Nonprofit Migrant Shelter Accused of Sexual Abuse Received $3B in Biden Grants, Raised Executive Pay by 139% Prior to Trump’s Funding Cuts
OAN Staff Brooke Mallory
6:34 PM – Monday, March 17, 2025
Recent tax filings and acquired data reveal that a Texas-based organization catering to “unaccompanied migrant children” has received billions in subsidies from the Biden administration.
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Southwest Key Programs, which manages facilities for unaccompanied migrant youth, leveraged the fallout from emerging allegations of sexual abuse and harassment to bolster and even triple the pay of various executives, potentially in anticipation of closures of their shelters.
As the number of border crossings hit record highs under President Joe Biden, the U.S. Department of Health and Human Services (HHS) reported that Southwest Key Programs garnered around $3 billion in federal taxpayer funds between the fiscal years of 2021 and 2024 for the purpose of “sheltering and placing migrant children with U.S. sponsors.”
During this time frame, executives at the nonprofit organization in Austin, Texas, also experienced substantial increases in their compensation. The latest tax returns disclosed a startling 139% rise in wages for the organization’s president, according to the New York Post.
Invariant investigations and a federal lawsuit were initiated against Southwest Key concurrently. Allegations included instances of sexual abuse and harassment against migrant children by staff members, and claims of these children being handed over to human traffickers.
After assuming the role of president and CEO in February 2021, Anselmo Villarreal earned $491,642 in his first fiscal year, a figure that soared to $1,174,551 by fiscal year 2023.
Compensation for other high-ranking officials at Southwest Key, such as Chief Technology Officer Andy Harper and Chief Human Resources Officer Jose Arroyo Davila, escalated to about $600,000.
The organization’s CFO, Eric Marin, earned $349,232 in fiscal year 2021, while his successor, Roberto Flores, received an annual salary of $583,139 two years later.
Geraldo Rivera, the Senior Vice President of Immigration Services who later assumed the role of Chief Program Officer, also featured as a substantial earner, with his salary rising from $312,791 to $555,998 in the year preceding Biden’s departure.
Numerous executives at Southwest Key, along with a dozen other senior staff, recorded significant six-figure salary increments during the initial two years of the Biden administration, with raises ranging between 10% and as high as 112% — according to internal payment records obtained by the New York Post.
For example, Christina Cantu, who served as the head of staff for Southwest Key Programs, had her salary rise from $86,300 in 2019 to $326,228 by 2022.
A report from the HHS Office of Inspector General in September 2020 uncovered that Southwest Key had been boosting its executives’ pay through bonuses and increased compensation schemes. The average salary of the top five executives, based on IRS forms, soared from $420,000 to $720,000 between 2021 and 2023.
Prior to the unveiling of the organization’s 2023 filings, The Free Press initially reported on the rising salaries at Southwest Key under Biden in May 2024.
Although the nonprofit has amassed $6 billion in federal funding since 2003, approximately half of that amount originated from Biden’s HHS. Yet, insiders maintain that the migrant children under its care did not receive better treatment or resources following this significant increase in funding.
In July, the Justice Department filed a contentious lawsuit against Southwest Key Programs, asserting that certain managers and staff members participated in “severe” and “widespread” sexual abuse of children between 2015 and 2023. The organization was also accused of placing undocumented minors with unvetted sponsors who purportedly engaged in sex trafficking or exploitation, as revealed by congressional investigations.
“The Biden-Harris administration not only created the most significant border crisis in American history but also enabled opportunistic nonprofits like Southwest Key Programs and Endeavors to benefit from it,” stated House Homeland Security Committee Chairman Mark Green (R-Tenn.).
“This Congress, the Homeland Security Committee has continued to expose the Biden administration’s use of taxpayer funds to fuel its border fiasco,” he added.
“We are committed to ensuring the federal government is responsible with taxpayers’ hard-earned money and will actively pursue those who have unjustly profited at the expense of innocent Americans.”
Last year, Villarreal received a letter from Senator Chuck Grassley (R-Iowa) notifying him of alarming testimonies from whistleblowers submitted to his office. They alleged exposure of “possible child-trafficking rings” associated with sponsors of Southwest Key Programs.
One whistleblower recounted an incident where a migrant child was taken to a residence associated with “likely MS-13” gang members.
Grassley also sent a letter on Monday accusing Southwest Key of providing only “lazy and obstructive” responses to records requests.
On Wednesday, the HHS announced that it will cease all federal funding to the Texas-based nonprofit, leading the DOJ to withdraw from its civil prosecution against Southwest Key.
“Due to ongoing concerns related to these placements, HHS has decided to halt the placement of unaccompanied alien children in Southwest Key facilities and will review its grants with the organization,” stated the public health agency, which coordinated with the Department of Homeland Security.
“In light of HHS’s action, the Department of Justice has dismissed its lawsuit against Southwest Key.”
In a statement released on Wednesday, a representative for Southwest Key Programs expressed that the organization “strongly denied the allegations concerning child sexual abuse in our shelters” and was “pleased” about the dismissal of the DOJ case.
“No settlement or payment is required,” the spokesperson noted, further attributing the situation to the funding freeze imposed by the Trump administration.
A spokeswoman for Grassley also commented on the situation.
“It is appalling that vulnerable children suffered sexual abuse under the oversight of Southwest Key. Senator Grassley has reached out to the DOJ for clarification on the dismissal of the Southwest Key lawsuit and anticipates a follow-up discussion soon.”
According to a report from the DHS inspector general in August 2024, at least 32,000 migrant children “vanished” in the U.S. after being released by Immigration and Customs Enforcement, which collaborated with HHS on sponsor placements.
The findings indicated that following the DHS and HHS decision to stop requiring “biographic and biometric (fingerprints) information for all prospective sponsors and adult household members,” an additional 291,000 children were made available to domestic sponsors, many of whom had not undergone sufficient screening.
“This administration is committed to resolving the tragedy of human trafficking and other abuses impacting unaccompanied alien children who enter the country illegally,” said HHS Secretary Robert F. Kennedy, Jr., referencing the termination of grants to Southwest Key Programs.
“For too long, harmful actors have exploited such children both before and after their entry into the United States. Today’s action represents a significant step toward ending this despicable exploitation of innocent individuals.”
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