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THE WEEKLY REVEAL

Saturday, June 11, 2022

Hello! In this issue:

NEW

She Helped Create the Big Lie. Records Suggest She Turned It Into a Big Grift.
By Cassandra Jaramillo

Catherine Engelbrecht, founder of True the Vote. Credit: Samuel Corum/Getty Images

True the Vote has been a key player in giving rise to the myth that widespread voter fraud is undermining U.S. elections.

Yet the Texas-based nonprofit hasn’t proven its big claims – or even produced the evidence it promises.

Our new investigation shows what True the Vote has been doing with its donations: It has engaged in a series of questionable transactions that has directed more than $1 million combined to its founder, a longtime board member and its general counsel. Based on thousands of pages of tax filings and court documents, the story highlights how promoting former President Donald Trump’s Big Lie has become a thriving economy. 
 

The records show: 

  • Questionable loans: True the Vote regularly reported loans to founder Catherine Engelbrecht, including more than $113,000 in 2019, according to a tax filing. Texas law bans nonprofits from loaning money to directors; Engelbrecht is both a director and an employee.

  • Insider contracts: Companies connected to Engelbrecht and longtime board member Gregg Phillips collected nearly $890,000 from True the Vote from 2014 to 2020. The largest payment – at least $750,000 – went to a new company created by Phillips. One expert called the contract “eye-popping” for its largess. Engelbrecht and Phillips also have been romantically linked in a court filing from a disgruntled donor.

  • Big legal bills for failed strategy: True the Vote provided conservative superstar attorney James Bopp Jr.’s law firm a retainer of at least $500,000 to lead a legal charge against the results of the 2020 election, but he filed only four of the seven lawsuits promised to a $2.5 million donor, all of which were voluntarily dismissed less than a week after being filed. The donor later called the amount billed by Bopp’s firm “unconscionable” and “impossible.”

  • Bad bookkeeping: The organization’s tax returns are riddled with inconsistencies and have regularly been amended. Experts who reviewed the filings said it makes it difficult to understand how True the Vote is truly spending its donations.


Legal and nonprofit accounting experts who reviewed Reveal’s findings said the Texas attorney general and Internal Revenue Service should investigate.

“This certainly looks really bad,” said Laurie Styron, executive director of CharityWatch.

Read the full investigation
📄 Related: 6 Takeaways From Our Investigation Into a Prominent Voter Fraud Nonprofit

More from our coverage on the threats to democracy:

• Read: Inside the GOP’s Purge of Local Election Officials in Michigan

• Listen: How Michigan Became the Test Lab for the Anti-Democratic Movement

• Read: Behind the Tweet That Became the Rallying Cry for the Insurrection 

• Listen: How Misinformation Spreads, from Stop the Steal to Anti-Vaccine Conspiracies

THIS WEEK’S PODCAST

Baseball Strikes Out

In the early 2000s, rampant steroid use across Major League Baseball became the biggest scandal in the sport’s history. But fans didn’t want to hear the difficult truth about their heroes – and the league didn’t want to intervene and clean up a mess it helped make.

This week on Reveal, we look back at how the scandal unraveled. The show:

  • Revisits the steroid era to untangle its truth from the many myths.

  • Examines the legacy of baseball’s so-called steroid era.

  • Explores what it tells us about sports culture in America.

This episode is from the Crushed podcast from Religion of Sports and PRX and originally aired in July 2021.

Listen to the episode

🎧 Other places to listen: Apple PodcastsSpotify, Google PodcastsStitcher or wherever you get your podcasts.

🎨 Illustration by Molly Mendoza for Reveal

WE NEED YOUR HELP

Reveal Legal Team Goes to Court Tuesday to Defend Us From a Libel Lawsuit

Planet Aid’s used clothing donation boxes can be found in parking lots across the United States. Credit: Amy Walters/Reveal

In front of the U.S. Court of Appeals for the 9th Circuit, our legal team will defend us this Tuesday from a vexatious libel lawsuit filed by Planet Aid over five years ago. We reported on the charity’s possible corruption; the organization sued us and has been draining resources from us in hopes that we will retract our story or disappear completely.

This case is not just about us: It’s about protecting the freedom of the press and defending our democracy. Without robust protections for the press, there are no safeguards for truth.

Please show your support for our work, and for the First Amendment, by donating today.

Donate before June 14

In Case You Missed It

Migrant Children Died on Border Patrol Chief’s Watch. Then She Ran an Emergency Shelter Under Biden.
Our Drug Rehab Investigation Led to 96 Convictions and Millions in Restitution
This issue of The Weekly Reveal was written by Andrew Donohue and Kassie Navarro, edited by Sarah Mirk and copy edited by Nikki Frick. If you enjoyed this issue, forward it to a friend. Have some thoughts? Drop us a line with feedback or ideas!
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