2 Minneapolis Consultants Defrauded $1M In COVID-19 Funds: Feds

MINNEAPOLIS — Two Minneapolis-based business consultants have been indicted for defrauding COVID-19 pandemic aid programs of more than $1 million while serving as business advisors to Hennepin County, announced U.S. Attorney Andrew M. Luger.

Tezzaree El-Amin Champion and Marcus Alexander Hamilton — both 27 — were charged with three counts of mail fraud, three counts of wire fraud, one count of theft of government money, and one count of engaging in a monetary transaction in property derived from specified unlawful activity.

Champion was also charged with one count of possessing a firearm as a felon.

Together, Champion and Hamilton’s fraud resulted in losses of more than $1 million in COVID-19 pandemic aid and involved more than 100 fraudulent invoices and grant and loan applications, investigators said.

The two made their initial appearances Tuesday in U.S. District Court before Magistrate Judge Tony N. Leung.

"During the COVID-19 pandemic, at a time when small businesses were suffering deep economic losses, local and federal government agencies stepped in to provide support. These defendants saw this as an opportunity to defraud the aid programs by submitting phony invoices and applications for benefits," said U.S. Attorney Andrew Luger.

"I commend the skilled investigators and prosecutors who work diligently to hold accountable those who defraud the aid programs designed to support our small business community."

Starting in 2020 through the present, Champion and Hamilton used their company — Futuristic Management Group LLC — to submit fraudulent applications for PPP loans, pandemic relief, and other funds on behalf of their small business clients and their own entities, according to authorities.

They entered into contracts with Hennepin County under a COVID-19 relief program called "Elevate Hennepin," a program designed to provide local small businesses with no-cost marketing and website assistance.

As part of the scheme, authorities said Champion and Hamilton:

• Billed Hennepin County for work not actually performed, and for work for which Champion and Hamilton were being paid by their clients
• Submitted fraudulent PPP and EIDL loan applications and Hennepin County Small Business Relief grant applications and misappropriated a portion of the funds for themselves
• Champion intimidated clients by showing them a firearm and telling them he always carried a firearm.

On April 26, 2023, law enforcement executed a search warrant at Champion’s residence in Andover. Inside the home, agents found $126,000 in U.S. currency in a locked safe, and a Ruger LCR .357 revolver, authorities said.

Champion has a prior felony conviction and is prohibited from possessing firearms or ammunition at any time.