Cash Infusion

Cruz Says He May Amend U.S. Financial Disclosures to Show 2012 Goldman Campaign Loan

He didn't properly report two campaign loans to the FEC during his 2012 bid, according to a New York Times report.

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The shadow of Republican presidential candidate Ted Cruz is seen as he speaks during a campaign rally on Jan. 13, 2016, in Dorchester, South Carolina.

Photographer: Scott Olson/Getty Images

Republican presidential candidate Ted Cruz said he'll amend finance reports from his successful 2012 Texas Senate bid, if necessary, to show he received loans used to cover campaign costs.

Cruz made the comments Wednesday after a New York Times report said he and his wife, Heidi, obtained low-interest loans from Goldman Sachs Group Inc. and Citigroup Inc. in the first half of 2012. The funds totaled as much as $750,000 and increased to a maximum of $1 million, according to the Times, which cited personal financial disclosures that didn't give an explanation for their purpose.

The loans weren't disclosed in campaign finance reports at the time, the newspaper reported. Candidates are required to file paperwork showing loans used to pay for their campaigns. Heidi Cruz is on leave from her job as a managing director at Goldman Sachs. 

“Heidi and I, when we ran for Senate, we made the decision to put our liquid net worth into the campaign,” Cruz told reporters in Dorchester, South Carolina. “And so we did so through a combination of liquidating our savings, through a combination of selling assets, and then we had a brokerage account that has a standard margin loan, like any brokerage account had, and we borrowed against the stocks and assets we had under ordinary terms.”

If the loans weren't reported as required by the Federal Election Commission, “we'll amend the filings. But all of the information has been public and transparent for many years, and that's the end of that.”

Candidates for political office are legally required to disclose their campaign funding sources with the FEC. Cruz sought to downplay the apparent reporting failure as a clerical error on Wednesday.

“It is an inadvertent filing question,” he said. “The facts of the underlying filing question have been disclosed for many, many years. It is not complicated. Our finances are not complicated.”

In a March interview with Bloomberg's With All Due Respect, Cruz took aim at Goldman Sachs as being a beneficiary of “crony capitalism.”

“Because, like many other players on Wall Street and big business, they seek out and get special favors from government,” Cruz said of the New York-based investment bank. “I think they're entitled to practice their business, but without subsidies or special benefits.”

On the campaign trail, Cruz often rails against Wall Street bailouts, and recently has launched an attack on Republican front-runner Donald Trump for what Cruz calls his “New York values.”

Donald Trump Reacts to Ted Cruz's Goldman Sachs Loan

In an interview on With All Due Respect published Thursday, Trump said of Cruz's loans, “Well, I heard it's a big thing. I know nothing about it. But I hear it's a very big thing.”

“I hope he solves it,” Trump said. “I think he's a nice guy and I hope he gets it solved.”

Cruz has paid off the loan from Citigroup, the Times reported, but still owes between $50,000 and $100,000 on the amount the couple borrowed from Goldman Sachs. Both of the loans carried interest rates of roughly 3 percent, according to the Times.

Mark Costiglio, a Citigroup Inc. spokesman, declined to comment, as did Andrew Williams at Goldman Sachs Group Inc.

—Michael C. Bender and Dakin Campbell contributed to this article. 

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