It seems that the Black Lives Matter (BLM) organization, a group once hailed as a beacon of social justice by the liberal left, is teetering on the edge of financial ruin.
Financial reports tell a tale of extravagant losses for BLM, a group that has lost its shine among the democratic cohort due to apparent fiscal negligence. The Washington Free Beacon obtained the tax return which showed a significant downturn in investments and a shocking financial deficit experienced by BLM in 2022.
As per the most recent tax return, BLM fell into an alarming $8.5 million deficit. The organization’s investments dwindled by around $10 million, with one transaction alone costing an 85% loss, translating to $961,000 on a mere $172,000 securities sale.
Despite such alarming fiscal chaos, the organization maintained its habit of assigning hefty contracts to associates and kin of Patrisse Cullors, its former executive director. This unrelenting financial irresponsibility seems to be the chief catalyst steering BLM towards insolvency.
The BLM, established in 2013 following the acquittal of Trayvon Martin’s perpetrator, soon rose to prominence as a leading advocate for social justice in the United States. However, the organization’s financial recklessness appears to have overshadowed its lofty ambitions.
The fiscal troubles that the BLM is now grappling with came after a series of setbacks, including a significant slump in fundraising compared to the previous year. The 2022 fiscal year saw the organization’s funds plunge by 88% to a mere $9.3 million.
Adding to its woes, the organization was forced to halt its online fundraising efforts in February 2022 due to compliance and transparency issues.
A considerable portion of the funds raised were channeled towards luxury residences in Los Angeles and Toronto. Significant sums were also disbursed to contractors with close ties to Cullors and her family. Notably, her brother, Paul, and his companies pocketed a whopping $1.6 million for providing security services. Moreover, other associates and relatives profited handsomely from the organization’s generous consulting fees.
In response to these allegations, Paul Kamenar, an attorney for a watchdog group, commented, “While Patrisse Cullors was forced to resign due to charges of using BLM’s funds for her personal use, it looks like she’s still keeping it all in the family.”
The BLM organization has been under fire for mismanagement and misuse of funds, with several investigations underway by the Internal Revenue Service and various state attorneys general.
Cullors stepped down amid allegations of financial mismanagement, but critics argue that her chosen successor, Shalomyah Bowers, continues to perpetuate these issues. The leadership baton was handed to Cicley Gay, a nonprofit sector consultant, following a transition period last summer. Alarmingly, Gay’s financial track record includes three Chapter 7 bankruptcy filings since 2005.
Online reactions have been anything but kind to BLM:
“With a massive fundraising of $90 million in 2020 alone and tens of millions subsequently, BLM now stands on the verge of declaring bankruptcy. Where did all the money go?”
“Is there an organization that managed their money worse than BLM?”
“Conservatives were indicted and jailed for allegedly misappropriating funds under the ‘Build the Wall’ non-profit initiative. Will the same law be applied to BLM after they squandered $85+ million and now face bankruptcy, or do laws only apply to those who support Make America Great Again (MAGA)?”
Sources: Trendingpoliticsnews, Washington Free Beacon
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