Earlier this year, a super PAC backing Texas Republican Senate candidate Ken Paxton received four contributions totaling more than $1 million from an entity known as Preserve Texas, Inc.
Preserve Texas is not recognized as a political committee and has not submitted any documentation to the Federal Election Commission (FEC) that would disclose the origins of its funds. It operates as a nonprofit based in Virginia, founded by John Plishka, who serves as the treasurer for Paxton’s Senate campaign, according to corporate filings in Virginia.
This situation, part of the growing trend of anonymous large-scale donations in U.S. politics, has led to a formal complaint from Paxton’s Democratic opponent, James Talarico. Talarico’s campaign alleges that both Paxton and Plishka have breached federal campaign finance regulations.
Seth Krasne, Talarico’s campaign manager, argued in a complaint submitted to the FEC on Wednesday, which was reviewed by CBS News, that Republicans are “illegally utilizing dark money outside of federal contribution limits to support” Paxton’s campaign.
The complaint asserts, “It appears that Mr. Paxton — through his agent Mr. Plishka — created and controls Preserve Texas Inc., a dark money organization that has expended significant funds to influence Mr. Paxton’s election while keeping their donors hidden from public scrutiny.”
Krasne has requested the FEC to conduct an investigation, referencing a provision from the 2002 Bipartisan Campaign Reform Act designed to prevent candidates from using outside entities to gather contributions that they are not permitted to accept directly.
Under the existing rules, fundraising is limited: Senate candidates can receive up to $3,500 from individuals for both primary and general elections, but any donor contributing more than $200 must be publicly disclosed, and campaigns are prohibited from accepting funds from corporations or unions. Nonprofits, however, are not subject to the same limitations.
The complaint also notes, “Since the corporation seems to have been established and is controlled by Mr. Paxton’s agent, it may not receive or spend any funds related to Mr. Paxton’s election that do not comply with the act’s source restrictions, contribution limits, and reporting requirements,” pointing to the funds sent from Preserve Texas to the pro-Paxton super PAC, Lone Star Liberty, between February and May.
Greg Keller, a spokesperson for Lone Star Liberty, stated that the PAC “fully complies with all regulations and laws.” He accused Talarico of “claiming to oppose money in politics” while utilizing what a recent report from the news outlet NOTUS described as a “loophole” that allows super PACs to obtain campaign materials. The same report indicated that over a dozen Democratic candidates have taken advantage of this loophole, referred to as “redboxing.”
Regardless, it is unlikely that the FEC will take action on Talarico’s complaint against Paxton before the upcoming Election Day, as the independent agency currently lacks enough commissioners to initiate investigations following a series of departures, including the dismissal of a Democratic commissioner by President Trump. Nevertheless, the back-and-forth between both sides highlights the increasing tensions in American politics regarding the influx of anonymous contributions leading up to the 2026 midterm elections, which will determine control of the House and Senate.
Spending in the Texas Senate race has surged, driven by significant advertising expenditures and financial support from super PACs that can raise and spend unlimited amounts. The race is considered highly competitive.
“Ken Paxton’s campaign treasurer is the same individual managing one of his dark money organizations,” stated J.T. Ennis, a spokesperson for Talarico’s campaign. “This is clearly illegal. Paxton’s donors should be aware that he is entangling them in his own illegal activities — and Texans deserve to know who is funding the dark money promoting Paxton’s falsehoods.”
This week, the Lone Star Liberty PAC, aligned with Paxton, initiated a $15 million advertising campaign set to run in 18 Texas markets over the next two weeks, as first reported by Politico. To date, Preserve Texas has been identified as the largest single donor to the group according to campaign finance records.
Preserve Texas, based in Virginia, is recorded in campaign finance documents as having made contributions solely to Lone Star Liberty.
Richard Hasen, a law professor at UCLA specializing in campaign finance law, indicated that the validity of the Talarico campaign’s complaint hinges on whether Preserve Texas was “established, financed, maintained or controlled” by Plishka and whether he acted as Paxton’s “agent” during its formation. Federal regulations define an agent as someone with “actual authority, either express or implied,” to manage or direct funds associated with any candidate’s election.
“These allegations present a credible assertion that Paxton’s treasurer may have violated FEC regulations,” Hasen remarked. “However, this does not automatically implicate Paxton himself; it must be shown that the fundraising and spending of unregulated money occurred at Paxton’s direction or with his knowledge.”
Preya Samsundar, a spokesperson for Preserve Texas, asserted in a statement to CBS News that the organization “is an independent social welfare entity operating fully within its primary mission under section 501(c)(4), focusing on civic engagement and advocacy on issues affecting Texas communities.” She emphasized that Preserve Texas “has fulfilled all necessary filings with the IRS and other relevant entities and adheres to all applicable laws.”
Samsundar further stated, “Preserve Texas is not established, financed, maintained, or controlled by any federal candidate or their agent, and it operates independently in its decision-making.” She clarified that John Plishka’s role is strictly administrative, limited to recordkeeping, filings, and support functions, with no involvement in strategic decision-making.
Concerns regarding organizations utilizing difficult-to-trace fundraising methods have intensified as the November elections approach.
