LANSING, Mich. (Michigan News Source) – What was supposed to be a $20 million taxpayer-funded international business accelerator allegedly turned into a personal spending spree. According to a bombshell affidavit filed by the Michigan Attorney General’s Office, former Michigan Economic Development Corporation (MEDC) executive committee member Fay Beydoun allegedly used the money on handmade rugs, HomeGoods shopping trips, lavish dinners, and more.

Beydoun, 62, is no political outsider and no stranger to the Democratic party. In addition to being appointed to the MEDC board by Governor Gretchen Whitmer, Beydoun was also with the American Arab Chamber of Commerce for almost 20 years (becoming the director in 2008) and elected vice chair of the Michigan Democratic Party in 2021.

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As reported on May 6, investigators accused Beydoun of using political connections and her ties to Gov. Gretchen Whitmer’s administration to secure the massive state grant before allegedly treating taxpayer dollars like her own luxury rewards program. She’s been charged with 16 felony counts tied to the alleged misuse of the $20 million state grant awarded to Global Link International. Prosecutors allege she used grant money for personal expenses, submitted false records to the MEDC, and operated the scheme for personal financial gain

The attorney general’s investigation of Beydoun’s spending, which took more than two years to complete, was triggered by a Detroit News exposé which included the purchase of a $4,500 coffee maker.

From “economic development” to home décor?

According to the affidavit, investigators allege that beyond paying herself an eye-popping $550,000 annual salary, Beydoun also used grant funds for personal legal expenses, home-related purchases, items for her son, repeated restaurant outings, and even political dinners hosted at her home for then-Detroit Mayor Mike Duggan, who is now running for governor as an Independent. One of the more eyebrow-raising allegations involves the spending of two handmade rugs allegedly disguised as catering expenses.

“Living off global link’s money.”

The state alleges Beydoun created Global Link International from her Farmington Hills home address shortly before the grant was approved. The affidavit claims investigators reviewed more than $1.35 million in spending from the first installment of grant funds and concluded that less than $20,000 appeared to be legitimate business expenses.

Their conclusion was blunt: investigators allege Beydoun was “simply living off Global Link’s money.” Prosecutors say the investigation remains ongoing and additional charges are possible. Altogether, the allegations paint the picture of a politically connected insider who allegedly believed her status, relationships, and time on the MEDC board gave her a level of protection ordinary Michiganders don’t enjoy – the kind of insider culture that critics say can develop when taxpayer-funded programs are treated like personal rewards accounts and those involved assume nobody will dare question the tab.