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Attorney General: Defunct nonprofit tied to Feeding Our Future
Minnesota Attorney General Keith Ellison said Jamal Osman and his wife, Ilo Amba, aren’t facing any charges, but Amba agreed to discontinue Urban Advantage Services.
MINNEAPOLIS — Minnesota Attorney General Keith Ellison has shut down a nonprofit he called a “sham” nearly four years after it was created.
Ellison called Urban Advantage Services (UAS) a “fraudulent shell company” created around the start of the pandemic to perpetuate fraud. It’s one of several nonprofits he sued last year linked to Feeding Our Future, the country’s largest COVID-related fraud scheme.
In complaint documents, Ellison alleges UAS was started by Ilo Amba to distribute meals in accordance with funding provided by the U.S. Department of Agriculture’s Child Nutrition Program in November 2020.
Amba is married to Minneapolis City Councilor Jamal Osman. The two of them are not facing any charges or wrongdoing.
Ellison ruled UAS racked up several violations and that it never registered as a charitable organization or filed tax forms, abandoned its registered office address and ceased its operations in January 2022.
“They didn’t keep proper records, they didn’t file tax returns and it’s been documented that this nonprofit took $461,000 out of these programs and there has never been any financial accounting for where the money went,” said Bill Glahn.
Glahn is a fellow with the Center of the American Experiment, a conservative public policy organization, and has covered the food charity for years.
“I’m not aware that Councilman Osman or his wife have ever answered any questions, other than perhaps to the attorney general, but certainly not the media or to the voters,” said Glahn.
Ellison said UAS’s participation in the broader scam called Feeding Our Future can be inferred due to the timing of its incorporation and lack of legitimate nonprofit activities. He also said that UAS has strong ties to other organizations whose officers and directors were indicted in that case.
The $250 million scheme exploited a federally-funded child nutrition program during the pandemic. The U.S. Attorney has since indicted 70 people, nearly 30 of which have either pleaded guilty or have been found guilty in court. More trials are expected to start next year in February.
“Minnesota has been making headlines for all the wrong reasons because of this scandal,” said Glahn.
The decision to dissolve UAS was announced by Ellison on Friday, although the agreement was settled in October. Neither Osman or Amba returned several voicemails and an email left by KARE 11.
This year’s 5k at U.S. Bank Stadium is set for Sunday, Nov. 24.
MINNEAPOLIS — Did you know nearly 300,000 kids and teens live with arthritis in the U.S.?
An annual event in the Twin Cities raises awareness and money for children with arthritis.
This year’s 5k Jingle Bell Run at U.S. Bank Stadium is set for Sunday, Nov. 24.
Arthritis Foundation honorees, Calvin Gerber and Rod Van Hoof joined KARE 11 News at 4 to discuss the upcoming event.
The owners argue that the city’s failure to address deterioration and crime in the neighborhood has ruined their businesses. They are asking for $30M in damages.
MINNEAPOLIS — Several business owners at the struggling corner where George Floyd was murdered by a Minneapolis police officer in 2020 are suing the city to demand it take over their properties and compensate them.
The owners of the Cup Foods convenience store and other businesses operating near 38th Street and Chicago Avenue argue that the city’s failure to address deterioration and crime in the neighborhood has ruined their businesses and constitutes an unlawful taking of their property without just compensation, the Minnesota Star Tribune reported Thursday. They’re seeking $30 million in damages.
The area, now known as George Floyd Square, has become a place of pilgrimage for social justice supporters from across the country, and the store has renamed itself Unity Foods. But business owners say they haven’t benefitted, while activists and officials remain divided over how to transform the intersection while keeping it as a permanent memorial.
Floyd died after a white officer pinned his neck to the pavement outside Cup Foods for 9 1/2 minutes despite the Black man’s pleas of “I can’t breathe.” The ensuing protests, which turned violent at times, tested the leadership of Gov. Tim Walz at one of the state’s most consequential moments, and sparking a nationwide reckoning over racism and police misconduct. The officer, Derek Chauvin, was convicted of murder.
The legal action, filed last week in Hennepin County District Court, argues that the businesses have lost revenue, real estate value, reputation, and tenant and rental income. It argues that the city’s decisions led to higher crime and created a “no go zone” for police in the area. It replaces an earlier lawsuit by the businesses that was dismissed two months ago.
Michael Healey, the lawyer representing the businesses, told the Star Tribune there are two possible outcomes. The businesses “could conceivably keep the property if a settlement is reached with the city on the diminished value,” he said. The other possibility is that the city could begin the process of taking the properties and compensating the owners.
A city spokesperson said in a statement that while it can’t comment on pending litigation, the city “understands the challenges that residents and businesses have confronted in the wake of George Floyd’s murder.“
The Department of Labor and Industry (DLI) says Smithfield Packaged Meats Corp. employed at least 11 children ages 14-17 at its St. James plant.
ST JAMES, Minn. — A national meatpacking company will pay a fine of $2 million for alleged child labor violations at its plant in St. James, Minn.
The Minnesota Department of Labor and Industry (DLI) announced the consent order signed by Smithfield Packaged Meats Corp., on Nov. 13, which includes the largest penalty ever recovered by the agency.
DLI conducted an investigation that covered two years between April 13, 2021, and April 13, 2023. Investigators allege that Smithfield employed at least 11 children between the ages of 14 and 17 at the St. James plant during that time, three who started working for the company when they were 14.
Among the other violations cited by DLI:
- Smithfield allowed nine of the 11 minor children to work after the hours allowed by state law – after 9 p.m. for those under 16 years old and after 11 p.m. before a school day for those 16 or 17 years old.
- All 11 minor children performed hazardous work for Smithfield, including working near chemicals or other hazardous substances, operating power-driven machinery (meat grinders, slicers and power-driven conveyor belts), and operating nonautomatic elevators, lifts or hoisting machines, including motorized pallet jacks and lift pallet jacks.
“It is unacceptable for a company to employ minor children to perform hazardous work late at night. This illegal behavior impacts children’s health, safety and well-being and their ability to focus on their education and their future,” said DLI Commissioner Nicole Blissenbach.
“DLI’s resolution with Smithfield sends a strong message to employers, including in the meat processing industry, that child labor violations will not be tolerated in Minnesota.”
While agreeing to the $2 million fine, Smithfield made clear in the consent order documents that the company disputes the allegations by DLI and denies violating Minnesota child labor laws.
Along with the fine, the consent order requires Smithfield to conduct industry outreach related to child labor compliance, require child labor compliance from its staffing agencies and sanitation contractors, and take other steps to ensure future child labor compliance.
To submit a child labor complaint or to ask questions about child labor restrictions and requirements, contact DLI’s Labor Standards Division by calling 651-284-5075 or via email.
