Source: Politics<\/p>\n
Donald Trump has reshaped the Republican Party to embrace a brand of populism that prioritizes its working-class base and is at least outwardly skeptical of corporate power.<\/p>\n
But since his second election last month, Trump has leaned heavily on aides and Cabinet picks who share a distinctive characteristic with him: wealth from complex business entanglements.<\/p>\n
Trump has appointed a raft of rich business people and investors \u2014 including several billionaires and multiple Wall Street executives with complex financial interests \u2014 to fill out top roles in his administration, raising a vast array of potential conflicts of interest that could span the federal government and complicate Senate confirmations.<\/p>\n
The billionaires set to join the second Trump administration include Howard Lutnick, a Wall Street CEO who Trump tapped to be Commerce secretary; Warren Stephens, the CEO of an Arkansas financial services firm who he picked to be ambassador to the United Kingdom; presumptive NASA administrator nominee Jared Isaacman; and deputy Defense secretary Steve Feinberg.<\/p>\n
\u201cIt opens up the door for there being a lot more possible conflicts of interest because their personal wealth is so vast,\u201d said Delaney Marsco, director of ethics at the Campaign Legal Center.<\/p>\n
The potential for conflicts cover a wide variety of industries from health and defense to the financial and cryptocurrency sectors.<\/p>\n
The selections exemplify how Trump\u2019s brand of economic populism has still carved out room for the ultra-wealthy. Despite running as a critic of corporate power and economic elites, several of the people Trump has chosen and considered for top roles come from backgrounds in business and finance.<\/p>\n
With so many nominees presenting such conflicts of interest \u2014 and the general indifference from both Trump and his supporters \u2014 the ho-hum response to a new administration populated with so many ultra-wealthy picks is yet another example of how Trump has shattered the Overton window on ethics.<\/p>\n
Morgan Ackley, a spokeswoman for the transition team, defended Trump\u2019s appointments and said delivering on the campaign\u2019s promises means \u201cappointing respected professionals and industry leaders to usher America into a new Golden Age. These highly qualified men and women have the talent, experience, and necessary skill sets to Make America Great Again.”<\/p>\n
To be sure, the president-elect is expected to pursue policies from trade to labor to antitrust that align with the populist vision he ran on. Some selections \u2014 like presumptive Labor secretary nominee Lori Chavez-DeRemer, who is seen as an ally to unions \u2014 represent shifts from the pre-Trump GOP orthodoxy.<\/p>\n
The wealthy picks and their potential conflicts have become an early focus for the left, including Democratic lawmakers who are fighting the nominees.<\/p>\n
One target: Trump\u2019s pick to run Medicare and Medicaid, heart surgeon and TV personality Dr. Mehmet Oz. Democrats argued in a letter Tuesday<\/a> to Oz that he has many conflicts of interest, including \u201cdeep financial ties to private health insurers\u201d \u2014 documented in the disclosures he filed in his failed 2022 Pennsylvania Senate bid \u2014 and \u201cprevious advocacy for Medicare privatization.\u201d The lawmakers asked him to provide assurances that he will \u201ccommit to fully divesting of any and all financial holdings related to the insurance industry if you are confirmed.\u201d<\/p>\n Trump\u2019s economic picks are also expected to face scrutiny. Sen. Elizabeth Warren (D-Mass.), who is poised to become<\/a> the top Democrat on the Senate Banking Committee, has criticized Treasury pick Scott Bessent, a hedge fund executive, as having \u201cexpertise [in] helping rich investors make more money, not cutting costs for families squeezed by corporate profiteering.\u201d<\/p>\n Lutnick, the Commerce pick who also co-chairs the Trump transition team, has said he will step down from his companies and divest his interests upon Senate confirmation. He has close ties<\/a> through his firm Cantor Fitzgerald to a controversial foreign cryptocurrency firm called Tether. The connection could become a focus given Trump\u2019s pledge to overhaul crypto regulations<\/a> in his second term. <\/p>\n And then there\u2019s Elon Musk, the world\u2019s richest man with a net worth now estimated at more than $400 billion, who could have an opportunity to shape regulations, contracts and budgets in a way that benefits his own interests. Because his Department of Government Efficiency, or DOGE, will be set up outside of the federal government, the Tesla, SpaceX and Starlink CEO won\u2019t be subject to conflict of interest laws. But by deploying his own wealth to serve as the president\u2019s political enforcer, Musk may be able to maintain his proximity to the president for some time \u2014 and to push policies that could improve his own bottom line.<\/p>\n Still, while several of Trump\u2019s picks are facing questions about whether they can be confirmed by a GOP Senate that includes several moderates who will be up for reelection in 2026, conflict of interest issues haven\u2019t been a major focus.<\/p>\n Sen. Mike Rounds, a moderate Republican from South Dakota who is seen as a swing vote on some controversial nominees, said Trump\u2019s wealthy picks \u201chave been successful and they have a different way of looking at things outside of government.\u201d<\/p>\n \u201cThe founding fathers wanted folks coming from the business communities to be a part of this process, and that\u2019s healthy,\u201d he said. \u201cYou want individuals that get it from the inside, that understand it, and can see what\u2019s going on in the industry. So no, I don\u2019t have a concern in that regard.\u201d<\/p>\n Like this content? Consider signing up for POLITICO\u2019s West Wing Playbook newsletter.<\/p>\n