Chuck Callesto, a social media strategist with Operation Focus, has raised concerns about foreign investors allegedly financing U.S. lawsuits through unregulated third-party litigation funding, which he claims allows them to conceal their identities and intentions. This statement was made on the social media platform X.
"Foreign investors BUSTED secretly bankrolling U.S lawsuits," said Callesto. "Third-party litigation funding is not federally regulated, these nations are not required to disclose their identity or motivations."
According to a 2024 report by the U.S. Government Accountability Office (GAO), foreign investment in U.S. third-party litigation funding (TPLF) has attracted bipartisan concern due to transparency and national security risks. The GAO identified major funders such as Fortress and Burford as key market players while noting data gaps that hinder identifying foreign-sourced capital. Congressional committees have since proposed disclosure rules and bans on foreign sovereign investors in U.S. lawsuits.
The National Law Review, summarizing Westfleet data, reports that the U.S. commercial litigation funding industry grew to approximately $16.1 billion in assets under management in 2024, marking a 20% increase from the previous year as investors expanded into law-firm portfolios and large case monetizations. While domestic capital dominates, the share of foreign investors remains unclear due to limited reporting requirements.
The GAO also reported that more than half of patent cases filed against major U.S. tech companies since 2019 involved confirmed or suspected third-party litigation funding. However, investigators found that the proportion tied to foreign-backed funds cannot be verified due to inconsistent disclosure practices. These findings have prompted calls for mandatory funding transparency across federal courts.
Callesto is known for his conservative commentary and breaking-news amplification on X. His professional background includes digital branding, public relations, and political communications, frequently promoting initiatives such as Operation Focus targeting grassroots engagement.
Operation Focus is described as a grassroots media campaign promoted on X by conservative influencers like Callesto and retired Col. Douglas Macgregor. It is framed as an informal activism network coordinated online rather than a registered corporate or nonprofit entity.
