Two nonprofits subpoenaed by the House Ways and Means Committee in its investigation into the funding network of tech entrepreneur Neville Roy Singham have formally objected to the subpoenas, arguing that lawmakers are employing tactics reminiscent of the "Red Scare" and violating their First Amendment rights.
BreakThrough News, a media outlet described as pro-China, and Peoples Forum Inc., a socialist activist group, asserted in separate letters to the committee that the subpoenas infringe upon their rights to free speech, journalism, and political advocacy. They contend that the investigation has strayed from its purported focus on tax law into areas of foreign influence, national security, and alleged propaganda.
House Ways and Means Committee Chairman Jason Smith, R-Mo., defended the investigation, stating that compliance with congressional subpoenas is not optional. "Make no mistake: Compliance with a congressional subpoena isn't optional, and the Committee will use all tools it has available to investigate whether foreign actors are exploiting our tax code to sow chaos and create division," Smith said in a statement.
Attorneys for both organizations, in identical language, argued that a "witch-hunt is not a valid legislative purpose" and that the committee's public statements reflect "the language of the Red Scare." They stated that they are not required to comply with the subpoenas as currently framed, deeming the demands too broad and seeking information protected by the First Amendment. However, they left open the possibility of responding if the committee narrows its requests.
The committee's July 21 subpoena cover letters stated that it is seeking information about the organizations' financing and structure to examine how Singham-linked money reached the tax-exempt groups and whether foreign influence was involved. The committee has not accused any of the subpoenaed organizations of criminal wrongdoing.
The cover letters detail approximately $40.3 million in funding that flowed from Singham's network to BreakThrough News, Peoples Forum, and a third nonprofit, Tricontinental: Institute for Social Research. According to the committee, Singham, who sold his software company ThoughtWorks for an estimated $785 million in 2017 and now resides in Shanghai, has directed at least $278 million into six core nonprofits that reportedly promote socialist, communist, and pro-China causes.
BreakThrough News and People's Forum argued that the committee is demanding more information than necessary, including records that would expose their journalism, political activities, donors, and associations. They stated they "cannot be required to respond" to a process that "seeks to punish, silence, expose, and condemn protected expression."
The committee disputes this, asserting its investigation aims to determine if existing tax laws for tax-exempt organizations adequately address foreign influence and if legislative changes are needed. Smith expressed disappointment with the organizations' attempts to evade scrutiny, emphasizing that tax-exempt status is a privilege and that the American public has a right to know if organizations receiving taxpayer benefits are potentially hiding information about foreign influence.
Attorneys for the organizations also pointed to what they described as an apparent copy-and-paste error in the subpoena sent to People's Forum, which referenced BreakThrough News instead, arguing it demonstrates the lawmakers' failure to tailor demands and show relevance to a legitimate investigation. They accused the committee of using the investigation for "public exposure, public smearing, and personal aggrandizement" rather than legitimate oversight. The organizations further alleged that the committee provided correspondence about the subpoenas to Fox News Digital before official transmission, suggesting the inquiries were designed for public exposure.
These objections mirror a public campaign launched by the organizations and their allies, who have portrayed the investigation as a resurgence of McCarthyism and an attack on independent journalism. This narrative has been amplified by figures such as Twitch streamer Hasan Piker and Medea Benjamin of CodePink. BreakThrough News host Rania Khalek has also publicly criticized the subpoenas, encouraging financial support for the outlet to fight them.