Today : Oct 31, 2025
U.S. News
31 October 2025

Justice Department Probes Black Lives Matter Finances

Federal investigators examine donor fraud allegations as Black Lives Matter faces renewed scrutiny over transparency and spending following record donations after George Floyd’s death.

Federal authorities have launched an investigation into the financial practices of the Black Lives Matter Global Network Foundation, Inc., probing whether leaders of the organization defrauded donors who contributed tens of millions of dollars during the nationwide protests following George Floyd’s murder in 2020. The investigation, spearheaded by the U.S. Attorney’s Office for the Central District of California in Los Angeles, has seen federal law enforcement issue subpoenas and serve at least one search warrant in recent weeks, according to multiple reports from the Associated Press and other outlets.

This probe marks a significant moment for the Black Lives Matter (BLM) movement, which has faced years of both acclaim and scrutiny since its inception in 2013 after the acquittal of George Zimmerman in the killing of Trayvon Martin. The movement’s rallying cry—“Black lives matter”—became a symbol of protest and hope for many, especially after the 2014 death of Michael Brown in Ferguson, Missouri. But it has also drawn criticism, particularly from conservative circles, for its methods and, more recently, for how it has managed a flood of donations.

According to the Associated Press, the Justice Department’s investigation began during the Biden administration but has gained renewed momentum since President Trump took office. Multiple sources familiar with the matter, who spoke on condition of anonymity due to the ongoing nature of the probe, confirmed that the Black Lives Matter Global Network Foundation and other Black-led groups are under scrutiny. However, it remains unclear whether the investigation will ultimately result in criminal charges.

The heart of the investigation centers on the more than $90 million in donations the foundation reported receiving in the aftermath of George Floyd’s killing by Minneapolis police officer Derek Chauvin on May 25, 2020. The surge of support for racial justice efforts in the United States and globally led to a tidal wave of contributions, much of which flowed directly to the BLM foundation. Yet, questions soon arose about how those funds were being spent.

Critics, including some activists within the movement itself, accused BLM organizers of a lack of transparency and failing to provide adequate support to local chapters. The controversy intensified in 2022 when BLM leaders confirmed that $6 million in donations had been used to purchase a sprawling Los Angeles-area property, complete with six bedrooms and six bathrooms. The purchase, which included a home often described as lavish, drew public attention and fueled allegations of financial mismanagement. BLM co-founder Patrisse Kahn-Cullors stepped down from the organization following what some described as a real estate buying spree, though she and other leaders have consistently denied any wrongdoing.

In response to the ongoing investigation, the Black Lives Matter Global Network Foundation issued a statement to the Associated Press, asserting, “We are not a target of any federal criminal investigation. We remain committed to full transparency, accountability, and the responsible stewardship of resources dedicated to building a better future for Black communities.” The foundation has made efforts to address criticism by publicly releasing tax documents and providing detailed accountings of its expenditures. Its latest federal tax filings show $28 million in assets as of June 2024.

Despite the scrutiny, no previous investigations—whether federal, state, or local—have found evidence of criminality or financial impropriety. For example, after the 2022 property purchase, a lawsuit alleging fraud was filed but dismissed a year later, with a judge ruling that local activists had not proven why they were entitled to the money or that BLM leaders had taken funds for personal gain. Similarly, Indiana Attorney General Todd Rokita sued the foundation in 2022 for failing to comply with a state investigation into its finances. The lawsuit was quickly dismissed after BLM provided the requested documents, and no charges were filed in Indiana or elsewhere.

The current federal investigation is being overseen by Bill Essayli, who leads the U.S. Attorney’s Office for the Central District of California. Essayli, a former Republican assemblyman and private attorney, has a history of taking up conservative causes and has previously criticized BLM, calling it a “radical organization.” In 2020, he represented a white couple charged with defacing a BLM mural in Martinez, California, arguing at the time that his clients were simply expressing their political views and objected to taxpayer funds being used to “sponsor” Black Lives Matter. Essayli’s tenure as acting U.S. attorney was recently called into question by a federal judge, who ruled he had stayed in the position longer than allowed by law. He remains the chief prosecutor, now with the title of First Assistant United States Attorney.

Essayli’s appointment and outspoken views have raised concerns among civil rights leaders, who worry that progressive and left-leaning groups—especially those critical of the Trump administration—could become targets of federal investigations. These concerns are not unfounded, as the burst of investigative activity into BLM is occurring alongside heightened scrutiny of other organizations, including those affiliated with transgender rights and anti-ICE protests.

Within the BLM movement itself, there has long been tension between the centralized foundation and various local chapters. Many of these chapters operate independently, raising their own funds and setting their own agendas. Some have publicly clashed with the foundation over its handling of donations and decision-making processes. The movement’s founders initially envisioned a decentralized structure, governed by the consensus of local chapters, but as BLM’s influence grew, so did the complexity of its organizational relationships and the scrutiny of its finances.

Public officials in several states also vowed to investigate the BLM foundation’s finances in the wake of the 2020 protests, citing their responsibility to protect residents who had donated in good faith. Yet, most of these probes were resolved without official action. The lack of concrete findings has not silenced critics, but it has underscored the challenges of proving financial impropriety in a sprawling, decentralized social movement.

As of late October 2025, the Justice Department’s investigation into BLM remains ongoing. No criminal charges have been filed, and the foundation continues to insist on its commitment to transparency and responsible stewardship. The story serves as a reminder of the intense scrutiny faced by high-profile social justice movements in the United States—and the complexities involved in managing vast sums of donated money amid competing expectations, internal disagreements, and external political pressures.

The outcome of the investigation remains uncertain, but for now, the Black Lives Matter movement continues to navigate the difficult terrain between activism, accountability, and the ever-watchful eyes of the public and the law.