Explosive report claims a network of charities connected to George Soros funneled $40M to support Zohran Mamdani’s political rise in tax-dodging scheme

Zohran Mamdani’s campaign is facing explosive allegations that it benefited from tens of millions of dollars in donations funneled from George Soros-linked charities as part of an elaborate scheme that may have violated federal tax laws. 

The 34-year-old State Assemblyman’s team has always claimed that he rose from obscurity to become New York City’s mayoral front-runner thanks to an organic, grassroots movement involving many small donations and hundreds of young people with backpacks canvassing on his behalf.

But the Daily Mail can reveal that that narrative is now being called into question  according to a report from a watchdog website.

The findings, from conservative investigative site White Collar Fraud, alleged that a network of tax-exempt organizations connected to billionaire financier Soros shrewdly coordinated political and ground operations to support Mamdani in a scheme that involved laundering more than $40million in charitable donations through nonprofits and redirecting them into political activity.

Soros’s group disputes the report’s findings of improprieties, saying it is ‘riddled with inaccuracies, false assumptions and misinformation’.

‘The math isn’t the only thing that doesn’t add up,’ a spokesman for the Open Society Foundation – that was founded by Soros and is now headed by his 40-year-old son Alex, told the Daily Mail. 

‘The grants it cited – many of which we were earmarked for specific projects and causes elsewhere around the country as we have disclosed – were made years before the mayoral race even began.’ 

But White Collar Fraud investigator Sam Antar told the Daily Mail Soros-affiliated entities may have violated federal tax laws. Antar has filed 11 whistleblower complaints with the Internal Revenue Service as a result of his investigation.

Antar, who is a convicted felon and former CPA, now assists the government in white-collar fraud investigations and has lectured on such crimes on college campuses and at the IRS.

He called what he uncovered ‘the manufacturing process of a generational political machine that has weaponized the income tax code’.

And he described Mamdani as ‘a product of that machine.’

Antar said he uncovered how Soros’s tax-exempt organizations helped fund activities that ‘mimicked what looked like a grassroots campaign’, including large-scale door-knocking efforts.

‘The problem is they weren’t campaigning for a general cause like women’s rights,’ he said. ‘They were campaigning for a specific candidate. And that’s the rub.’

Under US tax law, a 501(c)(3) may fund a 501(c)(4) for nonpartisan purposes such as issue advocacy or civic engagement. 

But that money is not supposed to be used to directly support or oppose a candidate, a line that can be difficult to prove without internal communications or evidence showing intent.

The chief accusation in Antar’s investigation is that major 501(c)(3) charities, which are entities legally barred from engaging in partisan politics, channeled millions of dollars to affiliated 501(c)(4) social-welfare groups that can legally conduct limited political work.

Antar’s more than 40-page forensic analysis, which includes receipts such as citations to IRS filings, campaign finance records, and internal reports, alleges that the same network of nonprofits that publicly describe themselves as ‘partners’ in various progressive causes simultaneously filed federal forms denying any coordination.

According to the report, this discrepancy suggests not clerical error but what it describes as ‘systematic fraud.’

Antar alleges that this practice effectively ‘launders’ tax-deductible charitable contributions into campaign support.

While careful to avoid direct legal accusations, Antar said: ‘The 501(c)(4)s have gone beyond what the IRS code allows.’

His report names the Open Society Foundation and five other groups linked to Soros.

The report claims that all six organizations ultimately endorsed Mamdani and deployed field operations supporting his campaign – turning ‘charitable’ deductions into political endorsements for the mayoral candidate.

The six groups also formed what Antar calls a ‘coordinated ground army’ to support Mamdani’s campaign. 

The report documents a combined total of more than 100,000 doors knocked across New York City and extensive volunteer mobilization.

Antar told the Daily Mail that he believes Mamdani is going to win the election next week and that his goal is not to stop him – but to expose the underlying structure he said is behind his meteoric rise.

‘I kind of concede the fact that he’s going to win,’ he said. ‘What I want to do is go after the machine that produces candidates like him.’

He compared Soros’s network to historic political organizations like Chicago’s Daley machine or Tammany Hall – but national in scope.

‘This is the 2025 version of that,’ he said. ‘A machine that can produce candidates at scale.’

White Collar Fraud’s investigation argues that the scope of Soros’s alleged network extends far beyond Mamdani’s campaign, potentially spanning hundreds of races nationwide.

‘The complete scope of this coordination can only be understood with investigative and subpoena powers, the report concludes. 

‘What we document is merely the visible tip of an industrial-scale political enterprise.’

Antar was convicted of fraud for his role in his cousin ‘Crazy Eddie’ Antar’s illegal securities scheme in the 1990s, and sentenced to six months of house arrest. 

He told the Daily Mail that tax law offers the most straightforward way to prosecute what he said are shady campaign finance schemes like Soros’s.

‘Remember Al Capone,’ he said. ‘They couldn’t get him on murder, extortion, prostitution – they got him on income tax evasion.’

The Daily Mail has reached out to Mamdani spokesman Andrew Epstein for comment.