Southern Poverty Law Center accused of paying $3M to extremists

MONTGOMERY, Ala. - The Southern Poverty Law Center faces federal fraud and money laundering charges after investigators alleged the group secretly funded the same extremist organizations it claimed to oppose.

What we know:

A Montgomery grand jury returned an 11-count indictment against the Southern Poverty Law Center (SPLC) for wire fraud, conspiracy to commit concealment money laundering, and making false statements to a bank. 

Federal officials say that between 2014 and 2023, the SPLC secretly sent more than $3 million to people associated with violent extremist groups, including the Ku Klux Klan, the National Socialist Movement, and the American Nazi Party. 

The indictment alleges the SPLC used bank accounts tied to fictitious entities to hide the source and control of the money.

What they're saying:

Acting Attorney General Todd Blanche said the SPLC is "manufacturing racism to justify its existence." 

FBI Director Kash Patel added that the organization allegedly lied to donors while paying leaders of extremist groups to facilitate crimes. 

Acting United States Attorney Kevin Davidson noted that donors believed they were supporting a fight against extremism, but their money was instead diverted to benefit groups the SPLC publicly denounced.

What's next:

The United States Attorney’s Office has filed two forfeiture actions to recover the proceeds of the alleged fraud scheme. If convicted, the organization will be forced to give up the financial gains from the activities. Federal authorities noted the investigation is ongoing and involves all individuals tied to the scheme.

What we don't know:

While the indictment outlines a network dating back to the 1980s, it does not identify exactly one piece of information: which specific individuals within the SPLC leadership authorized the creation of the fictitious bank accounts used to disguise the payments.