The California Department of Justice has threatened to hold the leaders of Black Lives Matter personally liable if they fail to fork over information about the charity’s $60 million bankroll within the next 60 days, according to a letter obtained by the Washington Examiner.
The move came just days after a Washington Examiner investigation found that BLM has had no known leader in charge of its millions since its co-founder resigned in May and that the Los Angeles address it lists on its tax forms is wrong.
“The organization BLACK LIVES MATTER GLOBAL NETWORK FOUNDATION, INC. is delinquent with The Registry of Charitable Trusts for failing to submit required annual report(s),” reads the letter, dated Jan. 31.
BLM is also prohibited from “soliciting or disbursing charitable funds” in California until it submits its 2020 Form 990 and other financial records to the state, the California DOJ informed the charity Monday. The letter added that the Black Lives Matter Global Network Foundation, the legal entity that represents the national BLM movement, faces fines for “each month or partial month for which the report(s) are delinquent.”
“Charitable assets cannot be used to pay these avoidable costs,” the California DOJ warned BLM. “Accordingly, directors, trustees, officers and return preparers responsible for failure to timely file the above-described report(s) are personally liable for payment of all penalties, interest and other costs incurred to restore exempt status.”
BLM FUNDRAISES IN WASHINGTON DESPITE ORDER TO ‘IMMEDIATELY CEASE’
California’s warning to BLM comes just weeks after Washington ordered the charity to “immediately cease” fundraising in the liberal state due to its lack of financial transparency. Despite the order, BLM continues to solicit and receive contributions from Washington residents.
Multiple charity experts previously told the Washington Examiner that BLM’s lack of transparency surrounding its finances and operations raises major legal and ethical red flags.
BLM’S MILLIONS GO UNACCOUNTED FOR AFTER LEADERS QUIETLY JUMPED SHIP
BLM reported in February 2021 that it closed out 2020 with $60 million in its bank accounts, but the charity won’t say who has been in control of the funds for the past eight months, and the address listed on the charity’s 2019 tax forms is wrong.
BLM’s co-founder, Patrisse Cullors, appointed two activists to lead the organization after she resigned in May 2021 amid criticism of her personal finances, but her replacements quietly announced in September that they never took the job because of disagreements with BLM.
Local black activists publicly criticized the national BLM organization in late 2020 for its lack of financial transparency and for providing little to no funding to local BLM chapters across the country.
CharityWatch Executive Director Laurie Styron previously said BLM was “like a giant ghost ship full of treasure drifting in the night with no captain, no discernible crew, and no clear direction.”
Paul Kamenar, counsel for conservative watchdog group the National Legal and Policy Center, said Tuesday his organization is preparing to file a complaint against BLM.
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“The National Legal and Policy Center will be filing a formal complaint with the Attorneys General of Washington and California to impose the maximum penalties on BLMGNF for their flagrant and repeated violations of the charity disclosure laws in those states and it seems in many others,” Kamenar said.
BLM did not return requests for comment.
