U.S. Senate Judiciary Committee Chairman Chuck Grassley (R-IA) has launched an investigation into the Bill and Melinda Gates Foundation’s alleged funneling of tens of millions in grants to entities tied to the Chinese Communist Party (CCP).
The probe was revealed in a letter dated Monday, Oct. 27, to Gates Foundation CEO Mark Suzman. The investigation by Grassley centers on whether these payments violate U.S. tax laws prohibiting 501(c)(3) charities from directly supporting foreign governments. It also serves as a striking escalation of scrutiny over nonprofit transparency and national security concerns.
According to Grassley’s findings, the Gates Foundation in 2023 directed $11.7 million to various CCP-controlled agencies, $2 million to a corporation linked by the Department of War to China’s military and $6.7 million to state-run universities bolstering Chinese paramount leader Xi Jinping’s regime. Tax filings from 2022 reportedly showed an additional $23 million distributed to over 20 Chinese entities – some explicitly labeled as “foreign governments.”
While categorized as public health or research initiatives, U.S. Internal Revenue Service (IRS) regulations strictly bar tax-exempt organizations from funding foreign governments without special exemptions. Grassley’s letter demands detailed documentation, including whether grants supported China’s Belt and Road Initiative – a global infrastructure project accused of debt-trap diplomacy. He also questioned whether the foundation obtained required IRS determinations proving funds served charitable purposes, not CCP interests.
Civil terrorism expert Jason Curtis Anderson of One City Rising praised the inquiry. He nevertheless warned: “Without concrete enforcement – audits, sanctions or revoked tax-exempt status – this letter [by Grassley] risks being just a warning.”