The indictment of the Southern Poverty Law Center on federal fraud charges this week is the start of what could become not just a major criminal prosecution but a major constitutional challenge. At issue is whether the Center’s secret operations to enlist and pay informers constituted fraud of its donors.
The center has long been controversial after drifting away from its early litigation against segregation and becoming more of a partisan organization targeting conservative organizations. I shared that criticism after the center went after groups such as Focus on the Family for opposing LGBTQ values.
It also drew outcries after focusing on Turning Point in a report titled “The Year in Hate and Extremism 2024” as “A Case Study of the Hard Right in 2024”.
The federal indictment alleges that the Center improperly paid informants to infiltrate extremist groups without disclosing the payments to donors. The Center insists that these were confidential informants and that law enforcement was informed of the results of these operations when they shared evidence with local and federal agencies.
The indictment cites pitches to donors that failed to mention that millions were given to figures in hate groups while pledging that “Your support powers our work to confront hate, stand up to injustice, and defend our civil and human rights. From the courtroom to the classroom to communities across the country, you can help create a more just and inclusive future for all.”
It is rare to see a private organization engaged in such clandestine operations, using confidential sources the way that the FBI does with drug and other criminal organizations.
Some of what is described in the indictment is surprising and, frankly, could form the basis for civil action by the targeted groups. For example, I was surprised by this graph in the indictment:
“F-9 was affiliated with the neo-Nazi organization, the National Alliance and C. served as an F for the SPLC for more than 20 years. F-9’s activities included fundraising for the National Alliance. Between 2014 and 2023, the SPLC secretly paid F-9 more than $1,000,000.00. In 2014, F-9 entered the headquarters of a violent extremist group and stole 25 boxes of their documents. F-9 coordinated payment for the copying of the materials with a high-level SPLC employee who had knowledge the documents had been stolen. The original stolen materials were returned to the violent extremist group in a second illegal entry by F-9.”
This individual was allegedly paid a million dollars for such services. The Center does not have any special authority to commit such acts. It reminds me of the cases involving media organizations.
Courts have previously held that reporters do not have any special privilege to commit trespass and may be sued for such offenses. In Food Lion v. ABC, a store was shown in an undercover segment engaging in unsanitary practices, and Food Lion was accused of selling rat-gnawed cheese, meat past its expiration date, and old fish and ham that had been washed in bleach to mask the smell. Food Lion denied the allegations and sued ABC for trespass. A jury ruled against ABC and awarded Food Lion punitive damages in an investigation into ABC journalists lying on their application forms and assuming positions under false pretenses. (here). The Fourth Circuit, however, wiped out the punitive damage award while upholding the trespass and breach-of-loyalty verdicts, with awards of only $1 for each.
There is also a case out of the Seventh Circuit. Judge Richard Posner wrote the decision in Desnick v. ABC, where investigative reporters went undercover in 1993 to show that employees of the Desnick eye clinic had tampered with the clinic’s auto-refractor, the machine used to detect cataracts, so that the machine produced false diagnoses to find cataracts (and require procedures). The court rejected wiretapping claims (based on the state’s one-party consent rules) as well as trespass and defamation claims. On trespass, the court noted that the reporters were allowed into areas open to new patients. Posner relied on the consent to the entry to negate the trespass claim even when the entrant “has intentions that if known to the owner of the property would cause him . . . to revoke his consent.”
In this matter, there was no Desnick-like claim in entering non-public areas and removing material. A valid civil action alleging trespass and other claims could be raised. Moreover, the affected groups could potentially allege a tolling of the statute of limitations given the secrecy of the operations.
Setting aside such civil litigation, this will still be a challenge for the Justice Department. Acting Attorney General Todd Blanche told Fox News that the investigation was begun under the Biden Administration but then suddenly terminated.
The action is likely to draw serious constitutional challenges over free speech and associational rights. The Center can argue that it was clear that they were targeting racist groups by any means necessary. While they did not discuss such clandestine operations, they will argue that the operations were still used to attack these groups and share information with law enforcement. The Center is also likely to raise selective prosecution claims.
The government has a tough case, with the alleged fraud used to produce evidence submitted to state and federal prosecutors. In addition, if this case extends into a new administration, a Democratic Justice Department could scuttle the case as did the Biden Administration.
Once again, it is remarkable to read the extent to which the Center acted like a mini-FBI in running its own confidential informants and allegedly conducting a “black bag job.”
The unfolding prosecution is likely to shine a light on the tactics used by the Center. It could also further define the constitutional protections for such organizations in using such novel and controversial means.
Here is the indictment: United States v. Southern Poverty Law Center
Page 5, 2nd from the top:
F-42 was the former chairman of the National Alliance. The SPLC website contained an “Extremist File” webpage about F-42 from which the SPLC solicited donations. Between 2016 and 2023, the SPLC secretly paid F-42 more than $140,000. This overlapped the time period in which F-42 was featured on the SPLC’s “Extremist File” webpage.
That’s not an “informant”, that’s an agent provocateur. The SPLC was paying F-42 to create the “racism” they then fundraised off of.
There is also the issue of providing material support. If the informant paid for anything used in criminal activities, the SPLC is legally liable for those activities.
Imagine a SPLC informant driving the bank robbers to the bank, and dropping them off, with full knowledge they planned to rob a bank. The informant is legally liable for the bank robbery. As are the people who paid him. They assisted in the commission of a crime. When the FBI or the police do this, it is legal. But the SPCC is NOT the FBI or the police. Law enforcement gets special treatment, but has to play by special rules, like getting warrants, and reading people their rights.
My understanding is the informant for the Unite the Right group paid for and drove the bus bringing the people he personally recruited to Charlottsville.
At issue is whether the Center’s secret operations to enlist and pay informers constituted fraud of its donors.
This is wrong. They paid agent provocateurs, not just “informers”.
When you’re paying someone whose words you quote in your fundraising notices, that’s not “paying informers”.
And the “means” was they were creating “racism” so they could fundraise off of it.
That’s fraud
How are SPLC’s actions here any different than a weapons manufacturer that covertly instigates a war between two countries, and then sells weapons to both sides in order to profit from the carnage?
Most people would find that behavior morally repugnant.
Which war was that?
So your argument is that because you saw some vaguely similar conduct in a fictional show on Netflix that the SPLC can do something even more morally egregious in real life ?
Please cite known real world examples of arms producers instigating wars ?
In the real world Julius Streicher was tried and hanged at numemberg for fomenting genocide.
If these groups were as dangerous as SPLC claims then funding them is a “crime against humanity”
With respect to your Arms dealer hypothetical – as repugnant as the mythical behavior you raise is, there are only two legitimate purposes for arms. Intimidation and use. Arms producers do not pretend they are selling butterflies.
They are selling lethality. There is no fraud.
SPLC was selling anti-racism while funding racism. That is fraud.
It is helpful for us in the hinterlands to understand how these frauds occur, how they are financed, and how their tracks are covered by a compliant media. Terms like Non-Profit and NGO easily mask political activities. The criminality of the widespread hoaxes may depend upon the tax-exempt status of the organization: Donations to political organization are not deductible for purposes of income tax. If the SPLC chooses to commit obvious public fraud, their donors are not entitled to deduct their gifts. Same rules for D and R..
Prof Turley may not be aware of this case
https://law.justia.com/cases/federal/appellate-courts/ca4/19-2419/19-2419-2021-07-12.html
ANON
How is this relevant ?
While I uestion the dismissal of Allens defamation claim.
The primary issue was that Allen was suing in a state court to challnge SPLC’s tax exempt status.
The court was Correct – Allen can not challenge federal tax exempt status in state court.
And that is not relevant to this case.
Are you using Bad legal AI to find these things ?
research their snitch CAROL HOWE who was handled jointly by them and the ATF. She informed that the Murrah Federal building was targeted for b***b.
ANON
When the FBI paid informants during COINTELPRO did they disclose the funding to taxpayers? When they were found out, they changed the program to infiltrating Black Identity Politics groups and di the same thing. The FBI stopped accepting information from the SPLC because it Kash Patel deemed it “too partisan.” The SPLC kept bringing them info against the president’s friends. The goal of these indictments is to protect white supremacy, full stop.
truth!
From your lips to God’s ears.
Moses brought down the tablets that prohibit coveting other nations, bearing false witness about them, and stealing what belongs to their rightful owners.
Most abductees have one compelling, overwhelming desire: To go home.
The Israelite slaves were out of Egypt before the ink was dry on their release papers, but then, they had the capacity and acumen sufficient for the task.
“Free stuff” and “free status” now, “free stuff” and “free status” tomorrow, “free stuff” and “free status” forever are your slogans, right?
I just want to focus back on a bigger tragedy than how SPLC disrupted a book club. Lets got back another decade to the 90s.
When Bill Clinton was Pres, and they paid informants during Janet Reno’s Operation PATCON, did they pay certain members of the “MIDWESTERN BANK ROBBERS GANG’ aka the “ARYAN LIBERATION ARMY” for packing the truck that McVeigh used to target the Murrah building? Enquiring minds want to know.
See, “Others Unknown” by Stephen Jones
See, “In Bad Company,” by Mark S Hamm
See, “Oklahoma City,” by Gumbel & Charles
See, “Blowback” by Margaret Roberts
What’s this got to do with SPLC? Hotshot Morris Dees head of the SPLC and ATF were jointly running Carol Howe the informant who gave advance notice of the bad act.
Does that amount to… Conspiracy? 18 USC s 241– at least? just asking questions here
ANON
The SPLC is not the FBI. Not even close. Apples and orangutans
Yes, only the SPLC is interested in stopping white supremacists.
SPLC is creating white supremacists in the first place. Would there be as many without their funding??
There was no suggestion anywhere that the SPLC created a single white supremacist. They found existing white supremacists willing to snitch. Show me a single example otherwise.
they paid members of racist organizations to keep being racist so they could make more money.
Hahaha!!!
Yes, all those parent groups that want to protect their children that the SPLC deemed hate groups.
The same SPLC who defended Antifa.
The SPLC has been nothing but a grift for way too long.
Donors deserve to be swindled.
That’s an interesting 🤨 and ridiculous take.
That’s the dumbest shit I read all day. If you, by chance, have a job, better keep it. You are dumb,
Did the FBI use those informants to raise money from private donors, thereby enriching the FBI employees?
You’re not very bright.
EB – please cite any consequential acts of organized Right wing violence ?
While the issue with the SPLC is FRAUD – not surprising as SPLC has ALWAYS been about lining the pockets of its directors.
This is not the first corrputions scandal at SPLC – there are more than can be counted – embezelment, racism, sexual abuse.
The SPLC is and has been for decades a disaster.
Many of us are wonfering what took so long ?
There is lots of violence in the US. There is lots of political violence in the US.
Assassination plots against supreme court justices.
Assassination attempts on the president.
Assassinations of business leaders and leading conservatives.
Rioting,
destruction of property.
Bombings
and on and on
These are from the LEFT.
Are there right wing hate groups ? Absolutely, These are nearly all “prison drug gangs” they are organized arround race – because gangs in prison are organized arround race.
The are different from hispanic and black gangs only in that they are smaller and less violent.
You do not live in reality.
Matthew 7:3-5
And why beholdest thou the mote that is in thy brother’s eye, but considerest not the beam that is in thine own eye?
Or how wilt thou say to thy brother, Let me pull out the mote out of thine eye; and, behold, a beam is in thine own eye?
Thou hypocrite, first cast out the beam out of thine own eye; and then shalt thou see clearly to cast out the mote out of thy brother’s eye.