N.C. Attorney General calls for investigation into U.S. postmaster for alleged fraud

Louis DeJoy
Photo credit Tom Williams-Pool/Getty Images

North Carolina's Attorney General Josh Stein is calling for an investigation into current US postmaster general Louis DeJoy.

A report from the Washington Post said DeJoy and his company, New Breed Logistics, pressured employees into making political contributions to GOP candidates. Those employees told the newspaper they were later reimbursed through bonuses paid out by the company.

"(Dejoy) asked employees for money," according to New Breed Logistics HR director David Young. "We gave him the money, and then he reciprocated by giving us big bonuses," 

Young, who donated more than $19,000 while at the company, according to the Post. He also said "No one was ever forced to or lost a job because they didn't, but if people contributed, their raises and their bonuses were bumped up to accommodate that."

DeJoy, a North Carolina Republican and political operative, was a major fundraiser who was named to the position at the USPS by President Trump in May. Many believe his role within the GOP led to being named the postmaster general.

The act of reimbursing employees for political contributions is illegal under both federal and North Carolina law.

DeJoy's spokesperson, Monty Hagler, told the Post in a statement that DeJoy "believes that he has always followed campaign fundraising laws and regulations."

According to reports, DeJoy has contributed seven figures in political donations over the past five years. A total of $3.2 million to groups such as the Republican National Committee, including more than $1.3 million to Trump's election campaigns. Other recipients include the National Republican Senatorial Committee, GOP political action committees and individual candidates.