Trump-backed organizer of America’s 250th birthday events may have duped donors, report from House Democrats alleges

Donors intended to support a bipartisan nonprofit organizing celebrations for America’s 250th anniversary were allegedly directed without their knowledge to a separate nonprofit behind events backed by President Donald Trump, according to a report from a group of House Democrats citing confidential, unnamed sources.

The interim report, compiled by Democratic staff on the House Natural Resources Committee, includes accounts from anonymous sources that donors seeking to donate to America250, a nonprofit overseen by a bipartisan congressional panel, were given false wire instructions so their money would flow to the Trump-backed Freedom 250.

“A gift requested on behalf of the nation’s nonpartisan birthday commission could therefore be redirected without the donor’s knowledge by an entity created to serve the President’s priorities,” the report said.

If true, these actions could constitute “potential wire fraud and charity fundraising fraud,” according to the report; However, the report does not include details of how much money was transferred.

The 41-page report alleges that Trump’s allies are trying to sideline America250 by placing the president at the center of the nation’s anniversary and “selling” access to him in exchange for donations. Freedom 250’s activities are largely overseen by top Trump aides, and it has taken steps to brand itself as the “non-partisan” group “leading the celebration” of America’s birthday.

The report echoes complaints from outside watchdog groups about a lack of transparency about its finances and operations Freedom 250A subsidiary of the National Park Foundation, it launched late last year to run a series of 250th programs that Trump hopes will “renew national pride.”

Among the events organized by Freedom 250, the group included Trump’s Great American State Fair On the National Mall. An IndyCar race in Washington, D.C. and the Patriot Games, a youth track and field competition in which two young winners will share a $250,000 scholarship prize, will be on the books for August.

Danielle Alvarez, a spokeswoman for Freedom 250, called the allegations in the report “categorically false” in a statement.

“This so-called ‘report’ is nothing more than a partisan smear from politicians who would rather sow division than celebrate America’s 250th birthday with the rest of the country,” he said.

CNN has also reached out to the White House and the National Park Foundation for comment.

The report details an ongoing battle between Freedom 250 and America250 over taxpayer funds that committee Democrats claim has left the bipartisan nonprofit with a $100 million shortfall.

Citing news reports and confidential interviews conducted by staff, the report stated that the Trump administration has refused to hand over promised federal funding to America250.

Last year, Congress appropriated $150 million for the 250th celebration under the “One Big Beautiful Bill,” and the report claims that White House officials and America250 agreed that the group would receive $100 million of those funds. But White House officials told America250 in November that it would receive only $50 million, according to the report.

But the report said America250 has received only half of those funds ($25 million) so far and “has struggled to execute planned programming due to financial uncertainty and incompatibility with Freedom 250.”

A spokesperson for America250 told CNN last month that most of the financial support for its big July 4th events comes from “private sources.” When asked about reported tensions with Freedom 250 over sponsors and federal funding, the spokesperson said America250 supports “private sponsors with the flexibility to work with all organizations planning events and initiatives” for the 250th anniversary.

America250 president Rosie Rios said in a statement Thursday that the organization “will continue to focus on values-based programming approved by our bipartisan Commission at the local, state, national and international levels, including once-in-a-lifetime celebratory moments throughout the Fourth of July weekend.”

“We support many other organizations at the federal, state and local levels planning events for the 250th, so all Americans will have ample opportunity to participate in the celebration,” he added.

Alvarez, the Freedom 250 spokesman, criticized America250, saying the commission “has nothing to show for” the years and money spent on the nation’s birthday.

“We stepped in to save our nation’s 250th birthday from years of wasted time, wasted money and failed planning,” he said.

The majority of Freedom 250’s operating funds come from “federal funds appropriated by Congress specifically for 250th anniversary commemorations,” the National Park Foundation said in a letter to committee Democrats last month, according to the report. federal records It shows that $68 million was sent from the Ministry of Internal Affairs to the foundation, which has the authority to distribute funds to Freedom 250.

The report also mentions Freedom 250 sponsorship packages, which include VIP event access, speaking roles at national Fourth of July celebrations and a “historic photo opportunity” with Trump for people who meet donation criteria.

The National Park Foundation told Democrats on the committee that it was not involved in the development of Freedom 250’s promotional materials or donor benefit packages, according to the report.

Like America250, Freedom 250 can protect the anonymity of its donors. But Freedom 250’s connection to the White House has drawn the attention of watchdog groups and Democrats, who have demanded that Freedom 250 publicly disclose the identities of its donors.

Freedom 250’s website lists nearly two dozen sponsors. Some, like Palantir, Lockheed Martin and Oracle, have large federal contracts to provide data and defense services. Ultimate Fighting Championship and Penske Corp. Others, like , are led by Trump allies Dana White and Roger Penske, respectively.

Asked last month whether Freedom 250 would commit to publicly disclosing its donors, CEO Keith Krach told CNN in an interview: “We’re all about accountability and transparency.”

The National Park Foundation, for its part, said Freedom 250 funds, both public and private, received or spent will be accounted for through standard financial reporting and auditing processes.

Rep. Jared Huffman, a California Democrat who serves as the ranking member of the Natural Resources Committee, said in a June 25 interview before the report’s release that he hoped to investigate Freedom 250 more aggressively if Democrats take back the House of Representatives in November. Committee chairs have subpoena power.

“Red flags are certainly waving everywhere about the corrupt quality of this entire enterprise, but we may not be able to tell the full story until next year,” he said.

This story has been updated with additional information.

For more CNN news and newsletters, create an account at: CNN.com