Trump Pardoned Venezuelan Billionaire After Family Offered Alina Habba $50 Million Deal

President Donald Trump pardoned Venezuelan billionaire Julio Herrera Velutini after the banker's daughter offered his longtime attorney and Justice Department adviser Alina Habba a contract worth $40 million, with bonuses that could push the total above $50 million, according to an October 20 investigation by The New York Times. The deal came as the family poured millions into Trump's political operation and pledged another $2.5 million toward his White House ballroom.

Under the proposed agreement, Habba would receive $10 million annually for four years through a newly established firm while serving as an adviser to Attorney General Pam Bondi. Trump granted Herrera Velutini an initial pardon on January 15, 2026, followed by an amended clemency order five days later. White House officials maintain that the family's political contributions had no bearing on the president's decision.

Herrera Velutini was indicted in August 2022 in a federal corruption case involving former Puerto Rico Gov. Wanda Vázquez Garced. Prosecutors accused him of participating in a scheme to provide financial support for Vázquez's 2020 reelection campaign in exchange for replacing a banking regulator investigating one of his financial institutions.

Facing conspiracy, federal program bribery and honest services wire fraud charges, Herrera Velutini reached a plea agreement with prosecutors in 2025 that allowed him to resolve the case through a misdemeanor campaign finance offense. He pleaded guilty in August 2025, substantially reducing his potential criminal exposure before Trump granted him a full pardon in January.

Isabela Herrera donated $2.5 million to MAGA Inc., a super PAC supporting Trump, in December 2024, followed by another $1 million in July 2025. Seven months later, Campaign Legal Center asked federal election regulators to investigate whether she had acted as a donor on her father's behalf to conceal the source of the money.

Her previous federal campaign giving amounted to just $20, a contribution to Pete Buttigieg's 2020 presidential campaign, according to Campaign Legal Center. The watchdog cited that history, her reported financial circumstances and the size of the payments in its February 17, 2026, complaint to the Federal Election Commission.

Campaign Legal Center alleges that Herrera Velutini, a Venezuelan national, may have secretly financed the contributions through his daughter. Federal law prohibits foreign nationals from contributing to American elections and bars donors from disguising the source of political spending through another person's name. Regulators would need evidence establishing the actual source of the funds before determining whether violations occurred.

Two months after her final super PAC contribution, Isabela Herrera pledged another $2.5 million toward Trump's White House ballroom. Documents obtained by The Washington Post show she made the pledge on September 23, 2025, and paid an initial $835,000 installment on October 14, three months before her father's pardon.

The effort to secure clemency also involved Christopher Kise, a former Trump attorney, and Ballard Partners, a lobbying firm with Republican ties. Ballard received $600,000 for work involving Bancrédito Holding Corporation during the final quarter of 2025, according to lobbying disclosures cited by Campaign Legal Center.

Habba's position as an adviser to Attorney General Pam Bondi subjected her government work to federal ethics requirements, including restrictions on participating in matters affecting personal financial interests.

Federal law permits paid legal representation in pardon matters, while bribery statutes prohibit corrupt exchanges involving official action. Habba says the Justice Department approved her outside employment and maintains that she had no involvement in Herrera Velutini's pardon.

The White House has defended the pardons in the Puerto Rico corruption case, characterizing the original prosecution as politically motivated. Trump also granted clemency to Vázquez and former FBI agent Mark Rossini, who were charged alongside Herrera Velutini. His authority under Article II of the Constitution allows him to pardon federal offenses without approval from Congress or the courts.