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Steve Bannon, a former Trump adviser, has pleaded guilty to fraud for his role in a fundraising scheme that defrauded donors who contributed to the “We Build the Wall” campaign.
Some shit you should know before you read: Back in 2018, the “We Build the Wall” campaign was launched as a private fundraising effort to support the construction of a US-Mexico border wall, a key promise of Donald Trump’s 2016 presidential campaign. The online crowdfunding initiative, spearheaded by military veteran Brian Kolfage, claimed that 100% of the donations would go directly toward building sections of the wall on private land. The campaign quickly gained traction, raising over $25 million from thousands of donors who believed they were directly contributing to national security efforts. However, federal investigators later found that large portions of the funds were misappropriated, with Kolfage secretly receiving a $100,000 upfront payment and $20,000 per month, despite public assurances that he would not take a salary. Additionally, prosecutors alleged that the money was funneled through shell companies and nonprofits, with significant sums used for personal expenses, luxury items, and credit card debt. The scheme led to an indictment in August 2020, with federal authorities charging multiple individuals, including Kolfage and former Trump adviser Steve Bannon, with conspiracy to commit fraud and money laundering.
What’s going on now: During his court appearance today, Steve Bannon pleaded guilty to felony fraud in connection with the fundraising scheme, admitting that he helped defraud donors who contributed to the project under false pretenses. Prosecutors accused Bannon of participating in a conspiracy that diverted donor money to cover personal expenses and pay co-founder Brian Kolfage, despite public claims that 100% of the funds would go toward building a border wall. While Bannon did not personally pocket the majority of the funds, he helped funnel over $1 million through a nonprofit he controlled, with a portion of that money going toward Kolfage’s secret salary.
As part of his plea agreement, Bannon received a three-year conditional discharge, meaning he will avoid prison time unless he violates the terms of the deal. He is barred from fundraising or leading charitable organizations in New York and cannot use or sell donor data collected from the campaign. If he fails to comply with the agreement, he could face between 1 1/3 to 4 years in prison.
Prosecutor reacts: In a statement, Manhattan District Attorney Alvin Bragg said, “This resolution achieves our primary goal: to protect New York’s charities and New Yorkers’ charitable giving from fraud. With this felony plea, the defendant will not be able to serve as an officer, director, or in any fiduciary position, or fundraise for, any charitable associations with assets in New York State, nor can he use or sell WBTW donors’ information. New York has an important interest in rooting out fraud in our markets, our corporations, and our charities, and we will continue to do just that.”
