FSC Files IRS Complaint Over AHF Ballot Measure Spending

FSC Files IRS Complaint Over AHF Ballot Measure Spending

CANOGA PARK, Calif. — The Free Speech Coalition has filed a formal complaint with the IRS over the tax-exempt status of the AIDS Healthcare Foundation, the organization said this morning.

The FSC said it lodged the complaint following a report in the LA Weekly that “detailed the nonprofits’ abuse” of its tax-exempt 501(c)(3) status.
 
Under the leadership of the group’s president, Michael Weinstein, the AHF has spent more than $23 million on measures ranging from antidevelopment initiatives to the adult film initiative Proposition 60, the LA Weekly reported.
 
“Michael Weinstein is using millions of dollars intended for people living with and affected by HIV on dubious political campaigns that benefit his bottom line,” said Eric Paul Leue, executive director of the Free Speech Coalition.

“This is not only a gross violation of IRS limits governing non-profit political spending, it’s an absolute abandonment of his organization’s moral imperative.

“Weinstein is robbing underserved communities that need treatment and education dollars to fuel anti-science moral crusades. We’re asking the IRS to immediately begin an investigation.”
 
AHF is currently being sued in Florida over an alleged $20 million in Medicare fraud, and has previously been sued for overbilling Los Angeles County by $5.2 million.
 
Several of the new violations could cost AHF its tax-exempt status, the FSC said.
 
Among the alleged violations included in the FSC complaint submitted to the IRS:

  • AHF has spent more than $19.7 million on political campaigns in 2016. IRS limits an organization of AHF’s size to $1 million per tax-year on political campaigns;
  • AHF has spent well over the $6 million allowed for a 501(c)(3) over the four-year period 2012-2015;
  • AHF dramatically underreported spending on Measure B in 2012 to the IRS. While AHF reported spending $2.3 million on the Measure B campaign alone to the California Secretary of State, but only reported $1.6 million in total political spending to the IRS that same year; and,
  • AHF has engaged in direct political attacks on political opponents, including multiple mailers targeting state Senate candidate Scott Wiener, violating the Internal Revenue Service’s clear restriction on political campaigning.

“Michael Weinstein’s out of control political spending is putting his organization's non-profit status at risk,” Leue said. “We also have reason to believe they are misusing federal 340B funding intended for uncompensated care to help finance political campaigns and for-profit business development.”

Prop 60, an initiative on the November ballot in California, would allow private citizens, including Weinstein, to file lawsuits against adult performers for not using condoms and collect 25 percent of any fine assessed on each successful prosecution.

Copyright © 2026 Adnet Media. All Rights Reserved. XBIZ is a trademark of Adnet Media.
Reproduction in whole or in part in any form or medium without express written permission is prohibited.

More News

Sabien DeMonia Drops Latest Evil Angel Directorial

Reigning Euro XMAs MILF Performer of the Year Sabien DeMonia has dropped her latest directorial effort for Evil Angel, “0% Pussy 100% Anal Squirt ATM.”

Amari Anne, Hazel Grace & Naomi Foxxx Star in V-Day Release From West Coast Productions

Amari Anne, Hazel Grace, and Naomi Foxxx star in the latest release from West Coast Productions, titled “Valentine’s Day Threesome.”

Alexa Chains Leads Latest From TeamSkeet

Alexa Chains stars with Giovanni Francesco in a new scene for TeamSkeet, titled “Fashionable Curves.”

Final Defendant Sentenced in GirlsDoPorn Case

Former adult producer Doug Wiederhold, previously a business partner of GirlsDoPorn owner Michael Pratt, was sentenced on Friday in federal court to four years in prison for conspiracy to commit sex trafficking.

Connie Perignon Fronts Latest From Brazzers

Connie Perignon stars with Abigaiil Morris and Kira Noir in the latest release from Brazzers, titled "Fast Food Fight & Fuck."

Bella Bare Makes Her WIFEY Debut

Bella Bare stars with her husband The Remedy, Chocolate Rod, and Richard Mann in the latest release from Vixen Media Group studio imprint WIFEY.

FTC Takes Another Step Toward New 'Click to Cancel' Rule

The Federal Trade Commission (FTC) is negotiating the latest procedural hurdle in its effort to renew rulemaking concerning negative option plans, after a federal court previously vacated a “click-to-cancel” rule aimed at making it easier for consumers to cancel online subscriptions.

Mandii Rose Makes Her MYLF Debut

Mandii Rose has made her MYLF debut alongside Axel Haze in the studio’s latest release.

Pineapple Support, Brazzers to Host 'Navigating Relationships' Support Group

Pineapple Support and Brazzers are hosting a free online support group for performers to build and maintain healthy relationships.

Aylo, SWOP Behind Bars to Host 'Deplatforming' Community Panel

Aylo and Sex Workers Outreach Project (SWOP) Behind Bars will host a panel on creators’ rights and deplatforming on Feb. 10 at 3 p.m. (EST).

Show More