The Bureau of Criminal Apprehension released a statement saying two Minneapolisofficers responded to a 911 call for a potential assault late Saturday.
Damond was a well-known life coach and yoga instructor in the area and conducted medication workshops at the Lake Harriet Spiritual Community, the Times, reports.
Her stepson Zach Damond also posted an emotional video on Facebook in reaction to the tragic news.
"At one point an officer fired their weapon, fatally striking a woman", the BCAsaid in a news release. Both officers have been placed on administrative leave, the state BCA said. The officers' body cameras where reportedly off at the time of the shooting, despite the body camera program being in place precinct-wide in Minneapolis.
Officials are still looking for any possible video footage of the incident.
There are no known witnesses other than the two officers in the squad vehicle and nearly two days after her death, police had offered no public explanation, referring questions to the state's Bureau of Criminal Apprehension (BCA), which is investigating.
The fatal shooting is being investigated and Minneapolis mayor Betsy Hodges says she's been left "heartsick and deeply disturbed", questioning why the body cameras weren't turned on. "I'm so done with all this violence". "... I know we are all anxious for more information and I will share more details once I receive them". He went on to say he is demanding answers, asking anyone who can help to call police and demand answers.
"Justine was one of the most loving people you would ever meet. we can't even imagine LHSC with out her".
Ruszczyk's death is now the focus of a major investigation in the city, which has been rocked by a spate of controversial police shootings.
The deceased woman lived with her fiance and was using his last name - they were set to be married in August, the newspaper reported.
His father had been on a business trip out of town, and only returned on Sunday afternoon.
Leslie Redmond of the Minneapolis NAACP said she and other members of the NAACP "stand in solidarity with the family".
Ms Damond studied to be a veterinarian before she relocated to the U.S., where she was believed to have been for at least the last three years.