In what sense is it fraudulent? A straightforward exchange of money for policy doesn't require anybody to lie. The harm is from the disloyalty and lack of integrity of the elected representative. And making policies in order to get money is disloyal regardless of whether it's illegal.
If there are multiple meanings for a word, I think the author (AnthonyMouse) would get the final word on which meaning he intended. And he made it clear he intended it to mean "dishonest, disloyal, lacking in integrity" not "fradulent" or "illegal".
I believe that's the point. "Big corporations lobbying government for rent-seeking legislation" isn't capitalism, it's corruption.