Minnesota Fraud Attorney Breaks Down the Felony Charges You Face Under Statute § 609.645
Your world has just been turned upside down. You’re holding a legal document that accuses you of committing a crime called “Fraudulent Statements,” and you’re filled with a sense of dread and confusion. You never intended to be in this position. The situation likely involves a business deal, an investment, or a corporate communication that you believed was handled properly. Now, the state is alleging you intentionally published false information to defraud or injure someone. The words on the page—felony, intent to defraud, prison—feel like a personal attack, threatening your career, your reputation, and your freedom. You’re worried about how this will impact your family, your finances, and the future you’ve worked so hard to build.
You do not have to face this challenge alone. I am a Minnesota criminal defense attorney who has dedicated my practice to defending individuals like you against serious and complex financial crime allegations. I have fought for clients in courtrooms across this state, from the high-stakes financial centers of Minneapolis and St. Paul to communities like Rochester, Duluth, and St. Cloud. I have experience navigating the justice systems in Hennepin County, Ramsey County, Dakota County, and across Minnesota. I understand that behind every accusation is a human being caught in a terrifying and isolating ordeal. The prosecutor has their story, but it is not the whole story. My mission is to tell your side, to meticulously dismantle the state’s case, and to build a powerful defense designed to protect everything you’ve worked for.
What a “Fraudulent Statement” Charge Actually Means in Minnesota
When you are charged with making Fraudulent Statements in Minnesota, the prosecution is accusing you of a very specific type of deception. This isn’t just about saying something untrue; it’s about publicly circulating a lie with the intent to manipulate the financial value of a company or its property. The core of this Minnesota crime is the deliberate publication of false information to injure someone or to artificially inflate or deflate the value of securities or assets. This is a serious accusation that strikes at the heart of fair commerce and financial trust. The state believes you knowingly participated in a scheme to mislead investors, competitors, or the public for a fraudulent purpose.
To secure a conviction, the prosecutor has to prove you didn’t just make a mistake or offer a rosy opinion. They must prove you made a factually false statement, that you circulated it, and that you did so with the specific criminal intent to defraud someone or alter the perceived value of property or stocks. Common scenarios leading to a Minnesota Fraudulent Statements accusation could involve issuing a press release with false revenue numbers, publishing a prospectus with misleading information about company assets, or even making false statements about a competitor to damage their stock value. Understanding that the state must prove your criminal intent is the first step in fighting back against this felony charge.
Minnesota Law on Fraudulent Statements — Straight from the Statute
The legal foundation for the charge against you is Minnesota Statute § 609.645. This law defines exactly what conduct the state considers criminal. Every word in this statute is critical, as it provides the rulebook that the prosecution must follow and, more importantly, it provides the blueprint for your defense. Knowing the precise language of the law is the first step toward empowerment and understanding the battle ahead.
Here is the exact language of the law you have been charged under:
609.645 FRAUDULENT STATEMENTS.
Whoever, with intent to injure or defraud, does any of the following may be sentenced to imprisonment for not more than three years or to payment of a fine of not more than $5,000, or both:
(1) circulates or publishes a false statement, oral or written, relating to a corporation, association, or individual, intending thereby to give a false apparent value to securities issued or to be issued by, or to the property of, such corporation, association, or individual; or
(2) makes a false ship’s or airplane’s manifest, invoice, register, or protest.
Breaking Down the Legal Elements of Fraudulent Statements in Minnesota
For the state to convict you of making Fraudulent Statements, they must do more than simply cast suspicion. They are legally required to prove every single component—or “element”—of the crime beyond a reasonable doubt. If they fail to provide sufficient proof for even one of these elements, their case cannot succeed. A strong defense is built by attacking these elements one by one, exposing the weaknesses in the prosecution’s evidence and creating the reasonable doubt that leads to a not-guilty verdict or a dismissal of the charges.
- Intent to Injure or DefraudThis is the core of the state’s case against you and is often the most difficult element for them to prove. It’s not enough to show that a statement you made was false. The prosecutor must prove that you acted with a specific, malicious purpose: to hurt someone financially or to deceive them for your own gain. An honest mistake, a business prediction that didn’t pan out, or a statement made in good faith based on information you believed was accurate does not meet this high standard. This element is about your state of mind, which we can challenge directly.
- Circulates or PublishesThis element refers to the act of disseminating the false information. The statement must be made public in some way. “Circulating” or “publishing” can include a wide range of actions, from issuing a formal press release or financial report to posting information online, sending a mass email, or even making a public speech to a group of investors. A private conversation would likely not qualify. The key is that the statement was shared with others in a way that could influence them.
- A False Statement of FactThe information you published must be a “false statement.” This means it must be a lie about a concrete, verifiable fact. It cannot be a mere opinion, a projection, or what’s known as “puffery.” For example, saying “our company’s stock is poised for growth” is an opinion. Saying “our company had $10 million in revenue last quarter” when you know it only had $1 million is a false statement of fact. The distinction is critical, and many cases hinge on whether the statement was a factual lie or a permissible business opinion.
- Relating to a Corporation, Association, or IndividualThe false statement must be about a specific entity or person. Furthermore, under the first clause of the statute, the lie must be intended to give a “false apparent value” to that entity’s securities or property. This is a very specific type of fraud. The state must prove that your goal was not just to lie, but to lie in a way that artificially manipulated the perceived worth of stocks, bonds, or physical assets, either up or down, to mislead the public or the market.
Penalties for a Fraudulent Statements Conviction in Minnesota Can Be Severe
Do not underestimate the seriousness of a Fraudulent Statements charge. Under Minnesota law, this is a felony offense. There are no lesser misdemeanor or gross misdemeanor versions of this crime. A conviction will brand you as a felon and comes with significant, life-altering penalties. The potential for prison time and substantial fines is very real. The Minnesota sentencing for Fraudulent Statements is designed to punish and deter those who would undermine the integrity of our financial and commercial systems.
Felony Conviction
Fraudulent Statements under § 609.645 is a felony. If you are convicted, the court has the authority to impose a sentence that could include:
- Up to 3 years in prison.
- A fine of up to $5,000.
- Both imprisonment and a fine.
In addition to these statutory maximums, a conviction will likely result in a lengthy period of supervised probation, which carries its own set of demanding requirements, such as reporting to a probation officer, submitting to searches, and restrictions on your travel and financial activities.
What Fraudulent Statements Look Like in Real Life — Common Scenarios in Minnesota
Charges for making fraudulent statements can arise from complex business situations where the line between aggressive marketing and illegal fraud becomes blurred. You may have been acting on the orders of a superior or relying on information provided by others, never realizing your actions could lead to a criminal indictment. The prosecution will paint a picture of a calculated scheme, but the reality is often far more nuanced. These situations can happen anywhere, from a boardroom in downtown Minneapolis to a small family business in a suburb like Maple Grove.
Inflating Company Value in Bloomington
Imagine you are the CEO of a struggling biotech startup in Bloomington. To attract a new round of venture capital funding, you issue a press release claiming your company has successfully completed a clinical trial that, in reality, produced negative results. Based on this false statement, investors pour money into the company. You have published a written false statement relating to your corporation with the intent to give its securities a false apparent value, a classic example of this crime.
Spreading Rumors to Devalue a Competitor in St. Paul
You run a logistics company in St. Paul and are trying to acquire a smaller competitor. To drive their stock price down and make the acquisition cheaper, you anonymously start an online rumor campaign, posting on investor message boards that the target company is on the verge of bankruptcy and its key contracts have been cancelled. This oral/written circulation of false statements intended to injure a corporation by affecting its property value could lead directly to felony charges.
Falsifying a Ship’s Manifest in Duluth
You work for a shipping company at the Port of Duluth-Superior. To avoid paying certain tariffs and to deceive customs officials, you knowingly create a ship’s manifest that inaccurately lists the type and quantity of goods being imported into the country. This falls directly under the second clause of the statute—making a false ship’s manifest with the intent to defraud—and is a serious felony offense.
Deceiving a Private Investor in Rochester
You own a piece of commercial real estate in Rochester and are seeking a private loan from an individual investor, secured by the property. You provide the investor with a written statement claiming the property is fully leased to stable, long-term tenants. In truth, most of the tenants have given notice and the building will soon be mostly vacant. This false statement, intended to give a false apparent value to your property to defraud an individual, is another clear violation of the statute.
Legal Defenses That Might Work Against Your Fraudulent Statement Charge
When you are facing a serious felony allegation, it can feel as though the entire system is against you. But an accusation is not a conviction. The prosecutor has the high burden of proving every element of their case beyond a reasonable doubt, and a skilled defense attorney can systematically attack their evidence and narrative. My approach is to conduct a thorough investigation of our own, challenging the state’s assumptions, exposing their weaknesses, and building a powerful case for your side of the story. A strong defense isn’t about making up excuses; it’s about revealing the truth the prosecution has ignored.
There are many potential defenses to fight Fraudulent Statements charges in Minnesota. The specific strategy we use will depend on the unique facts of your situation. Your intent, the nature of the statement, and the context in which it was made are all critically important. We will explore every available legal avenue to protect your freedom and your future, working towards a dismissal, a favorable negotiation, or a complete acquittal at trial.
Lack of Intent to Defraud or Injure
This is often the most powerful defense because it targets the core of the state’s case: your state of mind. The prosecution must prove you acted with a corrupt purpose. If you did not, there is no crime.
- Good Faith: You may have genuinely believed the statement you made was true. Perhaps you were relying on financial data provided by others in your company that you did not know was inaccurate. Acting in good faith, even if you were mistaken, is a complete defense because it negates the element of fraudulent intent.
- No Intent to Injure: Even if a statement was technically inaccurate, you may have had no intention of hurting anyone or artificially manipulating value. For example, an optimistic but poorly worded press release might not have been intended to defraud, but simply to generate positive buzz. We can argue your actions lacked the malicious intent the statute requires.
The Statement Was an Opinion, Not a Fact
The law only criminalizes false statements of fact. It does not criminalize opinions, predictions, or business “puffery.” This distinction is a critical battleground in many fraud cases.
- Puffery or Opinion: Statements like “this is a can’t-miss investment” or “our company has the best technology in the industry” are generally considered opinions, not verifiable facts. We can argue that your statements fall into this category of permissible marketing speech rather than being factual lies.
- Future Projections: A statement about a future event, such as a prediction of future earnings or stock performance, is not a statement of existing fact. While such a projection might turn out to be wrong, it is not a “false statement” under this statute unless you knew it was based on false underlying data.
The Statement Was Not “Published or Circulated”
This defense challenges whether your actions meet the legal requirement of dissemination. A private statement, or one that was not made public, does not violate the statute.
- Private Communication: If the statement was made in a private one-on-one conversation or a confidential internal memo not intended for the public, it may not meet the legal definition of “circulates or publishes.” The law is aimed at statements made to a wider audience to influence the market or public perception.
- Lack of Control Over Publication: Perhaps you made a statement internally that you never intended to be made public, but another person leaked it or published it without your consent. In this scenario, you did not “circulate or publish” the statement, the other person did, which could absolve you of criminal liability under this statute.
Your Constitutional Rights Were Violated
The evidence against you must be gathered legally. If law enforcement overstepped its bounds and violated your constitutional rights, we can have the evidence they found thrown out of court.
- Illegal Search and Seizure: Did the government obtain documents, emails, or computer files from you without a valid search warrant? Unless a specific exception applies, any evidence found during an unlawful search is inadmissible and must be suppressed, potentially gutting the prosecutor’s case.
- Coerced Statements: If you were interrogated by police and were pressured, tricked, or denied your right to an attorney, any statements you made may be deemed involuntary and inadmissible. You have a right to remain silent, and if that right was violated, we will fight to have your statements excluded.
Minnesota Fraudulent Statements FAQs — What You Need to Know Now
Being charged with a felony fraud crime creates a storm of questions and anxiety. Getting clear, honest answers is the first step toward taking back control of your situation. Here are some of the most pressing questions I hear from clients facing these serious allegations.
Will I go to jail for Fraudulent Statements in Minnesota?
As a felony offense, a conviction carries a potential prison sentence of up to three years. Whether you actually serve time depends on many factors, including the specifics of the case, your criminal history, and the quality of your legal defense. A skilled attorney can often argue for alternatives like probation, but you must take the risk of incarceration very seriously. My primary goal is always to keep you out of jail.
Can a Fraudulent Statements charge be dismissed?
Yes, and securing a dismissal is always the top priority. A case can be dismissed if there is insufficient evidence, if your constitutional rights were violated, or if we can prove that an essential element of the crime, like fraudulent intent, cannot be established. By aggressively challenging the prosecution’s case from the outset, we can often expose fatal flaws that lead to a dismissal.
Do I need a lawyer for a felony fraud charge in Minneapolis?
Absolutely, without question. This is a complex felony charge, not a minor offense. The prosecutors in Minneapolis and Hennepin County are experienced and well-resourced. Going up against them without a dedicated defense attorney is a recipe for disaster. You need a lawyer who understands financial crime cases, knows the local courts, and is prepared to mount a vigorous defense.
How long does a conviction for this stay on my record in Minnesota?
A felony conviction for Fraudulent Statements will be on your criminal record forever unless you can obtain an expungement. This public record can be a significant barrier to future employment, housing, and professional licensing. This is why it is so crucial to fight the charge now, to prevent a conviction from ever appearing on your record in the first place.
What’s the difference between this crime and other types of fraud?
This crime is very specific. It focuses on the act of publishing a false statement with the intent to manipulate the apparent value of securities or property. Other fraud crimes, like theft by swindle or check forgery, involve different specific actions. This statute is aimed directly at those who would lie to manipulate markets or defraud investors.
What if I was just repeating information someone else gave me?
This could be a very strong defense. If you were acting as a spokesperson or simply relaying information that you believed in good faith was accurate, you likely lacked the criminal intent to defraud. The responsibility for the false statement may lie with the person who created the information, not the person who published it without knowledge of its falsity.
Does it matter if nobody actually lost money?
No. The crime is in the act of publishing the false statement with fraudulent intent. The prosecutor does not need to prove that anyone actually lost money or that your scheme was successful. The focus of the statute is on punishing the deceptive act itself, regardless of its outcome.
Is an online post on a forum considered “publishing”?
Yes, it very likely could be. In the modern era, “circulating or publishing” can include almost any form of public communication, including posts on social media, investor message boards, websites, or blogs. If the statement is accessible to the public and meets the other elements of the crime, it can form the basis for a charge.
What if the statement was technically true but misleading?
This is a complex area of law. A statement that is literally true but is designed to be deliberately misleading can sometimes be considered fraudulent. However, this is a much more difficult case for the prosecution to prove. A strong defense can often show that a technically true statement cannot be the basis for a criminal conviction under this statute.
What should I do if federal agents or police want to talk to me?
You should politely but firmly decline to answer any questions. You must state clearly: “I am exercising my right to remain silent and I want to speak with my lawyer.” Do not provide any documents, consent to any searches, or try to explain your side of the an story. Anything you say can be used against you.
How much does it cost to hire a good fraud defense lawyer?
An experienced private criminal defense lawyer is an investment in your future. Many attorneys, myself included, will handle complex felony cases for a flat fee, so you know the exact cost upfront. While the cost is significant, it is minor compared to the devastating lifelong financial and personal costs of a felony conviction. I offer a free consultation to discuss your case and the fees involved.
Can a conviction affect my immigration status?
Yes, profoundly. A conviction for a fraud offense like this one is considered a “crime involving moral turpitude” (CIMT). For any non-U.S. citizen, a CIMT conviction can lead to deportation, denial of re-entry to the U.S., and a permanent bar to ever becoming a citizen.
Does this law cover things like false advertising?
Generally, no. False advertising is typically handled by other consumer protection statutes. This criminal statute is aimed at a more specific type of financial fraud related to the value of securities and property, or the specific act of faking a ship’s or airplane’s manifest.
What if my statement was just an exaggeration?
This goes to the defense of “puffery” or opinion. Exaggerated claims or boasting are a normal part of business and are generally not considered factual statements. We would argue that your statements were permissible exaggeration and not criminal lies.
What is the first step I should take right now?
The very first and most important step is to contact an experienced Minnesota criminal defense lawyer. Do not wait for your first court date. The sooner you have a dedicated advocate on your side, the more can be done to protect your rights, preserve critical evidence, and begin building the powerful defense you need.
What a Fraudulent Statements Conviction Could Mean for the Rest of Your Life
A felony conviction is far more than just the sentence handed down by a judge. It is a permanent brand that can destroy your professional life and limit your personal freedom for decades to come. The collateral consequences of a conviction for Fraudulent Statements are severe and far-reaching, impacting every aspect of your life long after you have served your time or completed probation. We are not just fighting the charges; we are fighting for your future.
Loss of Your Right to Own a Firearm
In Minnesota, a felony conviction means you lose your right to own, possess, or transport a firearm or ammunition for the rest of your life. This is a permanent revocation of a key constitutional right. For those who value the right to hunt or for personal protection, this consequence is devastating and is one of the most serious collateral penalties of a felony conviction.
A Criminal Record That Ends Your Career
In the professional world, trust and reputation are everything. A felony conviction for a crime of dishonesty like Fraudulent Statements is a career-ending event. It will appear on every background check, making it nearly impossible to find employment in finance, management, or any position of trust. You will almost certainly lose any professional licenses you currently hold (like a CPA, real estate license, or securities license) and be barred from obtaining new ones.
Ineligibility for Housing and Educational Opportunities
A felony record can make it incredibly difficult to find a place to live. Landlords in competitive markets like those in the Twin Cities suburbs of Plymouth or Eagan often have policies that automatically disqualify applicants with felony records. You could be denied stable housing for you and your family. Furthermore, a felony conviction can make you ineligible for federal student loans, grants, and other financial aid, effectively blocking your path to future educational opportunities.
Severe Immigration Consequences
For any non-citizen, the stakes are incredibly high. A fraud conviction is considered a Crime Involving Moral Turpitude (CIMT) and can trigger catastrophic immigration consequences. This includes deportation, even if you are a lawful permanent resident (green card holder). It will also serve as a permanent bar to naturalization and can prevent you from re-entering the United States if you travel abroad.
Why You Need a Tough, Experienced Minnesota Fraud Attorney
When the government has targeted you for prosecution on a serious felony, you cannot afford to be passive. You need a dedicated, private defense attorney who lives and breathes criminal law and who will make your case their personal mission. The outcome of your case will be determined by the skill, experience, and tenacity of the lawyer who stands beside you. This is the time to hire a fighter.
The Decisive Advantage of a Private Attorney
Unlike an overworked public defender with hundreds of cases, my focus is entirely on my private clients. You are my priority. I have the time, the resources, and the singular dedication necessary to conduct a deep-dive investigation into your case. I will personally analyze every document, challenge every piece of the state’s evidence, and build a defense strategy tailored specifically to you. Your case will not be passed off to a junior associate. You will have my direct attention and my unwavering commitment from start to finish.
How Acting Fast Can Redefine Your Future
The most crucial phase of a criminal defense happens right at the beginning. The moment you suspect you are under investigation or have been charged, you must act. By retaining me immediately, you give me the opportunity to go on the offensive. I can engage with investigators and prosecutors before their case is fully formed, potentially influencing the charging decision itself. We can preserve evidence, interview key witnesses while their memories are fresh, and lock in a defensive strategy before the state gains too much momentum. Do not wait. Your best defense starts now.
Mastering the Local Court System Across Minnesota
Winning a criminal case requires more than just knowing the statutes; it requires knowing the local legal landscape. I have defended clients in courts all across Minnesota, from Hennepin and Ramsey County to the furthest corners of the state. I know the local prosecutors, judges, and court procedures. I understand that a strategy that works in Duluth might need to be adjusted for a courtroom in Rochester. This insider knowledge is a critical advantage that allows me to navigate the system effectively and craft arguments that resonate with the decision-makers in your specific case.
A Commitment to Building a Case That Wins
My philosophy is to prepare every case as if it will go to trial. This rigorous preparation sends a clear message to the prosecutor: we are ready for a fight and will not be pushed into an unfair settlement. By building a powerful, trial-ready case from day one, we create the leverage needed to achieve the best possible results. Whether the goal is a complete dismissal, a favorable plea to a lesser charge that protects your record, or a full acquittal by a jury, our aggressive and thorough preparation is what puts you in the strongest possible position to win.