Pelican Rapids-based nonprofit reaches settlement with Minnesota Attorney General’s Office over self-interested lending

ST. PAUL, Minn. – A local nonprofit has reached a settlement with Minnesota Attorney General Keith Ellison’s office.

Pelican Rapids-based Dan Ottoson Ministries, Inc., reached the settlement after it was uncovered that the organization engaged in conflicted transactions and self-interested lending. An investigation conducted by Attorney General Ellison’s Charities Division found that Dan Ottoson Ministries engaged in a number of self-interested loans and other transactions totaling $238,000 for purposes unrelated to the charity.

Dan Ottoson Ministries is required to repay $238,000 in self-dealing loans and change their governance deficiencies that allowed the loans to happen.

The nonprofit did not have a fully functional board of directors ‘for several years,’ according to Ellison’s office.

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