New York Attorney General Letitia James has filed a lawsuit against the far-right nonprofit VDARE Foundation and its leaders for allegedly misusing at least $2 million in charitable funds.
James is asking a state court to dissolve the organization, redirect its remaining assets to legitimate charities, and bar founder Peter Brimelow and his wife, Lydia Brimelow, from managing or fundraising for any New York charity.
VDARE was established in 1999 as Lexington Research Institute, Ltd., a New York-based nonprofit. It operated a website named after Virginia Dare, the first English child born in what would later become the United States and a symbol often invoked by white nationalist groups.
According to the attorney general’s office, VDARE’s primary activity was operating the site, and its board consisted only of the Brimelows, their family and close associates.
The AG’s lawsuit alleges that in 2020, the Brimelows used $1.4 million in charitable funds to purchase a medieval-style castle in Berkeley Springs, West Virginia. While they claimed the castle would serve as offices and a conference center, the couple moved in, transferred ownership to family-controlled companies, and began collecting inflated rent payments from VDARE to benefit themselves, according to the lawsuit.
The attorney general’s office also alleges that the Brimelows created backdated loans, diverted hundreds of thousands of dollars in assets to personal or family-related businesses, and even pledged all of VDARE’s assets as collateral for a private loan. Lydia Brimelow’s father, a central figure in structuring the transactions, was paid $230,000 in unapproved consulting fees, the lawsuit says.
In 2022, as the attorney general’s office began investigating, the Brimelows allegedly tried to obstruct the inquiry. The nonprofit has since been held in contempt of court twice and continues to accrue unpaid fines.
The lawsuit says that as scrutiny intensified, the Brimelows increased monthly “rent” payments from $6,000 to $33,000, released companies under their control from over $1 million in mortgage obligations, and sold the castle to an entity tied to Lydia Brimelow’s father — accepting $168,000 despite a prior appraisal valuing it at more than $600,000.
Although VDARE publicly announced it was shutting down in 2024, James’ office says the Brimelows continued soliciting donations and failed to dissolve the nonprofit. By the time VDARE ceased operations, only $150,000 remained in its accounts, according to James’ office.
In a statement, James said charities “are intended to serve the public, not to bankroll castles or pad personal fortunes.”
“The Brimelows used VDARE like their personal piggy bank,” she said. “New Yorkers deserve accountability, and we will not allow these bad actors to keep abusing the trust of their donors and the public.”
VDARE did not immediately respond to a request for comment from Gothamist. But in a statement posted online, Peter Brimelow accused James of destroying the organization without formally charging it with wrongdoing. He said VDARE spent $1 million on compliance costs and hours locating documentation for the attorney general’s office.
“She simply battered us to death with an enormous ongoing intrusive quote-unquote investigation,” Brimelow said, adding that the case represents a violation of First Amendment rights. “If we had time, and the resources, we could continue to face down this cancellation – even though it is getting increasingly difficult. But we don’t have the time. And we don’t have the money.”