Liberty University: Allegations of Possible Self-Dealing, Lax Board Oversight

A lengthy Politico article details numerous alleged concerns relating to Liberty University and its President, Jerry Falwell Jr. Included in the story are a number of allegations that are likely familiar to readers who have dealt with family-run nonprofits before:

• The hiring of a company started by the son of the President to manage properties owned by the University, including a shopping center.

• The promotion by University employees of a nearby hotel, in which the son of the President may be “a silent shareholder.”

• University loans to friends of the Falwell family, at least one of which may not have been repaid.

• Assertions by unnamed University officials that the school’s board of trustees rarely question decisions by the President, even relating to significant financial transactions.

In addition, the story reports certain facts indicating that the University may have tried to influence a poll that aided then candidate Trump, raising political campaign intervention concerns. 

It should be noted that President Falwell denies that he or the University has engaged in any wrongdoing, and called on the FBI to investigate a criminal conspiracy at the University after the Politico story was published. In the meantime, the University’s accreditor is reportedly asking for more information relating to the allegations in the story.

Lloyd Mayer