House investigating Sec. of Transportation Elaine Chao

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Transportation Secretary Elaine Chao and her father, James Chao.

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A House committee suspects Transportation Secretary Elaine Chao of making decisions to benefit her family’s own business interest.
The House Oversight Committee launched its investigation Monday following reports from both the Wall Street Journal and New York Times about potential conflicts.

“The Committee is investigating several allegations relating to your service as Secretary of Transportation, including troubling questions about whether you are using your office to benefit yourself or your family,” read a letter from the committee’s leadership.

Chao, 66, is accused of making decisions in her official government capacity to benefit her family’s shipping company, Foremost Group, to “increase its influence and status with the Chinese government,” including by sitting for interviews with Chinese media outlets where she appeared to represent both the U.S. government and Foremost Group. China has reportedly provided hundreds of millions of dollars in low-interest loans to the company.

She also faces allegations of initially failing to divest her shares in the Vulcan Materials, a company which received significant funding from the Transportation Department.

Additionally, in June, reports emerged that Chao, the highest-ranking Asian American in the Donald Trump administration, was using her office to bolster projects benefiting her husband, Senate Majority Leader Mitch McConnell, in his home state of Kentucky.

The Transportation Department issued a statement defending Chao, saying “Media attacks targeting the secretary’s family are stale and only attempt to undermine her long career of public service.”

Rep. Raja Krishnamoorthi, D-Ill, who sits on the committee, said Tuesday that Chao's actions are part of a problematic pattern within the administration.

"Unfortunately, there's a pattern in the Trump administration where Cabinet official after Cabinet official appears to be using their public office oftentimes for private gain. And that's the concern here as well," he told CNN's Kate Bolduan

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