Heading into the midterms, Iowa Democrats aren’t building momentum. They’re nearly $200,000 in debt.

While Republicans organize, recruit strong candidates, and prepare for another round of wins, Democrats are struggling to pay their bills. No amount of DC spin or friendly headlines can change that reality. Even their own donors don’t seem convinced.

If the party can’t fund itself, it’s hard to see how they plan to compete statewide.

And if they’re desperate for cash, maybe Rob Sand can help. After all, he’s already leaned on his millionaire wife and in-laws for millions. What’s a few more?

The Iowa Democratic Party is carrying nearly $200,000 in debt after repaying money tied to disgraced cryptocurrency executives, according to the party’s latest state financial disclosure report.

The filing shows the party took out two loans totaling $200,000 in October, made a $2,500 payment — leaving $197,500 in outstanding debt --- and issued a $200,000 check to the FTX Recovery Trust that same month. The repayment traces back to a $250,000 campaign contribution made in June 2022 by Nishad Singh, a former executive of the now-bankrupt cryptocurrency exchange FTX.

Singh pleaded guilty in 2023 to conspiracy to commit securities fraud, conspiracy to commit money laundering and conspiracy to violate campaign finance laws as part of the federal prosecution of Sam Bankman-Fried, whose companies collapsed amid what prosecutors described as widespread fraud. Federal authorities have since sought the return of political donations made by FTX executives so the money can be used to compensate victims.

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The Iowa Democratic Party’s recent financial disclosure reflects one such repayment, part of a broader national effort to claw back political donations connected to the FTX fraud.

“In June 2022, the Senate Majority Fund received a contribution for $250,000. The Iowa Democratic Party first learned that federal prosecutors were seeking records or repayment related to FTX-linked donations on Dec. 12, 2022,” Iowa Democratic Party spokesperson Paige Godden wrote in an email in response to questions submitted by The Gazette.

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