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Southern Poverty Law Center Indicted on Federal Fraud Charges Over Informant Payments

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Federal Grand Jury Indicts Southern Poverty Law Center

The U.S. Department of Justice has indicted the Southern Poverty Law Center (SPLC) on federal fraud charges related to its use of paid informants to infiltrate extremist groups. The indictment was announced on April 21, 2026, by Acting Attorney General Todd Blanche.

Indictment Details

A grand jury in the U.S. District Court in Montgomery, Alabama, returned an 11-count indictment against the SPLC. The charges include:

  • Six counts of wire fraud
  • Four counts of bank fraud
  • One count of conspiracy to commit money laundering

The Department of Justice alleges that the SPLC paid at least $3 million to eight individuals between 2014 and 2023. According to the DOJ, some of these individuals were associated with groups including the Ku Klux Klan, the United Klans of America, the National Socialist Party of America, the Aryan Nations-affiliated Sadistic Souls Motorcycle Club, and the America Front.

Allegations

The indictment alleges that the SPLC's paid informants, referred to as "field sources," promoted racist groups while the SPLC publicly denounced the same organizations. Prosecutors allege the SPLC did not disclose the informant program to donors, which they say is required for nonprofit transparency.

According to the indictment, money was transferred through two bank accounts and loaded onto prepaid cards for informants. Specific allegations include:

  • One informant was paid over $1 million between 2014 and 2023 while affiliated with the neo-Nazi National Alliance
  • Another informant was identified as the Imperial Wizard of the United Klans of America
  • The SPLC paid approximately $270,000 over eight years to a member of a leadership group involved in planning the 2017 Unite the Right protest in Charlottesville, Virginia

At least nine unnamed informants were paid through a program prosecutors say began in the 1980s.

Statements from Officials

Acting Attorney General Todd Blanche stated at a press conference:

"The SPLC was not dismantling these groups. It was instead manufacturing the extremism it purports to oppose by paying sources to stoke racial hatred."

Blanche said the group did not disclose the informant program to donors.

FBI Director Kash Patel was present at the DOJ press conference. In October 2025, Patel stated the FBI would sever ties with the SPLC, which he called a "partisan smear machine."

Response from the SPLC

SPLC interim CEO Bryan Fair stated that the organization is "outraged by the false allegations levied against SPLC." He defended the organization's work:

"Taking on violent hate and extremist groups is among the most dangerous work there is... this program saved lives."

Fair said the SPLC would vigorously defend itself. He stated that the program was kept confidential to protect informant safety and that information gathered was frequently shared with the FBI and other law enforcement agencies. He cited historical violence during the Civil Rights Movement as context for the program's confidentiality.

Background on the SPLC

The SPLC was founded in 1971 in Montgomery, Alabama, originally as a civil rights law practice. It shifted focus in 1979 to confront hate groups directly through litigation and its monitoring project. The organization has used civil lawsuits to combat white supremacist groups for decades.

The SPLC has faced criticism from Republicans on Capitol Hill and from conservatives who accuse it of unfairly labeling right-wing groups as extremist. House Republicans held a hearing about the SPLC in December 2025, alleging coordination with the Biden administration to target conservative Americans.

Internal History

The organization has experienced significant internal changes, including:

  • The 2019 firing of co-founder Morris Dees amid harassment claims
  • Leadership departures
  • Staff unionization
  • 2024 layoffs

Former and current employees have described disorganization and morale problems, as well as a shift away from the organization's original legal work.

Donor Reaction

Following the indictment, over a dozen verified SPLC donors expressed support for the organization in interviews and survey responses. All 20 donors who responded stated they continued to support the organization and felt their money was well used, including for paying informants. Some donors reported making additional contributions after learning of the indictment.

Support from Other Organizations

Over 100 civil rights groups, labor unions, and religious organizations signed a mutual defense pact in support of the SPLC, committing to defend one another against Trump administration attacks.

Statements from Legal Observers

Law professor Phil Hackney commented that the government's approach is unusual, targeting the method and intent of how a non-profit used its money, rather than personal enrichment.

Federal criminal defense attorney Todd Spodek stated that the case appears to be a political attack on standard investigative tradecraft and that silence on tactical details is not a crime.