The White House and President Joe Biden are facing scrutiny over millions of dollars’ worth of government contracts and loans going to big Democratic donors.
The Biden administration has established a pattern of doling out taxpayer money to businesses associated with donors, according to a group of House Republicans calling for more information about the White House’s process for awarding contracts.
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“Awarding lucrative government contracts to companies led by large Democratic donors is becoming a troubling Biden Administration pattern and raises questions about whether political contributions play a role in the decision to award federal taxpayer dollars,” reads a letter GOP members of the House Committee on Oversight and Reform sent to White House Office of Management and Budget Director Shalanda Young.
Much of the letter’s focus centers on Joe Kiani, the founder and CEO of a company called Masimo. Kiani was appointed to the President’s Council of Advisers on Science and Technology last September and has donated nearly $3 million to Biden and Democratic-aligned groups. His company has received close to $3 million in federal government contracts since January 2021 from agencies including the Department of Defense, Department of Health and Human Services, and Department of Veterans Affairs.
The White House did not respond to a request for comment.
Masimo received government contracts in previous presidential administrations but is on track to surpass that amount under Biden with Kiani now also serving on a White House board.
“Kiani has given more money to support President Biden than most Americans dream of having in their lifetimes,” South Carolina Rep. Ralph Norman said in a statement. “I’m determined to ensure this administration is not leveraging kickbacks in return for campaign financing.”
The letter also brought attention to Lukas Walton, the billionaire grandson of Walmart founder Sam Walton. Walton owns 4.9% of a solar firm that received a $500 million loan from the International Development Finance Institution. Walton donated $300,000 to Biden’s 2020 campaign and $100,000 to the Democratic National Committee in 2020.
The awarding of contracts and loans to Kiani and Walton “raise[s] questions as to whether the administration is playing favorites with political donors,” according to the letter sent to Young.
Biden has referred to Kiani as one of his closest friends and delivered the keynote speech at a 2015 event organized by him, reported the Washington Free Beacon in March.
The awarding of large government contracts is not out of the ordinary, especially if they weren’t no-bid contracts, says Colby College professor and former Democratic operative Sandy Maisel.
“They need to figure out how they’re given out,” Maisel said. “As far as I know, it’s what happens in every administration. The Republican administrations give out a lot of contracts as well.”
A source with the Oversight and Reform Committee Republicans said there wasn’t any evidence the contracts were no-bid.
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But conservative groups praised the moves and said the call is more than warranted.
“Between his personnel appointments, ambassador picks, and his administration’s suspicious government contracts, it is clear that Biden is rewarding his supporters with taxpayer money,” said Heritage Action spokeswoman Carson Steelman. “Biden’s moves represent the worst of the Washington swamp, and Congress is right to demand more transparency and accountability on behalf of the American people.”
