Walker, Holmes file invasion of privacy lawsuit against Bangstad

The publisher and general manager of The Lakeland Times have filed a lawsuit against the owner of the Minocqua Brewing Company (MBC), alleging invasion of privacy by using their names and images for commercial purposes without their permission.

The lawsuit against MBC owner Kirk Bangstad comes after Bangstad has repeatedly posted what the complaint calls “vulgar and graphic” manipulated images of Times publisher Gregg Walker and Times general manager Heather Holmes.

A breakdown of the annual expenditures of the MBC Super PAC for the year 2024 according to the complaint filed against Bangstad.
(Contributed image)

In addition, in a bombshell allegation against Bangstad, the complaint by attorney Matthew Fernholz on behalf of Walker and Holmes alleges that Bangstad’s MBC Super PAC is his primary source of income, and that he has used donations to the Super PAC for personal and legal expenses, to the tune of more than a million dollars.

“Since 2021, the MBC Super PAC has paid Bangstad, entities Bangstad controls, friends of Bangstad, Minocqua Brewing, and law firms a total of $1,196,619.54, which represents a staggering 62 percent of all expenditures by the MBC Super PAC since its inception,” the lawsuit states. “Based on the expenditure totals, the primary purpose of the MBC Super PAC is to provide a source of income for Bangstad and cover debts he owes to various law firms.”

The lawsuit comes on the heels of Bangstad being held liable by a unanimous jury of defaming Walker repeatedly, including posting a false claim that the current lawsuit calls a “vicious lie that Walker contributed to his brother’s death and that Walker committed elder abuse against his own father to direct a change in his estate plan.”

The jury in the defamation case awarded Walker $750,000, believed to be the largest defamation verdict in Wisconsin history. Ultimately, a settlement was negotiated, with Bangstad paying Walker $50,000 and his insurance companies paying $530,000.

However, unanswered questions raised in that lawsuit about Bangstad’s PAC activities have worked their way into this lawsuit, as have statements Bangstad made during the defamation case about his use of his dispute with Walker for business purposes.

Defamation for profit

Simply put, the complaint asserts, Bangstad has stated in a sworn affidavit that he uses his attacks on Walker to make money for his businesses.

Following the defamation trial, the complaint states, Bangstad swore under oath that his attacks on Walker were a ploy to gain more social media followers and to sell more beer and merchandise. At the time, Bangstad was embroiled in a coverage dispute with his insurers over whether the damages awarded at trial were covered under applicable policies.

“During the course of that dispute, Bangstad submitted a sworn affidavit attesting that every time he defamed Walker it was done for purposes of promoting his social media brand and to sell more beer and merchandise,” the complaint states.

The complaint quotes from Bangstad’s sworn affidavit at length.

“Accordingly, I directed a lot of my marketing efforts to the battle between myself and Gregg Walker, because those efforts resonated with customers and followers,” Bangstad stated in the affidavit. “My customers and followers don’t like Gregg Walker or the Lakeland Times, but they do like when I post about his lies and misinformation on Facebook. Our years long battle has been good for Minocqua Brewing Company sales.”

The complaint also alleges that, based on his sworn affidavit, Bangstad does not view any distinction between his politics and his business.

“When I post as ‘Kirk Bangstad’ and not the Minocqua Brewing Company on the Minocqua Brewing Company Facebook Page, I post in the first person instead of using the “we” voice I use when I post in my official capacity as the owner and operator the Minocqua Brewing Company,” he stated in the affidavit.

As such, the complaint alleges, Bangstad’s MBC Super PAC, which he created in early 2021, has funded numerous personal legal expenses of Bangstad, including his zoning disputes with Oneida County and the town of Minocqua, his legal defense costs for the defamation claims brought by Walker, and even personal and business bankruptcy counseling.

“Upon information and belief, the MBC Super PAC has paid Bangstad for alleged ‘consulting fees’ through sham entities known as ‘Effervescent Blue’ and ‘NCPS,’” the complaint states.

All totaled, the complaint asserts, as of the end of 2024, the MBC Super PAC had spent nearly $2 million, the greatest amount on legal fees, some of which were used to fund a stream of unsuccessful lawsuits, including efforts to disqualify Sen. Ron Johnson and U.S. Rep. Tom Tiffany from running for Congress; to forcibly mask school children in the Waukesha school district; to sue Gregg Walker for defamation; to end Wisconsin’s school voucher system and to disqualify Donald Trump from the presidential ballot in Wisconsin.

But much of the funding was going for Bangstad’s personal use, the lawsuit alleges.

“During the pendency of the civil defamation action, Bangstad solicited donations through the MBC Super PAC to fund his legal fees,” the complaint states. “Bangstad would post about the case on the Minocqua Brewing Facebook page, and then provide his supporters with a link through Act Blue (a clearinghouse for progressive political donations) where they could donate to the MBC Super PAC.”

Bangstad made requests for donations through the MBC Super PAC on at least nine different days, the complaint alleges, citing Bangstad’s previous testimony and sworn statements, and he apparently created two separate funds, a “Legal Defense Fund” and a “Legal Offense Fund,” both of which he routed through the MBC Super PAC, as shown by images of the PAC’s donation pages.

Even more remarkable, the complaint alleges, while Bangstad was raising money for his alleged “legal defense,” his insurance companies were actually covering his defense costs in 2022 under a reservation of rights. 

“Such defense funding continued through the settlement of the case on appeal in October 2024,” the complaint states.

“Some sort of fraud”

In addition, the complaint alleges, Bangstad admitted to misleading his donors in a post in which he asked for more donations.

“I didn’t tell the public that my insurance company was now paying for my defense because I wanted to keep Gregg Walker believing that he was bleeding me dry so that he’d keep on spending money on this case,” Bangstad stated in a December 8, 2022 post, according to the complaint.

“Bangstad’s misrepresentations caught the attention of judge Leon Stenz, the judge presiding over his civil case, who commented that Bangstad was ‘committing some sort of fraud’ on his donors by failing to disclose that his legal fees were already being covered,” the complaint states.

The bottom line, the complaint alleges, Bangstad has raised hundreds of thousands of dollars through the MBC Legal Defense and MBC Legal Offense Funds.

“Upon information and belief, a portion of these proceeds were not used for legal fees incurred in the civil defamation lawsuit and were instead used for other purposes,” the complaint states.

Indeed, the complaint alleges, Bangstad thwarted collection efforts by obfuscating the financial support he received from the MBC Super PAC, and, at a supplemental examination related to that case, Bangstad refused to answer questions about the Super PAC, even though the judge in the case had permitted Walker’s attorney to ask questions related to that entity.

Stenz raised the possibility of fraud if Bangstad was using money donated for political action for personal expenses, such as the lawsuit at hand.

“If a Super PAC is allowed to pay personal expenses that he has incurred, he either has defrauded those people who have sent money in for actual political things — I mean it would be the same thing saying I used it to buy some gas and went to the store and bought some groceries and used it to pay my Mastercard and Discover card,” Stenz said in a March 2024 hearing. “He doesn’t get to say [it’s] is a political thing because it’s not. There is nothing political about this.”

During his supplemental examination, the complaint added, Bangstad testified that neither he nor Minocqua Brewing had the ability to pay the civil judgments against them. In September of 2024, the Wisconsin Court of Appeals denied Bangstad’s and Minocqua Brewing’s motion to stay enforcement of the judgments pending appeal, and the court lifted a temporary stay that had been in place against collection efforts.

Walker then initiated non-earnings garnishment proceedings against all the financial institutions that Bangstad disclosed during supplemental proceedings. Walker’s attorney also warned Bangstad’s attorney that Bangstad was not to engage in any fraudulent transfers to avoid collection efforts, the complaint states.

“The letter referenced the fact that, in May 2024, Bangstad withdrew nearly all of his funds from a Chase Bank Account and deposited them into an account at Summit Credit Union,” the complaint states. “This maneuver was done based on the advice of [Bangstad’s attorney] to evade Walker’s collection efforts.”

In addition, after the Court of Appeals lifted the stay on collection proceedings but before the garnishment was initiated, Bangstad made three withdrawals totaling $120,000 from a Minocqua Brewing bank account, leaving just over $1,000 in the account, the complaint alleges. 

That same month, Walker settled the claims against Bangstad.

Using personal images without permission

In October of 2024, Bangstad authored a newsletter exploring the defamation case at great length, and announced that MBC had created the “Snowflake Holiday Ale” using Walker’s image on the can.

“Bangstad never received permission from Walker to use his image or likeness in any Minocqua Brewing product,” the complaint states. “Walker did not consent to the use of his image in any Minocqua Brewing product.”

At that point, the lawsuit alleges, Bangstad was so concerned about what the collection process would reveal about his use of MBC Super PAC funds that he posted a “revolting image” of Walker and Holmes as retaliation.

The manipulated images of Walker and Holmes in a pornographic rendering appeared after Walker’s attorney informed Bangstad’s attorney that Walker would be seeking sanctions and contempt against Bangstad due to his failure to answer questions regarding the MBC Super PAC at his supplemental examination, the complaint alleges.

The appearance of the manipulated images prompted the Oneida County district attorney, Jillian Pfeifer, to charge Bangstad with two counts of criminal defamation. 

The current complaint also accuses Bangstad of bail jumping in the criminal defamation case.

“One of the conditions of Bangstad’s bail is that he is prohibited from making disparaging posts about Walker or Holmes while the case is pending,” the complaint states. “Nevertheless, Bangstad has continued to use the graphic and vulgar image of Walker and Holmes. Immediately following his initial appearance, Bangstad re-posted the image, while mocking judge Michael Schiek (the presiding criminal judge) that he would not comply with the terms of his bail.”

Later that day he posted the image again in a newsletter to supporters, the complaint continues, and taunted Schiek: “Come and get me Judge Schiek, I dare you.” 

“The image was posted again on the Minocqua Brewing Facebook page on October 24, 2024, and January 11, 2025,” the complaint states. “Bangstad used the criminal defamation charges as an opportunity to promote his business and sell more beer. On November 16, 2024, he wrote a lengthy essay on Substack commenting on the case, which he ended by encouraging his readers to purchase ‘Snowflake Holiday Ale.’”

But Bangstad wasn’t through using doctored images, Fernholz wrote.

On January 28, 2025, Bangstad posted to the Minocqua Brewing Company Facebook page another doctored image, this time including Walker, Oneida County sheriff Grady Hartman, and Pfeifer, the complaint states: “Bangstad titled this post ‘The Oneida County Centipede.’”

A clear-cut case

In sum, the complaint says the evidence offers a clear case of invasion of privacy.

“Bangstad never received permission from Walker or Holmes to use their image or likeness,” the complaint states. “According to Bangstad, each and every time he writes about Walker or The Lakeland Times on the Minocqua Brewing Facebook page or social media, it is done for the purpose of increasing his viewership and for selling more product.”

Then, the complaint continues, in November 2024, MBC began selling “Snowflake Holiday Ale,” which used Walker’s name and image.

“Walker never consented to the use of his name or image in any Minocqua Brewing product,” the complaint states. “Bangstad and Minocqua Brewing have used Holmes’ and Walker’s name, images, and photographs for advertising or trade purposes. Neither Bangstad nor Minocqua Brewing had permission to use Holmes or Walker’s name, images, or photographs for advertising or trade purposes.”

The result is that Walker and Holmes have been damaged as a result of Bangstad’s and Minocqua Brewing’s misappropriation of their name, image, and likeness, the complaint asserts.

Walker and Holmes are also seeking a court declaration that the defendants are alter egos, a legal principle that allows a court to disregard a corporation’s separate identity from its shareholders or owners when it determines that the corporation and its owners are indistinguishable.

The complaint lays out its case for such a declaration.

“Upon information and belief, the funds of Bangstad and Minocqua Brewing are commingled,” the complaint states. “Upon information and belief, Minocqua Brewing does not maintain a corporate record book or maintain corporate formalities. Upon information and belief, Minocqua Brewing is not a profitable business and has not been so since its creation in 2021.”

What’s more, the complaint continues, the FEC filings for the MBC Super PAC from 2022-2024 show no payments or donations made by Minocqua Brewing to the MBC Super PAC — despite a disclaimer on the MBC website that a percentage of profits is donated to the Super PAC 

The lack of profitability has not impaired Bangstad’s lifestyle, the complaint alleges. 

“Notwithstanding the lack of success of Minocqua Brewing, upon information and belief, Bangstad maintains multiple residences and regularly vacations in Costa Rica,” the complaint states.

The complaint also alleges that the companies “Effervescent Blue” and “NCPS” are sham entities that Bangstad controls completely and uses to pay himself.

“Upon information and belief, ‘Effervescent Blue’ is an unregistered d/b/a business entity maintained, controlled, and operated by Bangstad,” the complaint states. “Effervescent Blue has a mailing address of 1306 Regent Street, #113, Madison, Wisconsin. Upon information and belief, 1306 Regent Street in Madison is the location of a jewelry store. Upon information and belief, none of the defendants are affiliated with Studio Jewelers Ltd.”

Likewise, the complaint asserts, “NCPS” is an unregistered d/b/a business entity maintained, controlled, and operated by Bangstad.

“Bangstad is the treasurer for the MBC Super PAC and thus controls all disbursements made by the Super PAC,” the complaint states. “Bangstad pays himself ‘consulting fees’ with MBC Super PAC funds. However, in an attempt to hide how much he is paying himself for alleged ‘consulting’ work, Bangstad makes the payments to Effervescent Blue and NCPS.”

In fact, the complaint asserts, there are no records on the FEC database of Effervescent Blue or NCPS receiving payments from any other registered political action committee.

“Upon information and belief, the MBC Super PAC is Bangstad’s primary source of income,” the complaint alleges. “In 2021, MBC Super PAC paid Minocqua Brewing Company, Effervescent Blue, and NCPS a total of $56,335.74. In 2022, MBC Super PAC paid Effervescent Blue and NCPS a total of $62,974. In 2023, MBC Super PAC paid Bangstad, Effervescent Blue, and NCPS a total of $138,414.”

In 2024, the complaint adds, MBC Super PAC paid Bangstad, Effervescent Blue, and NCPS a total of $202,826, and, beyond that, the MBC Super PAC has been used to fund a number of personal expenses for Bangstad.

“For example, in 2024, $10,000 was paid to Richman & Richman, LLC, a law firm in Madison, Wisconsin that provided personal and business bankruptcy legal services to Bangstad and Minocqua Brewing,” the complaint states. “Upon information and belief, Richman & Richman, LLC has never established an attorney-client relationship with the MBC Super PAC.”

Then, too, the complaint adds, since 2021, the MBC Super PAC has paid Bangstad’s personal counsel and companion attorney Frederick Melms (no association with Melms, Hogan & Francois law firm) $191,562.50.

“Upon information and belief, a significant portion of these payments were for legal work attorney Melms performed for either Bangstad or Minocqua Brewing,” the complaint states. “In 2022, the MBC Super PAC distributed $76,221.00 to MBC SLAPP Defense. Upon information and belief, these funds were used to pay attorneys representing Bangstad and Minocqua Brewing against defamation claims brought by Walker.”

On April 2, 2021, the MBC Super PAC made two $5,523.96 disbursements, (totaling $11,047.92) to “Bangstad for Wisconsin,” one itemized as “reimbursement – signs” and the other as “advertising.” 

“Bangstad for Wisconsin” was the candidate committee created in support of Bangstad’s failed run for Wisconsin Assembly in 2020, the complaint states, but by April 2021, Bangstad was no longer running for public office.

“On May 6, 2022, the MBC Super PAC paid Morgan Mandigo, Bangstad’s girlfriend at the time, $5,800 for alleged ‘communications consulting,’” the complaint states. “Upon information and belief, the ‘communications consulting’ consisted of Mandigo writing a 10-paragraph editorial on the United States Supreme Court’s decision in Dobbs v. Jackson Women’s Health Organization, which was published on the Minocqua Brewing website.”

Finally, in August 2023, the complaint asserts, the MBC Super PAC paid the law firm of Pines Bach LLP $2,500.

“Upon information and belief, Pines Bach has performed no legal work for the MBC Super PAC, but did provide legal representation to Minocqua Brewing concerning a zoning dispute,” the complaint states.

The total is startling, the complaint contends.

“Since 2021, the MBC Super PAC has paid Bangstad, entities Bangstad controls, friends of Bangstad, Minocqua Brewing, and law firms a total of $1,124,440.19, which represents a staggering 58.3 percent of all expenditures by the MBC Super PAC since its inception,” the complaint states. “Based on the expenditure totals, the primary purpose of the MBC Super PAC is to provide a source of income for Bangstad and cover debts he owes to various law firms.”

Indeed, the complaint contends, Bangstad exerts total control over both Minocqua Brewing and the MBC Super PAC to such extent that their independence is only in form.

“By paying himself through the MBC Super PAC, Bangstad used the Super PAC to evade collection efforts by Walker in 2024,” the complaint states. “Minocqua Brewing is the alter ego of Bangstad. The MBC Super PAC is the alter ego of Bangstad. Minocqua Brewing is the mere instrumentality of Bangstad. The MBC Super PAC is the mere instrumentality of Bangstad.”

Richard Moore is the author of “Dark State” and may be reached at richardd3d.substack.com.