Key facts
- Democrats on the House Judiciary Committee are investigating 1789 Capital.
- Donald Trump Jr. joined the firm as a partner shortly after his father's 2024 election win.
- The firm's assets under management reportedly grew from $150 million to $3.5 billion.
- A substantial amount of the firm's capital is reported to be from foreign investors.
- Congressman Jamie Raskin is seeking records on the firm's investments and communications with government officials.
- Raskin alleges the firm's growth is due to insider political influence and corruption.
Democrats on the US House Judiciary Committee have initiated an investigation into 1789 Capital, a venture capital firm that has experienced a dramatic increase in assets under management since Donald Trump Jr. joined as a partner in November 2024. Congressman Jamie Raskin, the committee's ranking member, has requested detailed records from Trump Jr. and the firm's founders, Omeed Malik and Christopher Buskirk, concerning the firm's investments and any communications with US government officials.
Raskin characterized the firm's transformation from a struggling entity with disappointing results to one managing billions as "miraculous." He expressed skepticism that the firm's rapid success is solely due to market acumen, suggesting it is instead driven by "insider political influence and thoroughgoing corruption." He pointed to specific investments, such as millions in rare earth company Vulcan Elements, which subsequently received a $620 million loan from the Pentagon and a $50 million grant from the Department of Commerce under the Chips and Science Act.
Further scrutiny is directed at 1789 Capital's stake in Anduril Industries, a major military contractor founded by Trump ally Palmer Luckey, which has secured billions in government contracts. The investigation also notes that two individuals with ties to 1789 Capital have been appointed to the Defense Policy Board, an advisory body to the Pentagon. Andreessen Horowitz, a prominent venture capital firm, has also co-invested with 1789 Capital in defense contractors.
Trump Jr. has stated that he rarely discusses business with his father, the president, and holds no policy position within the administration. However, Raskin's letter cites previous comments from the president suggesting his children may have access to "inside information" due to his policies affecting various economic sectors.