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Lutsen Resort Owner Has Court Hearing in Fraud and Arson Case

If one logged on looking for substantial updates during a June 15 omnibus hearing for Bryce Campbell, they would have been severely disappointed.

Campbell, the embattled owner of Lutsen Resort, accused of arson and fraud stemming from the 2024 fire that destroyed the historic lodge, appeared via Zoom during the remote courtroom hearing Monday afternoon. The hearing lasted about 20 minutes, with most of the time spent discussing a recent motion by the state to seal supplemental evidence it claims to have proving Campbell is guilty of arson and fraud.

The motion to seal evidence follows a filing by Campbell’s attorney, Eric Newmark, on June 9 to dismiss the four felonies Campbell is facing due to lack of probable cause. A day before Newmark filed the motion to dismiss, Minnesota Attorney General Keith Ellison and his staff, including Assistant Attorney General Daniel Vlieger, submitted a motion to seek an aggravated sentence against Campbell should he be found guilty. This means that in the same week, the prosecution claimed to have such overwhelming evidence to support the charges that an aggravated sentence is required, while the defense said the charges are so weak, they should be dismissed for lack of probable cause.

Judge Michelle Anderson, who is presiding over the case, gave the state’s legal defense team and Newmark a chance to present and review any supplemental evidence that could or should be kept from the public record at this time. A hearing will be held July 17 to determine what evidence should be sealed, if any.

Campbell was present during the courtroom hearing this week. Wearing a sports coat and his usual look of a beard and short hair, Campbell barely spoke during the hearing, only briefly acknowledging to the court that the audio connection was working for the remote hearing.

In 2018, Campbell and his mother purchased Lutsen Resort for $6.7 million. Campbell submitted a $16.5 million insurance claim shortly after the fire burned the resort to the ground. Campbell owed money to local businesses up and down the North Shore at the time of the fire, as well as to the National Bank of Commerce for the mortgage on the resort. There was talk of foreclosures and mounting debt in the lead-up to the fire, in the criminal charges against Campbell, and again during a March hearing for a separate civil case.

Authorities arrested Campbell last December, charging him with arson and fraud stemming from the fire. He was released about a week after his arrest, after posting a $100,000 bond ($10,000 cash) with conditions that include him not being able to leave Minnesota unless the court approves it.

Also discussed during Monday’s omnibus hearing is the likelihood of the case being moved out of Cook County. This topic was also noted in the state’s June 11 filing to seal supplemental evidence in the case.

“The state anticipates that venue for trial will likely be an issue,” Vlieger and the prosecution wrote in their filing to the court. “Allowing access to the submissions and information not generally available to the public will further jeopardize a fair trial for both parties and presents a substantial likelihood of interfering with the fair and impartial administration of justice in not only the criminal matter, but also the numerous civil suits currently pending.”

Learn more about Bryce Campbell and the fire at Lutsen Resort in the July issue of Mpls. St. Paul Magazine.

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