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Ethics concerns led to criminal referral involving Elaine Chao, inspector general says

By Michael Laris
March 3, 2021 at 11:27 p.m. GMT
https://www.washingtonpost.com/local/trafficandcommuting/elaine-chao-ig-report/2021/03/03/169d0e36-7c53-11eb-b3d1-9e5aa3d5220c_story.html

Investigators from the Transportation Department’s internal watchdog found evidence of potential ethical violations by former secretary Elaine Chao, and referred the case to the Justice Department for prosecution in December, according to documents released Wednesday.

The United States Attorney’s Office for the District of Columbia and the Justice Department’s Public Integrity Section declined pursue the case, according to investigators from Department of Transportation’s Office of Inspector General.

There were a number of “potential ethics concerns arising from the actions of the Secretary and Office of the Secretary (OST) staff under her direction,” investigators wrote.

Among them were “tasking” political appointees to “contact the Department of Homeland Security (DHS) about the status of a work permit application submitted by a foreign student studying at a U.S. university who was a recipient of Chao family philanthropy,” according to investigators.

“The [U.S. attorney’s office] stated that there may be ethical and/or administrative issues to address but there is not predication to open a criminal investigation,” investigators from the Inspector General’s office said.

The department also provided public affairs and media support to Chao’s father, investigators said. He was the founder of the Foremost Group, a shipping company headed by her sister.

Investigators said Chao also used the staff time of department employees “for tasks for the Secretary that appear to be personal in nature.”

Among the personal tasks, according to a description from investigators, was Chao emailing a staffer in her office with the subject line: “Xmas ornaments.” The email directed the staff member to “sort out and fedex on Monday to Dr. Chao, and my sisters. Please draft a cover note –let me see it-telling them what we are sending.”


This story will be updated.

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Michael Laris
Michael Laris writes about the transformation of the U.S. transportation system. He has covered government accountability and was a reporter in Beijing. Follow

https://www.washingtonpost.com/local/trafficandcommuting/elaine-chao-ig-report/2021/03/03/169d0e36-7c53-11eb-b3d1-9e5aa3d5220c_story.html