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Rep. Mike Lawler (R-NY) sought information in a Wednesday hearing from a top Treasury Departmentofficial on why the agency has stonewalled investigating top Democratic fundraising platform ActBlue for boosting an anti-Israel group accused of being linked to terrorism.

In September 2023, Rep. Darrell Issa (R-CA) asked the FBI and Treasury Department to review whether ActBlue Charities Inc., violated federal law after a Washington Examiner report on the platform cutting ties with the Palestinian Campaign for the Academic and Cultural Boycott of Israel, a founding member of the Boycott, Divestment, and Sanctions National Committee. However, the agency has not replied to Issa, a fact that prompted Lawler to grill Treasury Undersecretary for Terrorism and Financial Intelligence Brian Nelson in a House Financial Services Committee hearing. 

“ActBlue Charities allowed the Palestinian Campaign for the Academic and Cultural Boycott of Israel to fundraise on its platform for two years until repeated calls by the Examiner to address this,” Lawler said. “Undersecretary Nelson, Mr. Issa sent you this letter on Sept. 21, 2023, asking multiple questions regarding whether ActBlue Charities has raised funds for international terrorism through its fundraising collaboration and inquiring about a review.”

Lawler continued, “It’s my understanding he has still not received a response. So can you answer, have you conducted any such review, and will you respond to representative Issa?”

“We will, of course, respond to the letter,” Nelson replied. 

“Have you conducted any such review yet?” Lawler asked. 

“I’ll have to go back and talk to my staff, but we’ll respond—,” said Nelson, to which Lawler said, “So, you’re, at this moment, you’re not aware of any such review?”

“I’m not currently aware,” Nelson said. 

Issa is preparing to send another letter to the Treasury Department on the ActBlue issue, which has only become more concerning to lawmakers seeking to thwart terrorism financing after the Hamas-led Oct. 7 attack on Israel, according to two sources familiar with the discussions. 

PACBI, which was on ActBlue from 2021 to 2023, is a project of Alliance for Global Justice, a charity in Arizona revealed through a Washington Examiner investigation to share ties to the Popular Front for the Liberation of Palestine terrorist group. 

ActBlue’s policies state that it does not work with organizations “at odds” with “social equality, women’s rights, LGBTQIA2S+ rights, racial justice, diversity, freedom of speech, disability rights, and respect for scientific inquiry, discovery, and data.” Moreover, ActBlue bars groups overseas from using its services if they are fiscally sponsored, which PACBI is.

Fiscal sponsorship is an arrangement in which charities lend their tax-exempt status to projects and provide them services such as human resources, legal, insurance handling, and donation processing. 

In his letter, Issa asked Nelson and FBI Director Christopher Wray if they were aware which foreign banks handled funds PACBI raised through ActBlue and if Treasury’s Financial Crimes Enforcement Network “received any suspicious activity reports” in connection to the partnership.