Ken Paxton Sues ActBlue, Alleges ‘Rampant Donor Fraud’ On Democratic Platform

Texas Attorney General Ken Paxton filed a lawsuit Monday against ActBlue, accusing the organization of facilitating widespread donor fraud and seeking more than $1 million in damages.

The lawsuit, filed in Tarrant County court, alleges the platform knowingly allowed improper contributions, including potentially unlawful donations from foreign or otherwise ineligible sources. The complaint points to internal concerns about payment methods like gift cards and prepaid debit cards, which investigators say carry a higher risk of abuse.

According to the filing, ActBlue resumed accepting certain forms of payment despite recognizing the potential for misuse, including contributions tied to high-risk or sanctioned countries. The suit claims this was part of a broader pattern rather than an isolated oversight.

The legal action references recent reporting that raised questions about the platform’s fraud detection and compliance measures. Lawmakers have also cited those findings in ongoing investigations into political donation practices.

ActBlue has processed significant sums for Democratic candidates and causes, with the lawsuit noting billions of dollars moving through the platform in recent election cycles.

Paxton’s office argues the case is part of a broader effort to enforce election integrity laws and ensure that political contributions comply with federal and state regulations. The case now heads into the court system, where the allegations will be contested.