Burleigh County prosecutors have charged a businessman with fraud, saying he lied about a trust account that backed up a gambling license.

Gary Minard, of Bismarck, misled officials several times about the balance of a trust account for the IQ Fund, a nonprofit that Minard directed, Assistant State's Attorney Brandi Sasse Russell said.

The account is intended to support a licensed gambling operation's charitable work, Russell said. The IQ Fund was permitted to provide gambling at Smoky's, a West Fargo steakhouse and bar, but gave up its license last year.

"They're supposed to be keeping certain amounts in that fund. Essentially, we're claiming that he did not keep that amount in there," Russell said Friday. She declined to specify the amount of money in question.

An attorney for Minard did not return a phone message seeking comment on Friday. Beth Anderson, a former IQ Fund employee, said she no longer worked for the nonprofit and declined comment.

The fund voluntarily turned in its license last fall. Regulators had questioned the IQ Fund's tax return, and Attorney General Wayne Stenehjem filed an administrative complaint saying the fund had not cooperated with an investigation of its gambling accounts.

Stenehjem also subpoenaed the fund's bank records, and said the organization owed some $52,000 for charitable purposes. Stenehjem spokeswoman Liz Brocker said she had no new information to provide about the investigation Friday.

The criminal charge filed against Minard is a Class A misdemeanor, which carries a maximum penalty of a year in prison and a $2,000 fine.