“When it comes to our elections, the American people – not wealthy foreign donors – should decide the future direction of our country.”

As prepared for delivery.

“As the world’s leading democracy, America is an example for other nations to follow. Unfortunately, we are also a target for foreign actors seeking to influence and undermine our elections.

“Over the last year, as the Ways and Means Committee has been investigating concerns about the dangerous influence of foreign money in our elections. It has become clear that loopholes exist in our tax code that foreign donors are able to take advantage of, so they can influence the American electoral process.

“Under current law, foreign nationals are prohibited from making contributions directly to election campaigns. But there is nothing that prohibits overseas cash flowing from foreign nationals, including adversaries of the United States such as China, through tax-exempt organizations, and into the hands of Super PACs. 

“The Committee’s investigation discovered a particularly disturbing example: a foreign national from Switzerland has given over a hundred million dollars through his tax-exempt organization to Sixteen Thirty Fund, a 501(c)(4), which subsequently distributed $63 million to Super PACs to try and persuade the American voter. 

“According to The New York Times, the Sixteen Thirty Fund is a ‘leading vehicle’ for dark money on the left. 

“The American people shouldn’t be subjected to TV and digital ads financed by the Chinese Communist Party or other nations seeking to influence their vote or undermine our elections. I think we can all agree that our elections should be free of foreign interference. For my colleagues on the left who spent years talking about foreign election interference, this should be a no-brainer. If you care about our electoral process, making sure it is open and fair, then we need to make sure foreign money can’t drown out the voices of American voters.

“The legislation before us today sponsored by Rep. Malliotakis, the No Foreign Election Interference Act, was approved in May by the Ways and Means Committee thirty-nine to one. Her bill closes this loophole in the tax code by restricting tax-exempt organizations from donating to Super PACs after receiving foreign gifts or contributions. And it revokes the tax-exempt status for organizations who repeatedly violate this law. This bill is not aimed at program service revenue or member dues, but clearly focuses on contributions and gifts made to tax-exempt organizations that then make donations to Super PACs.

“When it comes to our elections, the American people – not wealthy foreign donors – should decide the future direction of our country. 

“I want to commend Representative Malliotakis for her leadership on this issue and I encourage all of my colleagues to vote yes on this bill so that we can maintain the integrity of our election system.”