Republican megadonor Jeff Yass, inner circle give millions to shape schools, courts

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Inside one of the largest options trading firms in the world sits a little known charitable foundation, that has quietly donated tens of millions of dollars to influence federal policy, education and law. The firm and the foundation are twin enterprises of Republican megadonor Jeff Yass, and a small group of allies. A poker-playing, libertarian billionaire, Yass is the largest individual donor to federal candidates this election cycle, with more than $46 million so far in contributions, according to data from the nonpartisan OpenSecrets. Yass has given very few interviews and largely avoided publicity. But his charitable giving offers a rare window into his priorities and goals. The Susquehanna Foundation operates out of the same suburban office building in Bala Cynwyd, Pennsylvania, as Susquehanna International Group, the trading firm Yass co-founded, according to tax records. The foundation is run by Yass and other veteran Susquehanna executives, according to the documents that are current through 2022. The Susquehanna Foundation is one of two foundations that Yass and his closest friends have funded and led. The other foundation is even less well known: the Claws Foundation. Similar to Susquehanna, Claws is the charitable arm of one person: Arthur Dantchik, a co-founder of Susquehanna International Group with Yass, is the sole listed donor to Claws Foundation. Since 2017, Dantchik has given over $150 million to the organization, according to the records. The group's paperwork is held at the Sterling Foundation Management firm in Virginia, over 150 miles away from Susquehanna International. Yass and Dantchik declined to comment through a spokesman. The Susquehanna and Claws foundations have been entirely seeded over the past decade by contributions from Yass, his wife and other allies linked to Susquehanna. The two foundations have combined to give over $25 million to libertarian-minded nonprofit groups since 2016, according to more than a dozen tax records reviewed by CNBC. One of the chief recipients has been the Cato Institute, a Washington think tank that advances libertarian ideals. Money from Yass run foundations has also gone to the Institute for Justice, a tax-exempt legal group that has litigated cases all the way to the Supreme Court. Another grantee is the Atlas Network, an organization that works to advance "free market" principles. The Competitive Enterprise Institute has raised money from the Claws Foundation. The Competitive Enterprise Institute has opposed government regulations to the finance, energy and technology industries, among others. Experts who reviewed the foundations' donations for CNBC explained that many of the contributions go to groups which advance policies that could benefit Yass, his business and those close to him. "Ultimately, Yass is channeling his incredible wealth through a variety of entities to push U.S. politics to the right, and in some cases — such as his recent advocacy around banning TikTok — to advance policies that benefit his bottom line," deputy executive director of the watchdog Documented Brendan Fischer said in an email. The Susquehanna Foundation, for instance, received over $250 million in 2020 from the "Susquehanna Growth Equity Fund III," according to the records. The fund is a private equity investment vehicle that Susquehanna International Group controls, according to Pitchbook. Yass is also the only known contributor to a political action committee, the Moderate PAC, which is trying to unseat progressive Democratic Rep. Summer Lee, D-Pa., in a primary this year, according to Politico. Lee's Democratic opponent has tried to distance herself from the funding that the PAC has received from Yass, saying at a recent debate: "I denounce Donald Trump. I denounce Jeffrey Yass."