WASHINGTON, D.C. (WWLP) – The Federal Trade Commission (FTC) and the State of Florida have filed a lawsuit against a company selling grant writing services that targeted minority-owned businesses.
Thousands of businesses struggled during the COVID-19 pandemic and were looking for opportunities for financial help. According to the lawsuit, Grant Bae, and its owner, Traeshonna P. Graham, targeted minority-owned small businesses using social media platforms including Facebook, Instagram, and Clubhouse. They claimed that they could get “guaranteed” grants of $25,000 to $250,000, depending on how much the businesses paid for the services.
In response to a complaint filed by the FTC and the State of Florida, a federal court has temporarily shut down the company and frozen the defendants’ assets.
“These scammers targeted minority-owned businesses and misused public funds meant to support honest businesses during the pandemic,” said Samuel Levine, Director of the FTC’s Bureau of Consumer Protection. “Working with our state partners and with the new authority granted by Congress, we will continue to shut down frauds that prey on people during the pandemic.”
The complaint alleges that the company violated multiple state and federal laws when they falsely promised significant returns, mislead customers about grant status and access to grants, lied about prior success, and did not…
