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Congressman Krishnamoorthi Writes To Office Of Government Ethics Regarding USPS Oversight Of Postmaster General DeJoy’s Potential Conflicts Of Interest

August 25, 2020

SCHAUMBURG, IL – Today, Congressman Raja Krishnamoorthi wrote to the Office Of Government Ethics (OGE) regarding the potential failures of the USPS Ethics Office to fully address Postmaster General Louis DeJoy's potential conflicts of interest based on his substantial investment portfolio because, as OGE has publicly stated, under 18 U.S.C. § 208, "executive branch employees are prohibited from participating personally and substantially in any particular matter that they know would have a direct and predictable effect on their own financial interest or financial interests imputed to them."

"As has been reported by a number of news outlets, Mr. DeJoy holds an ownership stake of between $30 million and $75 million in XPO Logistics, a United States Postal Service contractor," Congressman Krishnamoorthi wrote. "Just this week, records emerged demonstrating that Mr. DeJoy not only received between $1.2 million and $7 million from XPO Logistics last year but that he also received millions in rental payments from XPO Logistics for the use of buildings he still owns. This comes in addition to other reported potential conflicts of interest including his recent, post-appointment acquisition of options to buy Amazon stocks at a lower price than their current levels, while in a position to potentially increase their value through USPS policies that could benefit the company at the expense of others."

Despite the potential conflicts created by DeJoy's assets, USPS ethics officials signed off on his financial filings adhering to federal ethics rules, claiming decisions which would pose a conflict would be addressed at more junior levels or that the Postmaster General would recuse himself if such matters came before him. In response to his own concerns and those of ethics experts his office consulted with, Congressman Krishnamoorthi responded by citing the OGE's authority to oversee and correct the ethics program implementation of agencies and requested the following information on such efforts:

  1. What oversight measures has OGE used to ensure the USPS is properly administering its ethics programs?
  2. Has OGE opened any inquiries or investigations into whether USPS is failing to fully and properly administer its ethics programs in accordance with OGE rules?
  3. Did reports and inquiries surrounding Mr. DeJoy's conflicts of interest precipitate any review of USPS' ethics program?
  4. Have ethical questions around any other executive branch officials led to inquiries into the administration of USPS ethics programs by OGE?

Additionally, Congressman Krishnamoorthi requested the following materials:

  1. Any records of OGE inquiries into the failure of USPS to properly administer its ethics program.
  2. Any records of OGE recommendations or guidance for addressing the failure of USPS to properly enforce or administer their ethics programs.
  3. All guidance, correspondence, or other records provided to OGE by the White House, the Office of the Vice President and/or Mr. DeJoy regarding OGE's oversight of USPS' ethics programs.
  4. All documents demonstrating that OGE has taken affirmative steps to monitor the USPS ethics programs.

Congressman Krishnamoorthi requested a response by September 8th, and his full letter is available here.