An Osakis man, Brian John Poepping, is facing felony charges after allegedly defrauding an Alexandria business of over $500,000. He has been charged with felony theft by swindle in excess of $35,000 and felony theft in excess of $35,000, carrying a maximum sentence of 20 years imprisonment and a $100,000 fine. The case was reported in January by the business owner, who informed the police that one of the employees was involved in manipulating and creating fraudulent invoices for personal gain.
Poepping started working at the business in April 2021 and established his own company in December of the same year. The fraudulent activities allegedly took place from February 3, 2022 to November 9, 2023 during which time $544,445.48 was paid to Poepping’s company. An investigation revealed that Poepping had billed the company for services and materials that were never provided or received. He was accused of altering invoices using White-Out and approving them by forging his initials.
Poepping confessed to the theft in a text message to his former employer. Further investigation uncovered that he used multiple bank accounts to avoid reporting larger transactions immediately transferring or spending the money after depositing it. The state plans to prosecute the case as a major economic crime under the Minnesota Sentencing Guidelines. Travis Gulbrandson who covers Osakis School Board, Osakis City Council Brandon-Evansville School Board will focus on reporting on this case.
