The Gateway Pundit reports that State Senator Daniel Ivey-Soto already made headlines last year when he was removed from his committee appointments after a slew of sexual harassment allegations against him.
The Attorney General's office has filed a complaint against Soto against his organization, Vandelay Solutions. In 2019, that organization was granted non-profit status by the IRS, according to the Gateway Pundit.
However, Soto still needs to file the 990 required for this each year, which makes him out of compliance with state regulations. This is very important to recognize, as there are many issues with not keeping up with compliance on these matters.
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Soto denied that he was behind on paperwork when he was reached for comment on this story. However, he did admit that he was "out of compliance." This is an interesting parsing of words regarding how he is trying to handle this story.
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Soto has more significant problems than just needing to catch up on some paperwork. He may violate IRS rules about the way that non-profits are allowed to operate. When an organization is classified as a 501(c), as Soto's organization is, it must operate as a non-profit or charity; it appears to be different for the Vandelay Solutions that Soot has been running for some time now.
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This is a major scandal for politicians in New Mexico. The State Senator has made the maximum contributions to the campaigns of fellow Democrats in the state, and no one is quite sure where all that money is coming from. There could be some issues related to how he has been running this supposed non-profit organization in the future.
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