Hope Breakfast Bar owners agree to dissolve nonprofit in settlement with AG
The owners of Hope Breakfast Bar and The Gnome Craft Pub have reached a settlement with the Minnesota Attorney General's Office that will see them dissolve their nonprofit Give Hope, which had been accused of "multiple governance violations."
The office of AG Keith Ellison announced the agreement with Brian and Sarah Ingram on Friday, saying that there had been "confusion between the Ingrams' for-profit and nonprofit enterprises."
Give Hope had been set up to donate profits from the Ingrams' restaurant enterprises to charity, but the AG's office claimed the nonprofit had entered "into conflicted transactions with businesses affiliated with the Ingrams."
This allegedly included Give Hope "reimbursing Purpose Driven Restaurants – the parent company of the Ingrams' for-profit restaurants – for food, groceries and toiletry items the nonprofit handed out during the COVID pandemic.
Ellison's office claimed the nonprofit did this "without following the conflicted transaction requirements under the Minnesota Nonprofit Act."
It was alleged that Give Hope failed to follow basic governance standards, with Ellison's office saying its board of directors "met infrequently, failed to maintain adequate books, financial records and policies and procedures and did not have a designated Treasurer."
It also failed to maintain its tax-exempt status and registration as a soliciting charity with the AG's office. The assurance of discontinuance agreed with the Ingrams says Give Hope failed to file required tax returns with the IRS, resulting in its tax-exempt status being revoked in 2023.
"Minnesota requires nonprofits to follow laws about transparency and governance that help protect charitable assets and promote public trust," said Ellison.
"Minnesotans are a generous people, and we expect our charities to obey these rules, keep proper records, and work to help people who need it. Give Hope fell short of these obligations, leaving its assets vulnerable and preventing public and regulator transparency, so I'm ensuring they dissolve."
Bring Me The News has contacted Purpose Restaurants for comment, and will update this story should we receive one.
The Ingrams own seven Hope Breakfast Bars in the Twin Cities, including recent openings in Minneapolis and Blaine, with an eighth to open in Chanhassen in the near future.
They were also the owners of The Apostle Supper Club in St. Paul, which closed down this past month.
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