Minnesota fraud probe fuels IRS crackdown calls on nonprofit accused of Hamas links
FIRST ON FOX: The California chapter of the Council on American-Islamic Relations (CAIR) is facing heightened scrutiny as House Ways and Means Committee Chairman Jason Smith referred the group to...
By Fox News · Fox News
FIRST ON FOX: The California chapter of the Council on American-Islamic Relations (CAIR) is facing heightened scrutiny as House Ways and Means Committee Chairman Jason Smith referred the group to the IRS for a probe into whether the nonprofit should lose its tax-exempt status, citing alleged misuse of taxpayer funds, potential violations of federal law and support for unlawful activity. "Tax-exempt status is a privilege, not a right," Smith, a Republican from Missouri, told Fox News Digital Tuesday. "Organizations that receive special treatment under the tax code must follow the law and operate in the public interest, not bankroll illegal activity, mislead federal agencies, or misuse hard-earned taxpayer dollars." Smith sent a letter to Treasury Secretary and acting IRS chief Scott Bessent and IRS CEO Frank Bisignano Tuesday referring CAIR-California for IRS review, arguing that the nonprofit may no longer meet the legal standards required to operate as a 501(c)(3) organization. The letter claims that evidence alleges CAIR-California improperly used millions of dollars in federal funds, provided misleading information to the IRS, and materially supported activity that resulted in arrests and violations of the law, particularly during campus protests across California. BESSENT BLAMES WALZ AS TREASURY PROBES WHETHER MINNESOTA FRAUD FUNDS REACHED TERROR GROUP AL-SHABAB The Council on American-Islamic Relations is a leading American Muslim civil rights organization, with chapters across the country and its home base located in Washington, D.C. Republicans have scrutinized CAIR in recent years, including calls for Treasury reviews over alleged Hamas ties — allegations the group denies. CAIR pushed back on the letter to Fox News Digital Tuesday, calling it "embarrassing" and based on "a false claim made by a pro-Israel group without fact-checking." The New York Post published an article published in March 2025 based on an advocacy group, Intelligent Advocacy Network, inv…