WASHINGTON (AP) — The Southern Poverty Law Center (SPLC) was indicted Tuesday on federal fraud charges over allegations it raised millions of dollars improperly to pay informants who infiltrated extremist groups, including the Ku Klux Klan. Acting Attorney General Todd Blanche announced that the center faces serious charges including wire fraud, bank fraud, and conspiracy to commit money laundering.

The indictment comes soon after SPLC disclosed that it was under criminal investigation for its informant program, which aimed to monitor violent threats and provided crucial information to law enforcement agencies.

SPLC CEO Bryan Fair asserted that the organization “will vigorously defend ourselves, our staff, and our work.” According to Blanche, between 2014 and 2023, the SPLC disbursed at least $3 million to individuals associated with various extremist organizations, including the United Klans of America and the National Socialist Party of America.

Blanche criticized the SPLC, saying, “The SPLC was not dismantling these groups. It was instead manufacturing the extremism it purports to oppose by paying sources to stoke racial hatred.” He added that the organization failed to provide necessary disclosures to its donors regarding its informant program, violating the transparency laws applicable to nonprofits.

Money was reportedly funneled through two different bank accounts before being distributed via prepaid cards to informants linked to extremist groups. Despite the allegations, Fair defended the need for secrecy regarding the program, emphasizing that it saved lives, especially during perilous times marked by violence in the Civil Rights Movement.

The SPLC, founded in 1971 in Montgomery, Alabama, has been at the forefront of combatting white supremacist movements and has faced backlash from conservative circles, who accuse the group of unfairly labeling political opponents as extremists.

The investigation raises concerns about the politicization of the Justice Department, especially under the Trump administration, which has been accused of targeting political adversaries.