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Trump using 'dark money' for govt handover, hasn't signed formal transition agreements

FP Staff November 25, 2024, 11:38:07 IST

US President-elect Donald Trump has not yet signed any agreement for the handover of the government, which means that he is running transition efforts with unregulated ‘dark money’ and his appointees don’t have any security vetting or security clearance

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Republican presidential nominee and former US President Donald Trump speaks at the Bitcoin 2024 event in Nashville, Tennessee, US, July 27, 2024. File Image/Reuters
Republican presidential nominee and former US President Donald Trump speaks at the Bitcoin 2024 event in Nashville, Tennessee, US, July 27, 2024. File Image/Reuters

US President-elect Donald Trump has not signed yet signed agreements regarding the formal transition of power and continues to use ‘dark money’ for the handover of the government.

Under the Presidential Transition Act, the president-elect is entitled to a certain sum for the transition of power from the General Services Administration (GSA). In lieu of that sum, caps are introduced on their transition team’s fund-raising to ensure no donor can influence them. Trump has, however, so far refused to avail that government fund and has continued to use ‘dark money’ for transition efforts.

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In addition to the agreement with the GSA, the Trump transition team has also not signed agreements with the Department of Justice (DoJ) and White House. This is a break from previous instances when such agreements were signed well before the Election Day.

Why is Trump’s use of ‘dark money’ concerning?

Until Trump signs the agreement with the GSA, he can raise unlimited ‘dark money’ in the name of transition anonymously.

By not signing the agreement, Trump can raise unlimited funds from donors he does not have to disclose. This means that any business, interest group, lobbyist, or even foreign power can donate to Trump to influence him without any possibility of disclosure.

If Trump would have signed the agreement with the GSA, the transition team would have got $7.2 million to pay for the staff, travel, equipment, office space, etc. involved in the handover of the government and, in lieu of the sun, the transition team would be barred from taking dark donations and required to cap individual contributions at $5,000 and disclosing the names of doners, according to The New York Times.

Unlike election campaign, foreign nationals can donate to transition efforts. This is problematic in Trump’s case as he has been friendly to Russia, one of the two main US adversaries, for a long time and Russia-aligned interest groups can now essentially funnel money into his war chest with no oversight to influence him. His cabinet is also packed with pro-Russia figures like Vice President-elect JD Vance and Director of National Intelligence (DNI)-designate Tulsi Gabbards.

Trump hasn’t signed pacts for security clearances

The Trump transition team has not signed separate agreements with the DoJ and White House that are required for security clearances and access.

The agreement with the DoJ is required for the vetting of appointees by the Federal Bureau of Investigation (FBI) so they could have appropriate security clearances.

The agreement with the White House is required so the appointees can gain physical access and classified information the Inauguration on January 20.

The Trump transition team, led by Linda McMahon and Howard Lutnick, has repeatedly said it intends to sign the agreements with these agreements, but the delay is remarkable as such agreements have previously been signed by September and October.

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Trump and his Chief of Staff Susie Wiles have met outgoing President Joe Biden and his Chief of Staff Jeff Zients, who assured a smooth transition of power. Other Trump appointees, such as National Security Advisor Mike Waltz, have also met the outgoing NSA Jake Sullivan as part of the transition efforts.

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