Key Takeaways
• A new report exposes an illegal arms-export business run by Rep. Cory Mills while in Congress
• Mills’s company PACEM now faces a $66 million debt and is in foreclosure
• He allegedly used foreign loans to fund his 2022 campaign
• He faces multiple other allegations, including abuse claims and eviction
• A formal ethics probe and more revelations are on the way
Inside the Cory Mills Scandal
Who is Cory Mills?
Rep. Cory Mills represents Florida in the U.S. House. He sits on the Armed Services and Foreign Affairs committees. Over the past year, he has faced many controversies. A woman accused him of physical abuse. He lost his D.C. penthouse after defaulting on rent. Also, an ethics investigation targets stolen valor and undisclosed gifts. Now, a report reveals an even bigger problem. It shows he ran an illegal arms-export business while serving in Congress.
The Depth of the Cory Mills Scandal
The PACEM Arms Business
In 2014, Mills and his wife founded PACEM, a security contracting firm. For years, it bid on federal contracts. However, it never turned a real profit. Instead, PACEM racked up huge bills. Over time, Mills borrowed millions to keep it afloat. He claimed those were “personal loans.” Yet, records show they came from a foreign lender tied to the weapons trade.
Moreover, PACEM did more than guard jobs. It shipped arms overseas. Reporters say it sent weapons to Ukraine during its war. Under U.S. law, members of Congress cannot export military gear without disclosure. Even worse, owning such a company creates a direct conflict of interest. Mills never listed this business debt on his required ethics forms.
Massive Debts and Foreclosure
Recent court papers reveal PACEM owes about $66 million. That is six to thirty-three times what Mills declared its value to be. Over the summer, its lender, a Canadian firm called Ninepoint Partners, shut down its debt fund. As a result, they moved to foreclose on PACEM’s factory. Now, the company faces collapse.
Despite this, Mills reportedly used cash from those loans to support his 2022 campaign. He lent “personal” money to his run. Yet, financial experts say the funds actually came from corporate loans. In other words, foreign creditors may have indirectly bankrolled a U.S. House race. This funding path raises new legal questions and deepens the Cory Mills scandal.
Illegal Arms Exports Allegations
Beyond the debt, PACEM illegally sent weapons abroad. Experts cite federal statutes barring such exports without permission. In Ukraine’s case, Mills’s firm never got the needed approval. Also, members of Congress must avoid any role in foreign military deals. Mills breached those rules by owning and profiting from PACEM.
This scandal not only shows wrongdoing but also reveals a serious risk to U.S. foreign policy. When a lawmaker secretly runs an arms business, it undermines public trust. Moreover, it could violate national security laws designed to control where weapons go. Now, federal authorities may open a criminal probe.
Ethics Violations and Investigations
Meanwhile, an official ethics inquiry already targets Mills for multiple issues. Investigators look into unprofessional conduct, stolen valor claims, failure to disclose gifts, and more. Now, this arms-export story adds fuel to the fire. Since 2019, Mills has been personally liable for PACEM’s debt. Yet, he never reported it on his ethics forms. That omission alone may breach Congress’s disclosure rules.
Also, this scandal ties into his other controversies. The eviction, the abuse claim, and the sex-worker allegations from Afghanistan all show a pattern. Critics argue that a member of Congress must follow higher ethical and legal standards. With more details set to emerge, the pressure on Mills will only increase.
What Comes Next?
So far, reporter Roger Sollenberger has spent nine months investigating. He promises more revelations soon. As the foreclosure process advances, PACEM’s records may become public. Those documents could reveal even deeper ties between Mills and foreign backers. At the same time, federal regulators may launch criminal investigations into illegal arms shipments.
On Capitol Hill, fellow lawmakers may call for stronger oversight. They might demand hearings on congressional conflicts of interest. Additionally, ethics committee leaders could push for new rules on financial disclosures. If Mills’s actions violated the law, he could face fines or criminal charges. In the worst case, he might even lose his seat.
FAQs
What is PACEM?
PACEM is a security contracting company founded by Rep. Cory Mills and his wife in 2014. It holds federal contracts and once shipped weapons overseas.
Why is PACEM in foreclosure?
PACEM owes about $66 million to a Canadian lender. After missing payments, the lender moved to foreclose on the company’s factory.
What illegal exports is Mills accused of?
He is accused of exporting arms to foreign governments without required U.S. approval, including shipments to Ukraine during its war.
What investigations are pending?
A congressional ethics probe covers unprofessional conduct, stolen valor, and undisclosed debts. In addition, criminal investigations into illegal arms exports may follow.