- A report published by The Daily Beast Thursday alleges that Rep. Matt Gaetz (R-Fl.) sent $900 through Venmo to accused sex trafficker Joel Greenberg, who then used the funds to pay three young women, including one teenager.
- Gaetz is currently under federal investigation as part of a broader inquiry into Greenberg, a former politician who has been charged with 33 counts, including sex trafficking an underage girl.
- Investigators are reportedly looking into the involvement of politicians with women who were recruited online for sex and paid in cash, as well as whether Gaetz had sex with a 17-year-old girl and violated sex trafficking laws by paying for her to travel with him.
- Greenberg’s lawyer did not comment on the new allegations but said Thursday his client would soon enter a plea deal and implied that Greenberg would testify as a witness against Gaetz. Meanwhile, Gaetz has accused The Daily Beast of spreading “rumors, gossip and self-serving misstatements.”
Gaetz’s Alleged Venmo Payments
Rep. Matt Gaetz (R-Fl.) allegedly sent money via Venmo to accused sex trafficker Joel Greenberg, who then used the money to pay three young women, including at least one teenage girl, according to a new report from The Daily Beast.
Greenberg, a former local Flordia politician and an associate of Gaetz, was indicted last summer on 33 counts, including sex trafficking a 17-year-old girl. He initially pleaded not guilty to the charges, but his lawyers said in court Thursday that he would plead guilty as part of a plea deal.
Legal experts say the move almost certainly indicates that Greenberg plans to cooperate as a witness against Gaetz, who is currently under investigation by the Justice Department as part of a broader probe into Greenberg.
According to The New York Times, among other things, the DOJ inquiry is looking into their involvement with multiple women who were recruited online for sex and paid cash, as well as whether Gaetz had a sexual relationship with a 17-year-old girl and paid for her to travel with him in violation of sex trafficking laws.
Investigators reportedly believe that Greenberg met the women through a website for people willing to go on dates in exchange for gifts and money, and then arranged for them to meet with himself and associates including Gaetz, The Times reported.
The new report from The Daily Beast, published Thursday, appears to support this narrative. According to the outlet, which viewed the transactions before they were made private this week, Gaetz sent Greenberg two late-night Venmo payments totaling $900 in May 2018.
In the text field of the first payment, Gaetz wrote “Test.” In the second, he asked Greenberg to “hit up” a teenager who he allegedly referred to by her nickname. The Daily Beast did not publish the name of the girl “because the teenager had only turned 18 less than six months before.”
The next morning, Greenberg transferred a total of $900 to three different young women using the same app.
One of the transfers was titled “Tuition,” and the other two were both listed as “School.” The Daily Beast also said it was able to obtain “partial records” of Greenbergs Venmo, which is not publicly available.
Those records, the outlet reported, show that the two men are connected through Venmo to at least one other woman who Greenberg paid with a government-funded credit card, and at least two other women who received payments from Greenberg.
Gaetz, for his part, has not directly addressed the latest allegations. A representative from the Logan Circle Group, an outside PR firm, provided The Daily Beast with a statement from the congressman.
“The rumors, gossip and self-serving misstatements of others will be addressed in due course by my legal team,” the statement said, with the firm also informing the outlet that their lawyers would be “closely monitoring your coverage.”
Greenberg’s defense attorney, Fritz Scheller, also declined requests to comment, but during a press conference Thursday, he implied that the plea deal his client is expected to accept spelled trouble for Gaetz.
“I’m sure Matt Gaetz is not feeling very comfortable today,” Scheller said.
The Daily Beast story also comes amid reports that that the FBI has widened its probe of Gaetz. According to The Times, sources familiar with the inquiry have said investigators are also looking into a trip he took to the Bahamas with other Florida Republicans and several women.
Sources said the trip took place shortly after Gaetz was elected to Congress in 2016, and that the FBI has already questioned witnesses about whether the women had sex with the men in exchange for money and free travel.
It is illegal to trade sex for something of value if prosecutors can provide the exchange involved force, fraud, or coercion.
The Times also reported that investigators are now additionally looking into Gaetz’s alleged involvement in discussions to run a third-party candidate in a State Senate race to make it easier for an associate of his who was running for the seat to win.
The act of recruiting so-called “ghost candidates” who run for office purely to divert votes from one candidate is not usually illegal. However, paying a ghost candidate is normally considered a violation of campaign finance laws.
See what others are saying: (The Daily Beast) (The New York Times) (The Hill)
Jan. 6 Rally Organizers Say They Met With Members of Congress and White House Officials Ahead of Insurrection
Two sources told Rolling Stone that they participated in “dozens” of meetings with “multiple members of Congress” and top White House aides to plan the rallies that proceeded the Jan. 6 insurrection.
Rolling Stone Report
Members of Congress and White House Staffers under former President Donald Trump allegedly helped plan the Jan. 6 protests that took place outside the U.S. Capitol ahead of the insurrection, according to two sources who spoke to Rolling Stone.
According to a report the outlet published Sunday, the two people, identified only as “a rally organizer” and “a planner,” have both “begun communicating with congressional investigators.”
The two told Rolling Stone that they participated in “dozens” of planning briefings ahead of the protests and said that “multiple members of Congress were intimately involved in planning both Trump’s efforts to overturn his election loss and the Jan. 6 events that turned violent.”
“I remember Marjorie Taylor Greene specifically,” the person identified as a rally organizer said. “I remember talking to probably close to a dozen other members at one point or another or their staffs.”
The two also told Rolling Stone that a number of other Congress members were either personally involved in the conversations or had staffers join, including Representatives Paul Gosar (R-Az.), Lauren Boebert (R-Co.), Mo Brooks (R-Al.), Madison Cawthorn (R-N.C.), Andy Biggs (R-Az.), and Louie Gohmert (R-Tx.).
The outlet added that it “separately obtained documentary evidence that both sources were in contact with Gosar and Boebert on Jan. 6,” though it did not go into further detail.
A spokesperson for Greene has denied involvement with planning the protests, but so far, no other members have responded to the report.
Previous Allegations Against Congressmembers Named
This is not the first time allegations have surfaced concerning the involvement of some of the aforementioned congress members regarding rallies that took place ahead of the riot.
As Rolling Stone noted, Gosar, Greene, and Boebert were all listed as speakers at the “Wild Protest” at the Capitol on Jan. 6, which was arranged by “Stop the Steal” organizer Ali Alexander.
Additionally, Alexander said during a now-deleted live stream in January that he personally planned the rally with the help of Gosar, Biggs, and Brooks.
Biggs and Brooks previously denied any involvement in planning the event, though Brooks did speak at a pro-Trump protest on Jan. 6.
Gosar, for his part, has remained quiet for months but tagged Alexander in numerous tweets involving Stop the Steal events leading up to Jan. 6, including one post that appears to be taken at a rally at the Capitol hours before the insurrection.
Notably, the organizer and the planner also told Rolling Stone that Gosar “dangled the possibility of a ‘blanket pardon’ in an unrelated ongoing investigation to encourage them to plan the protests.”
Alleged White House Involvement
Beyond members of Congress, the outlet reported that the sources “also claim they interacted with members of Trump’s team, including former White House Chief of Staff Mark Meadows, who they describe as having had an opportunity to prevent the violence.”
Both reportedly described Meadows “as someone who played a major role in the conversations surrounding the protests.”
The two additionally said Katrina Pierson, who worked for the Trump campaign in both 2016 and 2020, was a key liaison between the organizers of the demonstrations and the White House.
“Katrina was like our go-to girl,” the organizer told the outlet. “She was like our primary advocate.”
According to Rolling Stone, the sources have so far only had informal talks with the House committee investigating the insurrection but are expecting to testify publicly. Both reportedly said they would share “new details about the members’ specific roles” in planning the rallies with congressional investigators.
See what others are saying: (Rolling Stone) (Business Insider) (Forbes)
Jan. 6 Committee Prepares Criminal Charges Against Steve Bannon for Ignoring Subpoena
The move comes after former President Trump told several of his previous aides not to cooperate with the committee’s investigation into the insurrection.
Bannon Refuses to Comply With Subpoena
The House committee investigating the Jan. 6 insurrection announced Thursday that it is seeking to hold former White House advisor Steve Bannon in criminal contempt for refusing to comply with a subpoena.
The decision marks a significant escalation in the panel’s efforts to force officials under former President Donald Trump’s administration to comply with its probe amid Trump’s growing efforts to obstruct the inquiry.
In recent weeks, the former president has launched a number of attempts to block the panel from getting key documents, testimonies, and other evidence requested by the committee that he claims are protected by executive privilege.
Notably, some of those assertions have been shut down. On Friday, President Joe Biden rejected Trump’s effort to withhold documents relating to the insurrection.
Still, Trump has also directed former officials in his administration not to comply with subpoenas or cooperate with the committee.
That demand came after the panel issued subpoenas ordering depositions from Bannon and three other former officials: Chief of Staff Mark Meadows, Deputy Chief of Staff Dan Scavino, and Pentagon Chief of Staff Kash Patel.
After Trump issued his demand, Bannon’s lawyer announced that he would not obey the subpoena until the panel reached an agreement with Trump or a court ruled on the executive privilege matter.
Many legal experts have questioned whether Bannon, who left the White House in 2017, can claim executive privilege for something that happened when he was not working for the executive.
Panel Intensifies Compliance Efforts
The Thursday decision from the committee is significant because it will likely set up a legal battle and test how much authority the committee can and will exercise in requiring compliance.
It also sets an important precedent for those who have been subpoenaed. While Bannon is the first former official to openly defy the committee, there have been reports that others plan to do the same.
The panel previously said Patel and Meadows were “engaging” with investigators, but on Thursday, several outlets reported that the two — who were supposed to appear before the body on Thursday and Friday respectively — are now expected to be given an extension or continuance.
Sources told reporters that Scavino, who was also asked to testify Friday, has had his deposition postponed because service of his subpoena was delayed.
As far as what happens next for Bannon, the committee will vote to adopt the contempt report next week. Once that is complete, the matter will go before the House for a full vote.
Assuming the Democratic-held House approves the contempt charge, it will then get referred to the U.S. Attorney for the District of Columbia to bring the matter before a grand jury.
See what others are saying: (CNN) (The Washington Post) (Bloomberg)
Senate Votes To Extend Debt Ceiling Until December
The move adds another deadline to Dec. 3, which is also when the federal government is set to shut down unless Congress approves new spending.
Debt Ceiling Raised Temporarily
The Senate voted on Thursday to extend the debt ceiling until December, temporarily averting a fiscal catastrophe.
The move, which followed weeks of stalemate due to Republican objections, came after Senate Minority Leader Mitch McConnell (R-Ky.) partially backed down from his blockade and offered a short-term proposal.
After much whipping of votes, 11 Republicans joined Democrats to break the legislative filibuster and move to final approval of the measure. The bill ultimately passed in a vote of 50-48 without any Republican support.
The legislation will now head to the House, where Majority Leader Steny Hoyer (D-Md.) said members would be called back from their current recess for a vote on Tuesday.
The White House said President Joe Biden would sign the measure, but urged Congress to pass a longer extension.
“We cannot allow partisan politics to hold our economy hostage, and we can’t allow the routine process of paying our bills to turn into a confidence-shaking political showdown every two years or every two months,’’ White House Press Secretary Jen Psaki said in a statement.
Under the current bill, the nation’s borrowing limit will be increased by $480 billion, which the Treasury Department said will cover federal borrowing until around Dec. 3.
The agency had previously warned that it would run out of money by Oct. 18 if Congress failed to act. Such a move would have a chilling impact on the economy, forcing the U.S. to default on its debts and potentially plunging the country into a recession.
Major Hurdles Remain
While the legislation extending the ceiling will certainly offer temporary relief, it sets up another perilous deadline for the first Friday in December, when government funding is also set to expire if Congress does not approve another spending bill.
Regardless of the new deadline, many of the same hurdles lawmakers faced the first time around remain.
Democrats are still struggling to hammer out the final details of Biden’s $3.5 trillion spending agenda, which Republicans have strongly opposed.
Notably, Democratic leaders previously said they could pass the bill through budget reconciliation, which would allow them to approve the measure with 50 votes and no Republican support.
Such a move would require all 50 Senators, but intraparty disputes remain over objections brought by Joe Manchin (D-W.V.) and Kyrsten Sinema (D-Az.), who have been stalling the process for months.
Although disagreements over reconciliation are ongoing among Democrats, McConnell has insisted the party use the obscure procedural process to raise the debt limit. Democrats, however, have balked at the idea, arguing that tying the debt ceiling to reconciliation would set a dangerous precedent.
Despite Republican efforts to connect the limit to Biden’s economic agenda, raising the ceiling is not the same as adopting new spending. Rather, the limit is increased to pay off spending that has already been authorized by previous sessions of Congress and past administrations.
In fact, much of the current debt stems from policies passed by Republicans during the Trump administration, including the 2017 tax overhaul.
As a result, while Democrats have signaled they may make concessions to Manchin and Sinema, they strongly believe that Republicans must join them to increase the debt ceiling to fund projects their party supported.
It is currently unclear when or how the ongoing stalemate will be resolved, or how either party will overcome their fervent objections.