A Texas nonprofit that sought to house migrant kids reportedly took in around $3 billion in grants during the open-border Biden administration, and the massive cash influx was used to double executives' salaries.
Southwest Key Programs' grift operation that boosted executive salaries up to 139% had the plug pulled by the Trump administration last week, the New York Post reported in a look at tax filings and records.
As border crossings hit all-time highs under President Joe Biden, the Austin, Texas, nonprofit took in billions in taxpayer dollars from 2021 through 2024 to help shelter and place migrant children in the U.S., according to the Department of Health and Human Services.
While the 501(c)(3) is a nonprofit, the profits went to the tune of $1 million to its president, Anselmo Villarreal, who took on the role of president in February 2021 after Biden took office. Born in Mexico, Villarreal's lucrative career began with the Mexican government.
Southwest Key has been plagued by investigation and a federal lawsuit alleging migrant kids in its care were sexually abused by employees and potentially handed over to sex and human traffickers, according to the Post's report.
Villarreal made $491,642 in his first year in 2021 during the Biden administration's open-border policy that is alleged to have misplaced hundreds of thousands of migrant children.
By 2023, Villarreal was raking $1,174,551, according to the report.
Top lobbyist for the nonprofit Vivian Painting has made donations to Democrat campaigns, the Post report.
"Not only did the Biden-Harris administration create the worst border crisis in American history — it empowered opportunistic nonprofits like Southwest Key Programs and endeavors to profit off it," House Homeland Security Committee Chair Mark Green, R-Tenn., told the Post. "This Congress, the Homeland Security Committee has continued uncovering the Biden administration's use of taxpayer funds to fuel its border boondoggle.
"We remain committed to ensuring the federal government is a good steward of taxpayers’ hard-earned money and will be vigilantly pursuing those who unduly profited at the expense of innocent Americans."
Allegations of "possible child-trafficking rings" tied to the organization was outlined in a letter to Villarreal last year from Sen. Chuck Grassley, R-Iowa.
Grassley is rotating back to Villarreal for answers for Congress amid "lazy and obstructive" responses to requests for records with a letter this week.
Trump's Justice Department has cut the funding to Southwest Key, but it also dropped a Biden-era civil case against it this week.
"Out of continuing concerns relating to these placements, HHS has decided to stop placement of unaccompanied alien children in Southwest Key facilities, and to review its grants with the organization," HHS wrote in a statement.
"In view of HHS' action, the Department of Justice has dismissed its lawsuit against Southwest Key."
Southwest Key Programs is "pleased" about the case dismissal and "strongly denied the claims relating to child sexual abuse in our shelter," the Post reported.
"It is disgusting that vulnerable children suffered sexual abuse under Southwest Key's watch," a Grassley spokesman told the Post. "Sen. Grassley has contacted the DOJ seeking clarity regarding its dismissal of the Southwest Key lawsuit, and looks forward to a follow-up conversation soon."
HHS Secretary Robert F. Kennedy Jr. issued a statement on the termination of the Southwest Key Programs grants.
"This administration is working fearlessly to end the tragedy of human trafficking and other abuses of unaccompanied alien children who enter the country illegally," RFK Jr.'s statement read.
"For too long, pernicious actors have exploited such children both before and after they enter the United States. Today's action is a significant step toward ending this appalling abuse of innocents."