
Democrats lay groundwork to investigate Trump’s diesel deal
- The new request shows that investigations will extend beyond the White House and into senior leaders.
Driving the news: “(Any) importation of Russian diesel into the United States raises significant legal questions and may be subject to legal action, as well as congressional investigations,” says a new letter obtained by Axios.
- It is signed by Senators Chris Coons (D-Del.), Elizabeth Warren (D-Mass.), Ron Wyden (D-Ore.) and Sheldon Whitehouse (DR.I.).
- They are poised to lead the powerful Foreign Relations, Banking, Finance and Judiciary committees, respectively, if Democrats win back the Senate.
Rep. Greg Meeks (D-N.Y.), who is in line for the Foreign Affairs Committee gavel if House control changes, also signed.
- It is led by Sen. Jeanne Shaheen (D-N.H.), the top Democrat on foreign relations, who is not seeking re-election. Sen. Thom Tillis (R-N.C.), who is also retiring, also signed.
State of play: The recipients of Saturday’s letter to Wall Street include JP Morgan, Bank of America, Citi, Wells Fargo, Goldman Sachs and Morgan Stanley.
- The same letter was addressed to port authorities at the ports of Houston, Beaumont and Corpus Christi, Texas and New York/New Jersey.
Catch up quickly: Earlier this month, Trump claimed a deal to bring increased Russian exports to global and U.S. markets, and the Treasury Department lifted sanctions to make it happen.
Point of friction: Lawmakers and other critics say it goes against a 2022 bipartisan law banning imports of Russian oil, gas and petroleum products.
- “The potential deal to import Russian diesel also raises significant national security concerns, given that it would finance Russia’s brutal and illegal war against Ukraine,” the letter said.
Yes, but: The Treasury Department has repeatedly asserted that the deal was legal.
- “Democrats are already telegraphing to us that once again they have no agenda to improve the lives of Americans and will instead continue their decade-long obsession with investigating President Trump,” White House spokesperson Taylor Rogers said in a statement.
The big picture: The new letter urges banks and ports not to allow the “purchase, transportation, importation, unloading, storage, financing, or distribution” of Russian diesel in the United States.
- It also goes further, urging the parties not to facilitate any transactions of Russian diesel to other markets amid the recent lifting of sanctions.
Zoom: Citing “the expectation of increased congressional oversight,” it calls on recipients to preserve a wide range of potential records and communications related to “proposed or actual” transactions.
- Think contracts, shipping documents, ship records and more.
- This request extends to all communications with suppliers, intermediaries, and U.S. government officials.
- Lawmakers want confirmation by Wednesday that the records are preserved, as well as details on any potential or actual transition to Russian diesel.
What we’re looking at: It’s unclear how much, if any, Russian diesel will reach U.S. shores.
- Reports published Friday in S&P Global, Reuters and elsewhere identify one tanker that initially reported a destination in New York, while maritime intelligence firm TankerTrackers said Friday that three tankers had reported destinations in the United States.
- But the ships’ planned destinations change frequently for one reason or another.
Editor’s note: This story has been updated to include comments from the White House.
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