Hilton cuts ties with Minnesota hotel owner after DHS, ICE agents allegedly denied service

Hilton Hotels announced on Tuesday that it was ending its relationship with an independently owned Minneapolis-area hotel after a newly released video appeared to confirm that the property was still refusing to accommodate Department of Homeland Security (DHS) and U.S. Immigration and Customs Enforcement (ICE) agents.

The decision came shortly after a video released Tuesday morning by independent journalist Nick Sorter showed him attempting to book a block of rooms at the Hampton Inn by Hilton in Lakeville, Minn., where a front desk staff member confirmed the hotel was still barring DHS and ICE agents.

The staff member’s statements in the secretly recorded video appeared to directly contradict a Monday apology from the hotel’s management company, Everpeak Hospitality, which said the issue had been resolved and that the property did not discriminate.

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"The independent hotel owner had assured us that they had fixed this problem and published a message confirming this," Hilton said in a statement to Fox News. "A recent video clearly raises concerns that they are not meeting our standards and values. As such, we are taking immediate action to remove this hotel from our systems. Hilton is — and has always been — a welcoming place for all. We are also engaging with all of our franchisees to reinforce the standards we hold them to across our system to help ensure this does not happen again."

Everpeak Hospitality released a statement Monday saying it is committed to welcoming all guests and operating in accordance with brand standards, applicable laws and its role as a professional hospitality provider.

Billionaire hedge fund manager Bill Ackman, who said he is a Hilton shareholder, praised Hilton’s handling of the quickly unfolding controversy.

"Apparently, Hilton Hotels is terminating the franchise effective immediately," Ackman wrote. "Credit to Nick Sorter for his investigative work." 

"And credit to Hilton Hotels for its responsiveness," he wrote in another post.

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Ackman had weighed in on the controversy earlier on X after emails shared publicly by DHS and ICE appeared to show staff at the Lakeville property telling people linked to federal reservations that the hotel would not allow ICE or other immigration agents to stay.

Ackman noted that Hilton does not own or operate the hotel, that the property was run by a franchisee and that the decision to cancel ICE reservations was made by a front office manager.

That claim was later undercut by the video, leading Hilton to cut ties with the franchisee.

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"Hilton is one of the best-managed companies in the world. Its CEO, Chris Nassetta, is one of the most outstanding CEOs in the world. I know that he is highly respected by President Donald Trump and the current administration," Ackman wrote before Sorter’s video was released.

"Chris became personally involved in this situation from the moment he became aware of it and took immediate action," he added. "As a Hilton customer and shareholder, I am comfortable that this situation was handled appropriately and in a timely fashion."

Fox News' Greg Wehner contributed to this report.