 election cycle and some have said they will no longer give money to Republicans who contested the election. Still other companies have closed their PACs entirely.
Corporate decisions to withhold donations have been widely criticized by Republican and Democratic lawmakers and may further erode U.S. corporate influence in Washington.
Republicans such as Republican House Leader Kevin McCarthy of California told corporate lobbyists at a recent GOP fundraising event in Florida that he was “fed up with this shit corporate alarm clock, ”according to people above the remark.
Mr McCarthy’s office did not immediately respond to a request for comment.
Mr McCarthy said he believes the Republican Party can raise more money from smaller individual donors, who tend to be more ideologically motivated, than corporate PACs.
Some Democrats, meanwhile, were unhappy that companies cut donations to all members of Congress. One is Rep. Sean Patrick Maloney (D., NY), the chairman of the political wing of the House Democrats. Mr Maloney said Democrats had done nothing wrong and shouldn’t be hurt politically.
“We find it offensive to be mistaken for the Republicans who voted to overturn the Electoral College results and who helped incite this crowd,” Maloney told the Journal earlier this year.
Corporate decisions to stop donating to some GOP lawmakers could accelerate a growing rift between the Republican Party and its former allies among U.S. business.
About 100 members of Congress received more than 40% of their campaign donations from industry PACs in the last election, according to a Wall Street Journal analysis.
If Republican lawmakers can’t rely on corporate PAC money to fund their campaigns, they might be less willing to support industry priorities in Washington, according to business lobbyists.
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