The Southern Poverty Law Center (SPLC) faces new allegations from the Justice Department (DOJ) over its handling of donor funds. A superseding indictment unsealed Tuesday claims the nonprofit used donations to infiltrate extremist groups, including the Ku Klux Klan (KKK) and a neo-Nazi organization, without disclosing the practice to donors or banks. The indictment also alleges that an SPLC employee used $140,000 of donor money to fund a romantic relationship with an informant in a neo-Nazi group. The DOJ further claims the SPLC reimbursed KKK members for cross-burning supplies and uniforms.
The SPLC has denied the allegations and filed a motion to dismiss the case in May. The nonprofit also asked a federal judge to sanction the DOJ for sharing an unsigned, unstamped copy of the superseding indictment with media outlets before it was publicly docketed. The SPLC argues this violated federal grand jury secrecy rules and could prejudice its case.
The indictment includes 11 counts of wire fraud, bank fraud, and conspiracy to commit money laundering. The DOJ has not named any additional defendants beyond those in the original April indictment. The case remains ongoing, with the DOJ declining further comment due to its pending nature.