DJT Jr. and Eric’s Defense Portfolio Pumped Up by Trump Admin Spending

Corruption

Jul 13

NEWS & RESEARCH

Since Donald Trump’s reelection, his sons, Don Jr. and Eric, have amassed a portfolio of over a dozen defense technology startups through investment firms like 1789 Capital and American Ventures. The Trump sons are profiting off defense company investments affected by their father’s policies in office. A Washington Post analysis reveals that these companies—ranging from major players like SpaceX and Anduril to smaller drone and robotics startups—have collectively secured at least $3.2 billion in direct government business and an additional $3.1 billion in future options.Body text

SOURCES: Washington Post | MS NOW | New York Magazine

ANALYSIS & OPINION

The White House maintains there are no conflicts of interest, but ethics watchdogs warn that these investments undermine public confidence in the federal contracting process, noting instances where backed companies received fast-tracked Pentagon loans or benefited directly from administration policies like banning Chinese drone imports. Furthermore, the Trump brothers have leveraged their close access to the administration to influence Department of Defense personnel and messaging, raising significant concerns among experts regarding transparency, oversight, and potential financial profiting from the country's highest office.

SOURCES: NPR | The New Republic | The Hill

HOW TO FIX IT

Federal action:

Pass comprehensive conflict-of-interest legislation that closes existing gaps to: (1) Require the president, vice president, and their immediate families to disclose and divest conflicting financial interests, as the Presidential Conflicts of Interest Accountability Act proposes—closing the loophole that exempts the president from the federal conflict-of-interest statute (18 U.S.C. § 208) that binds nearly all other executive branch employees; (2) Define "relatives" broadly to include adult children, siblings, and in-laws, as the bipartisan Presidential Ethics Reform Act of 2024 did; and (3) Extend these rules to Cabinet secretaries and agency heads and enforce them with civil and criminal penalties—not just disclosure requirements.
Support the the Ranking Member of the House Committee on Oversight and Government Reform, Robert Garcia, who has formally demanded DoD watchdog investigations into defense contracts and loans awarded to companies affiliated with Trump’s sons.
Support Senate Armed Services Committee members Elizabeth Warren and Richard Blumenthal who are probing the precise terms of contracts awarded to companies tied to Trump’s sons and potential conflicts of interest.

Legislation: H.R.7207 - Presidential Conflicts of Interest Accountability Act | H.R. 8489 - Presidential Ethics Reform Act