7 On Your Side:East Texan Says Government Grant Program A Scam - KTRE.com | Lufkin and Nacogdoches, Texas

6/4/07-Tyler

7 On Your Side:East Texan Says Government Grant Program A Scam

"We need to buy a large tractor, a bailer, a rake," says Brenda Clark about her Chandler farm.

Clark had big dreams of improving her 140 acre farm. A project that doesn't come cheap.

"If we had at least $100,000 that would go a long way for what we've already done," says Clark.

She wanted to get a government grant and called on a company she found on the internet, called MGR Solutions out of Houston.

"They told me like they had a 93% success rate in getting the grants. And if they did not get the grant for you, they would return the money," Clark explains.

MGR Solutions convinced her that this would be a legitimate process. All she had to pay was $449 up front.

Clark adds, "They told us at first that in 8-12 weeks we should have our grant."

But to this day, nothing has come in the mail!

At first MGR Solutions told her she was denied. Then several weeks later said she was "approved."

But what MGR Solutions sent her was a stack of agencies that Clark was supposed to call to obtain the grant...and it gets worse.

"I started calling and these people don't offer any grants at all. Even though this sheet of paper said they offer small loans or business grants, they don't even do grants. They've never heard of [MGR Solutions]," says Clark.

7 On Your Side researched this company and found it has an "unsatisfactory record" with the Better Business Bureau with 36 pending complaints. That number was as high as 130.

There was also a list of consumers across the country who posted complaints on www.ripoffreport.com saying this company scammed them too.

Like those consumers, Clark never got her money back.

"I know that some of these people would have a very hard time digging up that money and thinking that they're going to get a grant that they're never going to get," says Clark.

She's hoping her story will keep someone else's hard-earned money, from getting in the wrong hands.

MGR Solutions claims it will refund the $449 if a consumer shows them three "denial letters" from the grant agencies.

But since the companies they referred offer loans not grants, Clark says they weren't willing to write denial letters on her behalf.

Christine Nelson reporting. cnelson@kltv.com

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