On April 24, 2025, a memorandum was issued by President Donald J. Trump directing an investigation into unlawful political contributions, specifically addressing the issues of 'straw donors' and foreign contributions in American elections. Federal law, as outlined in 52 U.S.C. 30121 and 30122, prohibits political contributions made in the name of another person and contributions from foreign nationals.

Recent reports and congressional investigations have raised significant concerns regarding the involvement of online fundraising platforms in schemes that may facilitate the laundering of excessive and prohibited contributions to political candidates and committees. These reports suggest that certain actors are attempting to circumvent federal contribution limits by fragmenting large donations into smaller amounts attributed to multiple individuals, potentially without their consent or knowledge.

Additionally, there are indications that these 'straw donations' may be processed through 'dummy' accounts, utilizing gift cards or prepaid credit cards to avoid detection. A recent investigation by the House of Representatives highlighted that the platform ActBlue identified at least 22 significant fraud campaigns in recent years, with nearly half linked to foreign entities. During a 30-day period in the 2024 campaign, ActBlue recorded 237 donations from foreign IP addresses using prepaid cards, underscoring the ongoing nature of this issue.

The memorandum instructs the Attorney General, in collaboration with the Secretary of the Treasury, to utilize all lawful authority to investigate these allegations and to enforce compliance with the law. A report on the investigation's findings is to be submitted to the President within 180 days. The memorandum clarifies that it does not create any enforceable rights or benefits for any party against the United States or its entities.