Nonprofit Scandal: $6.5M Vanishes!

Minnesota nonprofit leaders allegedly siphoned $6.5 million in taxpayer-funded violence prevention money for luxury cars, Las Vegas trips, and private businesses, betraying communities still reeling from post-Floyd chaos.[3][10]

Story Highlights

  • Minnesota Attorney General Keith Ellison sues We Push for Peace founder Trahern Pollard and Jaclyn McGuigan for misusing over $6.5 million in nonprofit funds.[1][2][10]
  • Pollard accused of diverting $6 million to personal luxuries like Harley-Davidson motorcycles, child support, and his liquor store and car dealership.[1][3][10]
  • McGuigan allegedly laundered $500,000 through personal accounts amid commingled finances lacking proper records.[1][3]
  • Nonprofit received nearly $2 million from Minneapolis for violence interruption but lacked active board and safeguards, leading to its collapse.[2][3]
  • Leaders hid actions from investigators, sparking calls for full accountability on misused public contracts.[1][2]

Lawsuit Details Misuse of Nonprofit Funds

Minnesota Attorney General Keith Ellison filed a 37-page civil lawsuit in Hennepin County District Court against We Push for Peace, founder Trahern Pollard, and former board chair Jaclyn McGuigan. The complaint accuses them of diverting over $6.5 million in charitable assets for personal gain over five years.[1][2][3][10] Pollard allegedly transferred funds directly to himself, used the nonprofit’s credit card for personal expenses, and funneled money to his for-profit liquor store and car dealership. Specific examples include purchases of Harley-Davidson motorcycles, pool and spa equipment, Las Vegas ATM withdrawals, child support payments, and personal tax bills.[1][3][10]

McGuigan faces accusations of misusing about $500,000 by routing funds through her personal bank accounts. The lawsuit notes exact amounts remain uncertain due to extensive intermingling of nonprofit and personal finances, with no proper accounting records maintained.[1][3] The organization lacked an active board of directors, failed to hold required meetings, and operated without basic policies to safeguard assets. These governance failures enabled unchecked conflicts of interest and improper loans.[2][3]

Revenue Surge Tied to Post-Floyd Contracts

We Push for Peace saw explosive revenue growth after George Floyd’s 2020 murder, securing multi-million-dollar contracts for violence prevention. City of Minneapolis provided nearly $2 million over five years, while Whole Foods funded community outreach until severing ties last year.[2][3][10] Annual revenues climbed from $267,089 in 2020 to peaks of $6.97 million in 2024, dropping to $1.94 million in 2025.[2] Despite this influx, leaders allegedly prioritized personal enrichment over mission, leaving the nonprofit “run into the ground” and barely operational during critical crime surges.[1][3]

Pollard created for-profit entity Change Makers Service Corporation after state scrutiny, diverting at least $930,794 in checks payable to We Push for Peace into its accounts. In 2025, he deposited $56,040 of store revenue checks made to the nonprofit into a personal controlled account.[2] These actions followed revocation of his access to nonprofit funds, prompting allegations of obstruction.[1][2]

Obstruction and Broader Implications

The lawsuit claims Pollard and McGuigan lied to investigators, including mislabeling a $35,000 payment to friends as “Chicago Payroll” and a child support payment as nonprofit expense.[1][2][10] They provided false statements to the Attorney General’s Office during its probe, with evidence of potential criminal activity referred to law enforcement.[3] This civil case seeks recovery of assets, dissolution of the nonprofit, and bans on defendants serving in charitable roles.[2]

Conservatives have long warned that unchecked government grants to post-Floyd “violence interrupter” groups fuel waste and corruption, diverting taxpayer dollars from real law enforcement. Minneapolis residents deserve answers on how millions vanished while crime persisted. This scandal underscores the need for strict oversight on public funds, aligning with President Trump’s push for accountability in federal spending. Full forensic audits and depositions in discovery will test these grave allegations.[3][10]

Sources:

[1] Minneapolis nonprofit founders push back on lawsuit alleging they …

[2] May 5, 2026 Press Release – Minnesota Attorney General’s Office

[3] We Push for Peace leaders accused of misusing $6.5 million … – KSTP

[10] $6.5 million nonprofit lawsuit: Former ‘We Push For Peace’ leaders …