Reports indicate that the Black Lives Matter Global Network Foundation is currently facing severe financial difficulties, nearing bankruptcy due to substantial payouts made to various chapters, both legitimate and illegitimate.
During the period from 2021 to 2022, donations to the foundation plummeted by 88%, resulting in an annual deficit of $8.5 million, as reported by The Washington Free Beacon. Adding to the organization’s troubles, one of the co-founders, Patrisse Cullors, resigned in 2021 amidst allegations of financial impropriety, misusing group funds for personal gain.
According to The New York Post, Cullors embarked on a significant real estate shopping spree, acquiring four high-end properties worth $3.2 million within the United States alone, while protests associated with the Black Lives Matter movement were occurring nationwide.
Cullors’ brother, Paul, is another example of familial involvement within BLM. His two companies received payments totaling $1.6 million in 2022 for providing “professional security services.” Furthermore, companies affiliated with Damon Turner, the father of Cullors’ child and who earned approximately $970,000 in 2021, paid Paul an additional $126,000 in 2022 for the role of “head of security.”
Paul Kamenar from the National Legal and Policy Center watchdog group expressed concerns, stating, “Even though Patrisse Cullors was compelled to step down due to accusations of misusing BLM’s funds, it appears she is still favoring her own family members.”
Reports also revealed that Black Lives Matter invested nearly $12 million in real estate in Toronto and Los Angeles by May 2022. The organization received a “grant from outside the country” worth $6.3 million, as stated in BLMGNF’s federal tax filing for the fiscal year 2020. This grant was intended for “activities to educate and support black communities and to purchase and renovate property for charitable use” in Toronto, specifically involving a 10,000-square-foot building.
Cicley Gay, the head of BLMGNF’s board of directors, acknowledged the unexpected growth and scale of the foundation, expressing the need to establish efficient infrastructure to manage the largest black abolitionist philanthropic organization ever established in the United States.
Board member Shalomyah Bowers echoed this sentiment, emphasizing the creation of new policies, operational frameworks, and administrative structures. The aim is to assure the black community of their long-term commitment, which can only be realized by demonstrating stable financial circumstances.
Despite a successful fundraising year in 2021, with reported proceeds of $90 million, the foundation now faces significant financial challenges threatening its future viability.