Trump populated his Cabinet with affluent advisors, several of whom may reap additional profits from recent policy changes.
In the initial three months of his presidency, Donald Trump orchestrated a Cabinet of energy and banking titans, who have since been boosting their respective industries. Simultaneously, they've dismantled age-old protective measures against government corruption, creating a field day for conflicts of interest and a smooth transition between the public and private sectors.
CNN scrutinized Trump's actions as he approached the 100-day mark of his presidency, establishing that his administration's dismantling of traditional oversight bodies, combined with embracing lax ethics rules, has facilitated conflicts of interest and the revolving door between the government and private sector. The analysis by watchdog Campaign Legal Center, reviewed by CNN, revealed that at least eight nominees for executive branch positions would have been banned or had limited roles under previous administrations - including Trump's first term - due to their recent work as lobbyists.
Some conflicts have emerged in plain sight. Last month, the White House lawn played host to an elaborate advertising spectacle featuring Tesla, a company co-led by key adviser and top donor Elon Musk. The administration has also cleared the way for Musk's Starlink business to secure new government contracts.
However, for the most part, potential conflicts are buried deep in Cabinet members' ethics reports. For instance, Energy Secretary Chris Wright, a fracking company founder and co-leader, is set to receive a $1 million bonus after his swearing-in. Commerce Secretary Howard Lutnick, of Cantor Fitzgerald, has assigned control of his financial services firm to his 27-year-old son, while Health and Human Services Secretary Robert F. Kennedy Jr. will give his interest in vaccine-related litigation to his adult son.
Moreover, Trump's policies could help his business interests, such as establishing a strategic Bitcoin reserve, which reinforces the value of cryptocurrencies, with some holders being major donors. Trump and his family have been expanding their crypto interests as well. In fact, Trump's promise to some meme coin top owners of a chance to dine with the president next month resulted in a soaring value for the coin.
While many of Trump's early actions correspond to long-held Republican priorities, such as reducing spending and eliminating government inefficiency, his moves closely align with the financial interests of his advisers and the president himself in areas ranging from cryptocurrency and energy policies to rural internet access. Critics argue that Trump demonstrates an indifference to ethics, with Briffault, a Columbia University law professor who studies government ethics, likening the situation to pre-Watergate times.
Trump hastily tore down ethics rules imposed after the Watergate scandal, including firing more than a dozen inspectors general, dismissing the head of the government's ethics watchdog, and signing an order making it easier for lobbyists to work in government agencies. In the wake of these moves, the United States has witnessed a dismantling of its "ethics infrastructure" in under 90 days.
The Trump administration's impressive wealth dwarfs that of other Cabinets stretching back decades. Of 21 Cabinet members, seven hold at least $10 million in assets, with some being billionaires. In other words, these rich appointees come straight from positions of power in key industries.
Trump's followers claim these wealthy appointees' industry expertise helps them better comprehend the fields they regulate. Nevertheless, ethics watchdogs worry that actions undertaken by these connected officials benefit former companies and colleagues rather than the American public. For instance, the administration's moves could particularly benefit the ultra-wealthy, as evidenced by Musk's Department of Government Efficiency's dismantling of the Internal Revenue Service unit responsible for auditing America's wealthy elite.
- The CNN analysis suggested that Donald Trump's administration, in its first three months, probably weakened traditional oversight bodies and embraced lax ethics rules, crediting conflicts of interest and the revolving door between the government and private sector.
- At least eight nominees for executive branch positions would have been banned or had limited roles under previous administrations, according to the review by the Campaign Legal Center, due to their recent work as lobbyists.
- Potential conflicts are often buried deep in Cabinet members' ethics reports, as exemplified by Energy Secretary Chris Wright, who is set to receive a $1 million bonus after his swearing-in, and Commerce Secretary Howard Lutnick, who has assigned control of his financial services firm to his 27-year-old son.
- The administration's policies could help Trump's business interests, such as establishing a strategic Bitcoin reserve and strengthening the value of cryptocurrencies, with some holders being major donors.
- Critics contend that Trump demonstrates an indifference to ethics, with his actions strikingly reminiscent of pre-Watergate times, and his moves to dismantle ethics rules and dissolve protective measures against government corruption have likely benefited the ultra-wealthy, including Musk's Department of Government Efficiency's dismantling of the Internal Revenue Service unit responsible for auditing America's wealthy elite, making general-news and crime-and-justice headlines.