Donald Trump Pick for the Commerce Department Accused of Illegal Gambling, Money Laundering

Howard Lutnick, the CEO of Cantor Fitzgerald, has been attacked in a fresh piece by Politico, a respected media outlet, which alleged that he had been tied to a sports gambling business, that eventually led to criminal charges.

Lutnick is President Donald Trump’s top choice to head the Commerce Department, and although he has now been moved to the Senate Commerce Committee, he has not been confirmed. The reporting prompted President Trump to heavily criticize the publication in his signature style, calling it a “rug.”

Commerce Director Pick in Hot Water over Illegal Gambling Venture

Politico’s reports alleged that Lutnick played a role in in setting up a phone betting company in Nevada, which was investigated by state and federal authorities, and whose top brass pled guilty to illegal gambling conspiracy charges.

Although Politico acknowledged Lutnick’s sprawling business interests and that sometimes wealthy people get associated with unsavory ventures by chance, or because they were misled by investors, the publication took pains to explain that the man himself was not “an absentee owner,” suggesting a much more conscious and involved role for the man.

“Lutnick traveled regularly to Nevada to oversee the company’s operations, according to three people with direct visibility. And even as the scandal began to swirl around the business, Lutnick helped push state lawmakers to pass a novel gambling law that allowed people to pool their money to bet on sports as part of their investment portfolios,” the report by Politico said.

Lutnick is hardly the only Trump nominee for a top government job to have raised heckles from friend and foe. Tesla’s boss, Elon Musk, the world’s richest man and most active X social media poster, has headed a new department to oversee conflicts of interest and ensure that government funding is flawed to worthwhile ventures.

Ethics Seem to Be in Short Supply in Trump’s Administration

The only snag is that he is the owner of several recipient companies of generous government aid. Robert F. Kennedy, a highly-criticized health figure, passed his Senate committee vote just days ago, with Trump’s cabinet filled with loyalists whom the President has defended fiercely.

It’s unclear whether Politico’s reporting or subsequent action from lawmakers would be enough to stop Lutnick from assuming one of the government’s top jobs. However, having ties to illegal gambling and being appointed to that position would not sit well ethically with any reasonable person.