Democratic senators on Friday demanded information on more than a dozen critical mineral deals with the federal government that potentially benefit the families of President Donald Trump or Commerce Secretary Howard Lutnick, citing conflict of interest concerns.
The government is working on deals with at least 14 companies that have financial ties to the Trump or Lutnick families, the senators said, pointing to a New York Times investigation from June. The administration has provided or is considering providing more than $8.9 billion in funding to the companies, according to the Times.
In a letter to the Departments of Commerce, Defense, Energy, Interior and the Export-Import Bank, Senators Richard Blumenthal of Connecticut, Adam Schiff of California and Elizabeth Warren of Massachusetts asked the agencies to preserve all records and communications related to the deals. “It is especially important that federal investments meant to secure vital national security and economic interests like critical minerals are based on the merits, and that decisions to spend taxpayer dollars to secure these resources are made free of conflicts of interest,” they wrote.
The senators noted that Cantor Fitzgerald, the financial firm run by Lutnick’s sons, has frequently served as an advisor, underwriter or placement agent for the companies, according to the Times. The circumstances, they said, “suggest that those goals might not be at the forefront of the Administration’s considerations regarding these transactions.”
In a separate letter, the senators demanded information about White House involvement in the Pentagon’s selection of startup Vulcan Elements for a $620 million loan, citing a ProPublica investigation from May. Donald Trump Jr.’s financial firm 1789 Capital invested in Vulcan before the deal. “These reports raise grave ethical and public safety concerns and the specter that the Pentagon is corruptly prioritizing funding for critical defense components based on ties to the Trump family,” the senators told David Lorch, director of the Pentagon’s Office of Strategic Capital.
The White House pushed back. “The only special interest guiding the Trump administration’s decision-making is the best interest of the American people,” White House spokesman Kush Desai said. “Securing and reshoring America’s critical supply chains has been a top priority for President Trump, and Secretary Lutnick along with the rest of the Administration continue to take historic action to safeguard America’s national and economic security.”
The companies named in the letter include USA Rare Earth, Kaz Resources, Perpetua Resources, ASP Isotopes, Critical Metals, Vulcan Elements, The Metals Company, Trilogy Metals, American Ocean Minerals, Guardian Metal Resources, Titan Mining, Westwater Resources, Reelement/American Resources Corp. and Energy Fuels.
The letters escalate congressional scrutiny of an administration priority, the reshoring of critical mineral supply chains, at a time when Washington is competing with China for access to rare earths and other materials used in defense and clean energy technology. The senators’ demands could set up a broader investigation if Democrats gain oversight leverage after the November midterms.
Sources: CNBC, Crypto Briefing
Author: USA Desk
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