After the death of George Floyd Black Lives Matter collected a total of $90M in donations, much of which came from Fortune 500 companies like Facebook, Twitter and others. Now, the organization is now under investigation for potential financial delinquency.
California’s Justice Department issued BLM a warning that ordered the organization to file their financial reports in 60 days, according to The New York Post. If the organization fails to heed California’s warning the leadership will be “personally liable” for penalties and fines. According to California law, charitable donations can’t be used to pay such penalties. After receiving the notice BLM leaders announced they would be shutting down donation streams temporarily.
Attorney General Rokita announced Indiana would be launching a full-on financial investigation on BLM shortly after California’s warning. AG Rokita appeared on Fox News and said “We want to know if Black Lives MAtter has solicited funds in Indiana—from Indiana residents—if they have any real property here. Because that would invoke our ability under our non-profit laws to see if they are being wasteful, to see what their expense ratios are, to see if they’re a scam.” Rokita suspects BLM is a “house of cards“—and that the case could lead to a criminal referral if things go awry.
Multiple states have followed California and Indiana and revoked BLM of it’s fundraising privileges. Washington state has threatened legal action after they ordered BLM to stop fundraising there, in which they didn’t comply, briefly.
Skeptics of BLM won’t be surprised when reading this news as the organization is fond of financial shadiness. BLM Global Network Foundation boasted $60M in funds in a financial statement last year. Smaller city and state chapters complained they were not receiving adequate support from those funds. In 2020, a BLM leader spent thousands of dollars of BLM donations on himself, purchasing houses and land. He was charged with two accounts of money laundering and one account of wire fraud.
As of now no one has stepped up to succeed former CEO Patrisse Cullors, who left just before gobbling up four homes worth $3.2M. Cullors appointed Makani Themba and Monifa Bandele to head the organization after her resignation, however, The Washington Post reached out to them in which they said that never happened. No one is really sure who is handling BLM’s $60M of assets or even the organization in whole.
All BLM may turn out to be is a giant cash-grab fueled by pseudo-moral piousness and guilts trips. Since the George Floyd protests—when BLM once had the approval was over 50% nation-wide—BLM has reached it’s peak as an unorganized dumpster-fire.
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