Mormon Church Allegedly Lied to Members About $100 Billion Investment Fund

A whistleblower complaint also alleges the church could owe billions in unpaid taxes

Whistleblower Alleges Mormon Church Misled Members On $100 Billion Investment Fund
The historic Mormon Salt Lake Temple is shown here. (George Frey/Getty)
Getty Images

According to a whistleblower complaint that was filed against the Church of Jesus Christ of Latter-day Saints, the Mormon Church has been stockpiling billions of donated dollars that were intended for charity and avoiding paying taxes.

As first reported by The Washington Post, the complaint — which was filed with the IRS by a former employee for the investment arm of the organization — alleges the LDS Church has stockpiled about $100 billion intended for charitable purposes. The complaint also alleges a company that is registered as a supporting organization of the Mormon Church called Ensign has been abusing its non-profit status and could owe billions in unpaid taxes.

“The confidential document, received by the IRS on Nov. 21, accuses church leaders of misleading members — and possibly breaching federal tax rules — by stockpiling their surplus donations instead of using them for charitable works,” according to The Post. “It also accuses church leaders of using the tax-exempt donations to prop up a pair of businesses.”

“Claims being currently circulated are based on a narrow perspective and limited information,” the LDS Church told CNN in a statement. “The Church complies with all applicable law governing our donations, investments, taxes, and reserves. We continue to welcome the opportunity to work with officials to address questions they may have.”

The former employee who filed the complaint, David Nielsen, could receive a cut of any unpaid taxes the IRS can recover, since the government agency offers awards for whistleblowers.

Nielsen’s complaint also urges the IRS to strip the Mormon Church of its tax-exempt status.

Subscribe here for our free daily newsletter.

The InsideHook Newsletter.

News, advice and insights for the most interesting person in the room.