Local News

State probes fraud claims against Triangle businesswoman

Posted August 22, 2011
Updated August 23, 2011

— The North Carolina Secretary of State's office is investigating whether a well-known Triangle businesswoman defrauded friends and associates who invested in her real estate business and gave her personal loans.

Carolyn Grant ran for mayor of Raleigh in 1999 and for Congress in 2002 before starting Omega Property Group, a real estate investment company.

A cease and desist order issued by the Secretary of State alleges that Grant has not repaid the millions of dollars she borrowed for real estate deals and that she misled donors about where their money would go.

Grant has already lost $3.2 million in civil lawsuits against her, and her home is facing foreclosure. Two investors have also alleged that she wrote bad checks, totaling $97,000, to repay them. 

State investigating well-known Triangle businesswoman State investigating well-known Triangle businesswoman

The state Real Estate Commission is also looking into consumer complaints against her and Omega Property Group. 

Attorney Kieran Shanahan, who represents Grant, said that investors knew the risks they were taking and are simply upset that they've lost money. He said the Secretary of State's office has declined Grant's offers to cooperate with the investigation.

"When I was a federal prosecutor, when a defendant wanted to talk to me, I would stop what I was doing and race to get all the information I could," Shanahan said. "Why wouldn't they avail themselves of that opportunity?"

Grant plans to appeal, he said.

Wake County District Attorney Colon Willoughby said he has not requested a criminal investigation into the matter.

19 Comments

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  • edcarpp Aug 23, 7:34 p.m.

    Hey Hedgey_One,

    Well, aren't you full of it! Once again you fail to get all of the facts and rush to judgment in trying to defend a woman who has not honored the commitments that she made to me and my wonderful life. Shame on you! The fine North Carolina justice system will soon show who the real Carolyn Grant is and much she has taken from her long time friends and how she fooled everyone. My wife and I only hope that you feel the same fate someday....

  • pbjbeach Aug 23, 5:23 p.m.

    If you ask me the state of north carolina needs to take a serious look into it's own state agency's when looking for fraudlent claims an just plain old outright fraud of the contracting nature an most especially from within the ncdot in downtown raleigh.where that there is rampant fraud taking place . why doesn't the attorney general office look in to these issues an protect the instrest of the states taxpaying citizens. most especially since the state says it is broke these days. thatis all that ste employee have hearded for years when asking for a raise/ increse inpay or benefits. is that the state is broke . not even so . it just deopend on what it is an what politican it is for. what is being done with the funding. not broke at all all they need to do up there in raleigh is to pull out another drawer an it will be full of money . thank you

  • Rebelyell55 Aug 23, 4:33 p.m.

    I guess more will come out before they might charge her. But the laws suits will do the most damage. Stronger sentencing laws could help stop of some these people from corruption.

  • Grandpeople Aug 23, 2:17 p.m.

    She called on GSK for years with her Plants by Grant. She did a wonderful job. Lost contact with her after that. She seemed to be a nice lady and worked hard back then. Politics seems to ruin them all.

  • twnluv Aug 23, 12:32 p.m.

    @ Hedgy one.. If she didn't want to be judged she should stay out of the public (and esp. POLITICAL) eye... She probably would have gotten away w/it if she weren't so greedy and power hungry...

  • hedgy_one Aug 23, 12:24 p.m.

    I know this woman, and she is not what this article portrays her to be. Isn't the "rule" that a person should never invest more than they can afford to lose? She is a moral, honest woman who fell on some hard times. I do not believe she intentionally committed fraud. As for the bad check, I can't answer for that except to say she must have been desperate and didn't know what else to do. Don't judge her so hard!

  • bill0 Aug 23, 10:17 a.m.

    "Your Average Joe gets sent to jail."

    For bad checks? No. They bond out immediately.

    This "lady" was just a crook. She didn't have any core politics, just a lust for money. She was a democrat but flipped parties to republican because she thought is would he easier to get elected. She supported people who could help her access power and money, not because of their policies.

    As for criminal charges, it is VERY hard to prove fraud in investment cases. The investors are already going after her in civil court and will get every penny she has left.

  • WritNEWlaws Aug 23, 10:12 a.m.

    @She contributed $20,000 to Gov. Bev Perdue

    Hmmm..... wonder if that check cleared??????

  • skyyekatfromafar Aug 23, 9:32 a.m.

    Glad you stood up to "bigal" North Carolina Home! This action and behavior (by the subject of the article) just gives further proof as to the sorry state this country has fallen to . . all because of the kind of individuals that run for--and are elected--to office, be it local or nationally. Either way, it is the voters, the everyday workers (where there is work) that end up suffering as a result of the dishonesty of the POLITICIANS. We need a serious change in this country--before we are totally ruined.

  • weasel2 Aug 23, 9:24 a.m.

    Why shouldn't criminal charges be brought against her????

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