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Rep. Byron Donalds Faces Scrutiny for Alleged STOCK Act Violation

Rep. Byron Donalds, a Florida Republican who was a contender for former President Donald Trump’s vice presidential slot, is under investigation for alleged violations of federal law concerning stock trades.

Donalds and his wife executed over 100 stock transactions valued between $108,000 and $1.6 million in 2022 and 2023. While these trades were disclosed in annual financial reports submitted in August 2023 and August 2024, Donalds failed to file the required periodic transaction reports. Federal law mandates that lawmakers file these reports within 45 days of trading any stock to provide real-time transparency of their financial activities, a requirement outlined in the Stop Trading on Congressional Knowledge (STOCK) Act.

The Campaign Legal Center, a nonprofit ethics watchdog, lodged a formal complaint with the Office of Congressional Ethics on Thursday. The complaint alleges that Donalds’ failure to file the necessary reports may have been an attempt to evade public scrutiny and potential conflicts of interest.

A representative for Donalds did not immediately provide a comment on the matter.

According to the disclosed information, the stocks in question were held within a retirement account linked to Donalds’ former employer, Moran Wealth Management, based in Naples, Florida. Although it is possible that the trades were executed by someone else, Donalds remains legally responsible for reporting these transactions.

Donalds, who has publicly supported a ban on stock trading by lawmakers, faces heightened criticism due to his own alleged breach. In March 2022, he had criticized other lawmakers and staffers for failing to disclose their stock trades on time, stating, “That’s when you have to have sanctions, and the House has to get real.”

The Campaign Legal Center’s complaint suggests that Donalds’ awareness of the STOCK Act’s requirements might indicate intentional non-disclosure. Notably, Donalds, a member of the House Financial Services Committee, traded shares in companies under the committee’s jurisdiction, such as Elevance Health and JPMorgan Chase.

In 2022, the Office of Congressional Ethics identified potential STOCK Act violations by three lawmakers. However, the House Ethics Committee subsequently determined that the violations were likely due to ignorance of the law, rather than intentional misconduct.

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