The funds were reportedly granted to The Council on American-Islamic Relations’ (CAIR) California chapter. The IAN has called for an "immediate investigation" into the matter and has submitted a complaint to the Department of Justice.
As reported by The Post Millennial, the watchdog group claims that the funds were intended to assist in the resettlement of impoverished immigrants in California between 2022 and 2024. However, the IAN alleges that the sum of $7,217,968.44 was directed to CAIR-Greater Los Angeles, rather than CAIR-CA. The latter is not a registered non-profit and is therefore ineligible to handle charitable donations, according to the complaint.
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The complaint further states, "These sub-grants from CAIR-CA to CAIR chapters raise serious legal concerns about whether CAIR simply shifted more money to itself." It is alleged that CAIR Los Angeles divided the federal grant and "sub-granted" it to other groups, including CAIR’s chapters in San Diego and San Francisco. These chapters are not registered with the IRS and, upon receipt of the funds, are not publicly accountable for their expenditure.
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Julie Marzouk, a founding board member of IAN, voiced her concerns to The New York Post, stating, "There’s no transparency. This is part of a consistent pattern from CAIR — to muddy the waters and limit the public’s ability to track the money." The IAN has also requested that the federal government revoke CAIR-CA’s accreditation, which is necessary for the organization to receive grants under the Justice Department’s refugee program.
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The complaint also alleges that CAIR's "misuse of federal grant funding and support for Hamas, a US-designated foreign terrorist organization, do not meet the ethical and legal requirements necessary for EOIR [Executive Office of Immigration Review] accreditation." The IAN is advocating for a formal forensic audit and a thorough DOJ investigation to assess the full extent of CAIR-CA’s alleged financial misconduct, compliance breaches, and support for terrorism.
The IAN is also seeking an investigation into a $2.6 million grant that CAIR-CA received from California’s Department of Social Services for the state’s 2022 "Stop the Hate" program. Marzouk alleges that CAIR leaders in California have lobbied against Holocaust education in the Senate and have advocated for anti-Israel measures at the municipal level.
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The executive director of CAIR in San Francisco, Zahra Billoo, has made controversial statements, asserting that the world was "witnessing decolonization." Billoo has also urged vigilance towards Jewish organizations, stating, "We need to pay attention to the Anti-Defamation League. We need to pay attention to the Jewish Federation. We need to pay attention to the Zionist synagogues. We need to pay attention to the Hillel chapters on our campuses, just because they are your friends today, doesn’t mean that they have your back when it comes to human rights."
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Hussam Ayloush, the executive director of CAIR-CA, has also made contentious remarks, claiming that Israel had no right to defend itself after the Oct. 7 attacks, but that Palestinians have the right to "pick up arms."
CAIR was removed from the Biden administration’s antisemitism task force after its founder, Nihad Awad, praised the Oct. 7 massacre against Israel. Last month, CAIR settled a lawsuit brought by a former board member and employee rather than disclose its sources of foreign funding.
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The Justice Department has also listed CAIR as an "unindicted co-conspirator" in the Holy Land Foundation trial, the largest terror trial in US history. Steve Emerson, founder and director of the Investigative Project on Terrorism, has asserted that "CAIR was created as a Hamas front group and still functions as a propaganda arm of Hamas to this day."