mMinuteman Project founder Jim Gilchrist is forming a new anti-illegal immigrant group.

Its name: the Jim Gilchrist Minuteman Project Incorporated.

Gilchrist announced the new group's formation as he dropped his lawsuit against the leadership of the original Minuteman Project.

He had sued its board of directors for control after he was fired and accused of embezzling $400,000 dollars in donations.

He denied the allegation and claimed in his lawsuit that the firing was illegal.

He now says he's dropping the lawsuit and forming the new group to avoid spending activists' contributions on attorney fees and so he can focus illegal immigration.

But an attorney who represents three directors who fired Gilchrist said the dropped suit constitutes a victory for his clients.