DOJ investigating Postmaster General Louis DeJoy over former firm's political donations

The probe involves employee donations made when he was in the private sector.

June 3, 2021, 2:40 PM

A spokesperson for Postmaster General Louis DeJoy confirmed Thursday that the Justice Department is investigating the mail chief over reports that he improperly reimbursed employees at his former company for their personal political donations to Republican causes and candidates.

"Mr. DeJoy has learned that the Department of Justice is investigating campaign contributions made by employees who worked for him when he was in the private sector," Mark Corallo, a spokesperson for DeJoy, said in a statement to ABC News. "He has always been scrupulous in his adherence to the campaign contribution laws and has never knowingly violated them."

The Washington Post, which first reported the story, said FBI agents have interviewed current and former employees at New Breed Logistics, a North Carolina-based firm that DeJoy led before being tapped to lead the Postal Service in June of 2020 by then-President Donald Trump.

The U.S. Postal Service and Justice Department declined to comment.

DeJoy is no longer affiliated with New Breed Logistics or XPO, the company that bought New Breed in 2014.

PHOTO: United States Postal Service Postmaster General Louis DeJoy speaks during a House Oversight and Reform Committee hearing on Capitol Hill in Washington, D.C., Feb. 24, 2021.
United States Postal Service Postmaster General Louis DeJoy speaks during a House Oversight and Reform Committee hearing on Capitol Hill in Washington, D.C., Feb. 24, 2021.
Jim Watson, Pool/Reuters, FILE

The ongoing probe of DeJoy, who was once a Republican megadonor, was triggered by news reports late last year that described how DeJoy allegedly pressured former employees to donate to Republican campaigns and would then reimburse them through bonus payments. The Post cited former employees in their reporting.

DeJoy denied any claim of impropriety surrounding the alleged reimbursements during congressional testimony last year.

"Did you pay back several of your top executives for contributing to Trump's campaign by bonusing or rewarding them?" Rep. Jim Cooper, D-Tenn., asked during DeJoy's congressional appearance.

"That's an outrageous claim, sir, and I resent it," DeJoy fired back. "The answer is no."

Corallo said Thursday that "Mr. DeJoy fully cooperated with and answered the questions posed by Congress regarding these matters."

"He expects nothing less in this latest matter and he intends to work with DOJ toward swiftly resolving it," Corallo added.

When reports of the alleged reimbursements emerged last fall, they invited a torrent of scrutiny.

In addition to the House Oversight Committee announcing in September that it would investigate the bonuses and contributions, North Carolina Attorney General Josh Stein said that "it is against the law to directly or indirectly reimburse someone for a political contribution" and that "any credible allegations of such actions merit investigation by the appropriate state and federal authorities."

Before leaving office, Trump said he would be open to an investigation into DeJoy.

"Let the investigations go [forward]," Trump said. "But he's a very respected man."