NEWNow you can listen to Fox News articles!
Michigan's attorney general, a Democrat, announced 16 charges against top Democratic donor Fay Beydoun on Wednesday, alleging she used a $20 million federal grant to enrich herself.
State records cited by investigators say Beydoun's company received an initial deposit of $10 million on April 1, 2023, from a $20 million grant aimed at attracting more businesses to Michigan. Michigan Attorney General Dana Nessel says Beydoun instead used the grant money to enrich himself, including keeping an annual salary of $550,000.
“Today, we allege that Fay Beydoun sought and received $20 million in 'improve Michigan' funding from the state Legislature, ran a criminal enterprise to use those funds to pay for herself and enrich herself, and repeatedly lied about how she spent those funds,” Nessel said of the charges.
EXCLUSIVE: HOUSE GOP REPORT SEES BIDEN'S GRANT MONEY RICH
Attorney Dana Nessel, surrounded by his family, announces his candidacy for Michigan Attorney General at Brown Court in Ann Arbor on Tuesday, Aug. 15, 2017. (Mandi Wright/Detroit Free Press/Tribune News Service via Getty Images)
“The process by which this 'grant' was proposed, developed, awarded, and administered is not at all similar to the government grant process, and was made possible only through a system that included political connections and minimal oversight,” continued Nessel.
LEFT ACTIVISTS HECKLE PRO-ISRAEL DEMOCRAT HALEY STEVENS AT MICHIGAN ASSEMBLY
Rep. Haley Stevens, D-Mich., speaks during the House Select Committee on Strategic Competition Between the United States and the Chinese Communist Party in Washington, DC, on Feb. 28, 2023. (Anna Rose Layden/Bloomberg)
The charges also created political tension in Michigan because Beydoun was a donor to Democratic campaign and committee members after his company received the grant. The criminal complaint does not say that any candidate or committee knew about the misuse of grant funds.
Federal Records the exhibition that Beydoun donated more than $50,000 to various Democratic campaign committees following a fundraiser in April 2023. Notable Democrats to receive donations from Beydoun include top Michigan Senate Rep. Haley Stevens and Sen. Elissa Slotkin, and Reps. Hillary Scholten and Kristen McDonald Rivet, both defending Houses.
“Congresswoman Scholten's campaign received $1,000 from Fay Beydoun in 2023, the previous campaign cycle,” a congressional spokesperson told Fox News Digital. “Because of Beydoun's criminal charges this week, Congressman Scholten donated this money to a local organization.”
Stevens, the DCCC, Rivet and Slotkin did not respond to requests for comment when reached by Fox News Digital on Thursday.
“The Democratic Party in Michigan has a huge corruption problem, and many of these top Democrat politicians have taken money from Beydoun,” Michigan GOP Chairman Jim Runestad told Fox News Digital. “The Michigan Republican Party is calling on Haley Stevens, Hillary Scholten, Kristen McDonald Rivet, and anyone else who took the money for this crime to return it to the taxpayers. If they don't immediately return this money, it raises more questions about who knew what and when.”
MINNESOTA'S CHEATING SCANDAL 'SHOCKINGLY EASY' TO FOLLOW, COULD BE WORSE THAN REPORTED: FORMER PROSECUTOR
Michigan Gov. Gretchen Whitmer answers questions after speaking on the theme “Build, America, Build!” in Washington, DC, on April 9, 2025. (Wina McNamee/Getty Images)
Nessel accused Beydoun of creating official invoices to use grant money to pay personal expenses, using grant money to buy expensive Tunisian handmade rugs and a $4,000 coffee maker, falsifying expense reports to provide dinner and submitting false reports to keep the grant money flowing.
Of Beydoun's $1.35 million in expenses analyzed by the Michigan attorney general, it was found that less than $20,000 was used for business development.
Beydoun is charged with running a criminal enterprise, seven counts of uttering and publishing, forgery and seven counts of fraud.
If convicted of all charges, Beydoun faces up to 100 years in prison.
CLICK HERE TO DOWNLOAD THE FOX NEWS PROGRAM
“Although it is clear to us that Fay Beydoun used her political connections to get this grant, we have no evidence that people knew that she was planning to use this money recklessly or illegally,” said Nessel about this case. “We have no evidence of that.”
Beydoun did not respond to a request for comment after being contacted by Fox News Digital on Wednesday.
