The riots in Los Angeles started on June 6. They weren’t spontaneous. They followed the arrest of a union leader accused of obstructing ICE operations. Within hours, coordinated social media calls went out. Protesters flooded downtown. Some carried signs. Others carried gas masks and earplugs. By nightfall, it turned violent. Over 550 arrests. Nearly 20 million dollars in damage. Police injured. Businesses torched. It kept going for ten days.
Then something changed.
The exact moment the LA riots ended.
The moment the FBI and IRS announced they are investigating whoever is funding the riots.
The riots stop. Just like that.
Weird how that works!?
pic.twitter.com/9iaNBESJBp— C3 (@C_3C_3) June 27, 2025
On June 17, the FBI, IRS, and DOJ released a joint video. They weren’t talking about crowd control. They were talking about money. IRS Special Agent Tyler Hatcher said they were “tracing money to determine who is providing funding for these riots.” FBI Director Kash Patel confirmed the agency was investigating “any and all monetary connections.” DOJ prosecutor Bill Essayli warned that aiding civil disorder could lead to federal charges. They named it. They framed it. They put the funders on notice.
That same night, the streets emptied.
No more pallets of water bottles. No more face shields handed out in alleys. No more livestreams with tactical gear. The protests didn’t fizzle. They stopped. Cold. The timing wasn’t subtle. The message landed.
The federal probe is still active. IRS agents are reviewing financial flows tied to NGOs, unions, and activist networks. One man was already charged for distributing riot gear. Congress is now circling. Rep. Anna Paulina Luna confirmed the Oversight Committee is preparing subpoenas. Sen. Josh Hawley is pushing for a deeper look into nonprofit involvement. The funding trail is being followed.
The riots cost Los Angeles nearly 20 million dollars. That’s just the physical damage. The reputational hit is harder to price. But the moment the feds shifted from crowd control to financial tracing, the calculus changed. The risk went from arrest to indictment. That’s when the noise stopped.
Sources
https://ijr.com/feds-tracing-money-behind-la-riots-in-expanding-probe