SEC rule | Citigroup tells employees they can't donate to the Harris-Walz campaign without company approval

Citigroup has informed staff they must seek pre-approval from the company before making any donations to the Harris-Walz campaign.

In a memo sent August 6 reported by Business Insider, the investment bank informed staff across four of its five business units, with only the US consumer banking division exempt from the mandate.

Citi must keep employees in check with their donations due to the Securities and Exchange Commission's “pay-to-play” rule that bans workers at banks and hedge funds from making contributions above $350 to state or local officials.

Why is Citi telling employees to get approval before making donations?

The rule is designed to keep financial firms from attempting to influence politicians in the hope that they will subsequently secure business favors.