Ethics Watchdog Calls for Investigation Into Democrat Rep. Kurt Schrader's Stock Transactions

The Foundation for Accountability and Civic Trust (FACT), a non-partisan ethics watchdog organization, demanded an investigation into vulnerable Democrat and House Energy and Commerce Committee member Rep. Kurt Schrader’s (D-OR) stock transactions after he allegedly failed to adequately disclose up to tens of thousands of dollars in stocks, violating federal law.

The watchdog filed a complaint with the Office of Congressional Ethics (OCE) asking for a probe into Schrader for failing to disclose up to $30,000 in stock sales adequately. This equals up to $15,000 in Charter Communications, Inc. stock on December 9 and up to $15,000 in AON PLC stock on December 14; however, the stock sales were not reported until February 3, 2022 — after the 45-day deadline.

Schrader is required to submit a periodic transaction report with the clerk in the House of Representatives within 30 to 45 days of stock transitions over $1,000, made on behalf of themselves or their spouses under the Stop Trading on Congressional Knowledge (STOCK) Act of 2012.

However, Molly Prescott, congressman’s spokesperson at the time, told Business Insider that the congressman does not have “any direct involvement in investment decisions as it relates to the purchase or sale of stocks.” Still, the watchdog argues that her statement is irrelevant.

“Whether or not Members make the trades personally or have another party do so on their behalf, the Member is required to disclose the trades in a timely manner, as even having knowledge of their investments can create conflicts of interest,” the watchdog said in a press release.

In fact, one thing that the complaint does not mention is that Schrader also sits on the House Energy and Commerce Committee, which jurisdiction includes “electronic communications and the Internet,” “privacy, cybersecurity, and data security,” and “consumer protection and product safety” — all of which has the potential to influence bills that could impact Charter Communications, Inc. and AON PLC stock prices.

The congressman’s office declined to answer questions from Business Insider about whether his investments into the two companies posed a conflict of interest with his committee responsibilities.

FACT’s Executive Director, Kendra Arnold, slammed the congressman in a press release saying there is no excuse for violating the STOCK Act, calling it one of the most fundamental ethics laws:

​The STOCK Act is one of the most fundamental ethics laws and there is no excuse for violating it. The law does not allow Members to claim ignorance about their personal financial transactions, and the law would be wholly ineffective and unenforceable if such excuses worked. When a Member chooses to make stock transactions they have an affirmative duty to ensure compliance with the law, and the OCE must investigate and impose the proper penalties related to this violation.

“This law is extremely important and it must be strictly enforced to determine whether a Member has used nonpublic information for profit,” FACT’s complaint said. “The failure of Members to follow the most basic ethics rules they created leads to public distrust in our elected officials as a whole.”

“We request the OCE investigate Rep. Schrader’s stock trades and apparent failure to file the required timely and accurate disclosures and impose any appropriate sanctions,” the complained added.

The National Republican Congressional Committee (NRCC), who’s gone after the congressman hoping to have a Republican unseat him in the midterm elections, slammed Schrader in a statement to Breitbart News. “Kurt Schrader is a corrupt politician who is more concerned with enriching himself than serving Oregonians,” said the NRCC Spokeswoman Courtney Parella.

In 2012, Congress quickly passed the STOCK Act and signed it into law after receiving substantial bipartisan support in both chambers. The legislation was introduced and promptly signed into law thanks to Breitbart News senior contributor Peter Schweizer, who in 2011 released Throw Them All Out, exposing corruption in the highest echelons of elected life.

Schweizer’s book, which exposed House Speaker Nancy Pelosi (D-CA) and many others, revealed corruption concerns among Republicans and Democrats on Capitol Hill, forcing Congress into adopting the STOCK Act that implemented stricter reporting and ethics requirements.

A full copy of the FACT’s complaint against Schrader can be found here.

Jacob Bliss is a reporter for Breitbart News. You can follow him on Twitter.

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