BP America has asked iHeartMedia not to run ads on podcasts that use advertising revenue to support political contributions.
This decision comes after it was revealed that iHeartMedia directed a large sum of advertising revenue from Senator Ted Cruz’s podcast to a pro-Cruz super PAC called Truth and Courage PAC.
Since January, iHeartMedia has contributed $630,850 to Truth and Courage PAC, which accounts for about one-third of the super PAC's total fundraising during this election cycle, as reported by the Federal Election Commission (FEC). data.
Ross Parman, head of U.S. Media Affairs & External Communications at BP America, stated that they were unaware their media spend was going directly to a super PAC. As a result, they have instructed iHeartMedia to remove their messages from any podcasts that contribute advertising revenue to campaigns, PACs, or political parties.
No response was provided by either iHeartMedia or a spokesperson for Cruz when asked for comment by The Hill.
Rachel Nelson, vice president of public relations at iHeartMedia, told the Houston Chronicle that the radio company sells ads for Cruz’s podcast in the same way as other podcasts and that the contributions are linked to those advertising sales.
While super PACs are prohibited from coordinating with campaigns, the notable association raised concerns among experts in campaign finance, as it suggests that Senator Cruz indirectly benefits from his podcast role despite the legal limitations.
Senators are not allowed to receive gifts from lobbyists, and iHeartMedia engages in extensive federal lobbying. Additionally, Cruz holds a prominent position as ranking member of the Commerce Committee, which oversees the communications industry.
During this election cycle, iHeartMedia has not made direct contributions to any other super PACs. The substantial funding for the pro-Cruz super PAC stands in contrast to previous cycles, including a modest $2,968 donation to the progressive group Indivisible Action in the 2022 election cycle. FEC data.
iHeartMedia maintains its own PAC, which is distinct from a super PAC, and supports politicians across the political spectrum. However, these donations are much smaller due to federal limits on contributions to campaigns and PACs.
Cruz is gearing up for reelection this year and is anticipated to face a tough challenge from Rep. Colin Allred (D-Texas), a former NFL player. The Cook Political Report, a respected election handicapper, views the race as likely to be won by the Republican party, although it is worth noting that Cruz secured victory over his Democratic opponent Beto O’Rourke by a margin of less than 3 percent during the 2018 election cycle.
In response to reports on the super PAC contributions, a spokesperson for the Cruz campaign conveyed that the allegations were unfounded and simply attempts to undermine him during an election year.
The Cruz campaign highlighted that Senator Cruz participates in the 'Verdict' podcast three times a week for no payment. The purpose is to expose the corrupt inner workings of Washington, which they believe are not adequately covered. They also criticized the mainstream media and those aligned with the Biden-Pelosi Democrat Party for wanting to halt this effort.
