Nonprofits Petition Fidelity to Restore SPLC Grants
Color of Change urges Fidelity Charitable to resume donor-advised grants to the Southern Poverty Law Center.
Updated on Oct. 16, 2026 in Philanthropy
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Activists led by Color of Change delivered a petition with over 50,000 signatures to Fidelity Charitable. The request demands the reinstatement of donor grants to the Southern Poverty Law Center, which major platforms suspended following federal charges.
Why it matters
Fidelity Charitable, alongside other financial platforms like Benevity, blocked donations to the Southern Poverty Law Center after the Department of Justice indicted the organization for wire fraud, money laundering, and false statements in April 2026.
Fidelity Charitable currently manages more than $85 billion in donor-advised accounts, contributing to a total of $326 billion in DAF assets recorded in 2024. This growth follows a 2023 period where payment processors maintained over 2.3 million accounts.
The players
Fidelity Charitable
Fidelity Charitable is a major donor-advised fund sponsor that manages assets for philanthropic giving.
Color of Change
Color of Change is a racial justice organization that campaigns for corporate and institutional accountability.
Southern Poverty Law Center
The Southern Poverty Law Center is a legal advocacy group currently facing federal charges of wire fraud and money laundering.
Department of Justice
The Department of Justice is the federal executive department responsible for the enforcement of laws and the administration of justice in the United States.
Benevity
Benevity is a software company that provides a platform for corporate social responsibility and workplace giving.
The details
Fidelity Charitable guidelines allow for the suspension of grants when organizations face investigations for alleged illegal activities. Similar restrictions were enacted by Schwab affiliate DAFgiving360 and Vanguard Charitable, while Benevity has paused nonprofit eligibility for groups facing criminal charges related to charitable fund usage.
Timeline
In April 2026, the Department of Justice charged the Southern Poverty Law Center.
In February 2027, the federal case is scheduled to go to trial.
Market Landscape
This dispute over financial gatekeeping follows a historical pattern established during the 1960s era blocking of wire transfers to activists by Western Union and banks. It highlights the growing power of private payment processors to shape the nonprofit funding landscape.
Donors using Fidelity Charitable or Benevity platforms may find their ability to contribute to specific organizations restricted if those groups face pending criminal charges. These automated policies directly impact which nonprofits receive funding through donor-advised funds and workplace giving programs.
The takeaway
This case underscores the influence that private financial intermediaries have over the flow of capital to advocacy organizations. Donors should remain aware that platform guidelines regarding legal investigations can abruptly alter the distribution of charitable funds.
What happens next
The federal case against the Southern Poverty Law Center is currently scheduled to proceed to trial in February 2027.
Further reading
Learn more about the current landscape of Philanthropy across the nation.
Source note: This article includes information reported by Chronicle of Philanthropy.
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