Complex sentence: The recipients were ineligible under anti-nepotism rules of the Congressional Black Caucus Foundation, which provided the money, and all of the awards violated a foundation requirement that scholarship winners live or study in a caucus member's district.
Split into simpler sentences: The recipients were ineligible under anti-nepotism rules of the Congressional Black Caucus Foundation, which provided the money. And all of the awards violated a foundation requirement that scholarship winners live or study in a caucus member's district.