Former Detroit Mayor Ordered To Give Crowdsourcing Profits For Restitution

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A former mayor of Detroit is learning the hard way that you can’t outsmart the IRS.

Fox 2 Detroit is reporting that former mayor Kwame Kilpatrick is being ordered to relinquish the money that he and his wife Letisha raised on a crowdsourcing site. The money will go to the IRS to help cover the restitution that Kwame still owes.

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How We Got Here

In a Plumfund.com campaign that appears to be disabled at press time, Letisha Kilpatrick requested donations to celebrate the birth of the couple’s first son together, Kyng Malachi Kilpatrick. The “wish list” on the page included a general gift request of $8000, to be used towards the purchase of an $800,000 luxury condo in Orlando. Before the site was allegedly shut down, they had already raised $2000 towards their goal. There was also a PayPal account set up for the sale of Kwame’s upcoming book, Off The Grid: The Journey Back to Destiny. As of this publication, the book is still listed on Amazon for $19.99.

The Problem

Unfortunately, Kwame still owes $193,000 in restitution to the IRS as part of his Rackeetering & Bribery conviction in 2013. He was sentenced to 28 years in federal prison. However, he was granted clemency from Former President Donald Trump in 2021, after serving just eight years. The clemency does not affect his restitution, though. Any money made by Kilpatrick or anyone associated with him must be accounted for.

Bottom line: The Kilpatricks will have to wait a little longer for that Florida condo. Notices of garnishment for both the Plumfund account and the PayPal account were issued earlier this month.

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