Malliotakis Applauds Ways & Means Committee Passage of Her Bill to Stop Foreign Influence in American Elections
(WASHINGTON, DC) — Congresswoman Nicole Malliotakis (NY-11) is celebrating the passage of her legislation, H.R. 9771, the Stopping Foreign Influence in Elections Act of 2026, out of the House Ways and Means Committee. This legislation would establish safeguards to ensure foreign nationals cannot contribute to tax-exempt organizations that ultimately use those funds to influence American elections by ensuring foreign nationals cannot simply route foreign money to a 501(c)(4), either directly or indirectly through a charitable 501(c)(3), that then makes unlimited contributions to political committees, including Super PACs. The Stopping Foreign Influence in Elections Act prohibits larger tax-exempt organizations from making contributions to political committees for two years after receiving a gift or contribution from a foreign national. The restriction applies to organizations with at least $200,000 in annual gross receipts or $500,000 in assets. The legislation also establishes escalating penalties for tax-exempt organizations that violate this prohibition by accepting contributions from foreign nationals and then donating to political committees. After a third violation, the organization's tax-exempt status is suspended for a two-year period beginning on the date the prohibited contribution is made. For example, Swiss billionaire Hansjörg Wyss has reportedly used his U.S.-based tax-exempt organizations to contribute to other organizations that then directed significant sums into the political process. Mr. Wyss operates both a 501(c)(3) organization, the Wyss Foundation, and a 501(c)(4) organization, the Berger Action Fund. According to reporting by The New York Times, cited in a House Ways and Means Committee report, the Berger Action Fund contributed more than $135 million to the Sixteen Thirty Fund over a four-year period. In 2020 alone, the Sixteen Thirty Fund contributed $63 million to Super PACs supporting President Biden and other Democrats. |
“I am pleased that my legislation, the Stopping Foreign Influence in Elections Act, passed out of the Ways and Means Committee, and I thank Chairman Smith for his support for this important bill. Foreign nationals should not be able to use tax-exempt organizations as a vehicle to influence American elections. Our elections should be decided by American voters—not by foreign billionaires who can move money through a network of nonprofit organizations and political groups to influence our democratic process,” said Rep. Nicole Malliotakis. “This legislation is a critical step toward preventing foreign money from entering our political process through nonprofit organizations and restoring Americans’ confidence in our elections.”
“Americans ought to be able to have confidence that foreign nationals are not funding political parties and candidates in our elections,” said Ways and Means Committee Chairman Jason Smith. “Representative Malliotakis has offered a straightforward solution that will keep tax-exempt organizations in this country from becoming money laundering schemes for political influence coming in from abroad. Thanks to her leadership, Congress can close a loophole in our tax laws to make sure that wealthy foreign donors are not having any say in our political discourse.” |
Watch Malliotakis' remarks from the Ways & Means Committee's Markup HERE.