Scandal-plagued Rep.-elect George Santos (R-NY) appeared taken aback on Wednesday when he was informed by The Daily Beast that his campaign loans made through his company appear to be illegal.
A lengthy new Daily Beast report delves into how Santos used the company he founded, called the Devolder Organization, to loan his campaign $700,000.
Although candidates can use unlimited amounts of their own personal wealth to fund their campaigns, they cannot use money from businesses they own on the grounds that it isn't their money and because such schemes would allow candidates to hide the origin of their funding.
Santos argued to The Daily Beast that what he did was legal because he is the sole owner of the Devolder Organization.
IN OTHER NEWS: Trump promotes article encouraging him to run as third-party candidate if GOP doesn't nominate him
However, reporters Roger Sollenberger and William Bredderman informed him that his firm is legally distinguishable from his personal finances and is registered as an independent limited liability corporation in Florida, meaning he cannot legally tap it to fund his entire political operation.
"Informed of the rules, Santos promised he would 'immediately' look into the matter and rectify anything that needed to be addressed," the publication writes. "That might be an enormous undertaking, given the amount of company money Santos appears to have put into his political efforts."
