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What’s going on with the fraud in Minnesota?

reddit.com › r › Askpolitics › comments › 1pxzh3o › whats_going_on_with_the_fraud_in_minnesota

When immediate financial aid programs were needed during the pandemic, there was always going to be a trade-off between getting the money out there and preventing fraud. Many programs, including the federal PPP and this state program, made the trade-off in favor of getting the money out there. Hence the fraud. Every program that could have been defrauded was defrauded in very short order. It was foreseen but some folks underestimated people's ability to say "fuck everyone else, I'm grabbing everything I can". Answer from Dazzling_Outcome_436 on reddit.com

reddit.com › r/minnesota › best overview of the fraud situation i've seen yet

r/minnesota on Reddit: Best overview of the fraud situation I've seen yet

3 days ago -

If you're not familiar with Leeja's channel, I highly recommend it. I've been watching her for years and really appreciate her (well-researched) deep dives into topics related to politics, government, and law.

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If people cared about fraud they would wonder why trump pardoned multiple fraudsters + a drugdealer in a country that ran the country too.

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Oh, hey! Fellow Minnesotan and all around bad ass, Leeja Miller!

reddit.com › r/askpolitics › what’s going on with the fraud in minnesota?

r/Askpolitics on Reddit: What’s going on with the fraud in Minnesota?

4 days ago -

I’ve been seeing this in the news lately, but I remain unsure if these are isolated incidents or something more systemic. This Feeding Our Future case seems to be pretty big, with what appears to be at least $250 million in fraud. Reporting describes it as one of the largest pandemic related fraud cases in the country. https://www.cbsnews.com/news/what-to-know-about-minnesota-fraud-allegations-as-trump-levels-attacks-on-walz/

Federal prosecutors are also pursuing multiple additional fraud investigations in Minnesota involving Medicaid and other social services programs, including autism services and housing stabilization services and daycare. Federal officials have described the scope of the problem as unusually large. https://minnesotareformer.com/2025/12/18/u-s-attorney-fraud-likely-exceeds-9-billion-in-minnesota-run-medicaid-services/ MPR News reporting on new charges: https://www.mprnews.org/story/2025/12/18/minnesota-fraud-new-charges-medicaid-scam https://kstp.com/tracking-your-tax-dollars/whistleblower-minnesotas-child-care-assistance-program-has-fraud-cases-dating-back-12-years/ https://m.economictimes.com/us/news/empty-daycare-centers-millions-in-public-funds-viral-video-sparks-minnesota-fraud-scrutiny/articleshow/126213876.cms

For people who follow Minnesota politics or public administration more closely: how should all of this be understood? Are these just unusually large fraud cases that happen to be concentrated in one state, or do they point to broader systemic issues? How does this compare to fraud in other states? And what should change to prevent similar problems going forward?

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Post is flaired QUESTION. Stick to question subject matter only. Please report bad faith commenters & low effort replies Don’t reply to my mod post about your politics, Santa clocked out and left me the keys.

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Videos

02:09

Ctvnews

Concerns of alleged ‘rampant fraud’ scheme worth US$1B using ...

2 days ago

03:54

YouTube

Arrests in Minnesota after YouTuber kickstarts $9B fraud probe ...

2 days ago

facebook.com

Fraud in Minnesota has become a flashpoint for incendiary ...

07:40

YouTube

Fraud scandals and Trump’s rhetoric escalate fears in Minnesota’s ...

1 month ago

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YouTube

What's the deal with fraud in Minnesota? The Feeding Our Future ...

1 month ago

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reddit.com › r/trueunpopularopinion › minnesota is one giant sinkhole of fraud

5 days ago -

What tf is going on in Minnesota? Industrial-scale fraud is occurring in this state, and no one on Reddit seems to be paying attention. Every aspect of Minnesota's social services is being shamelessly pillaged. Feeding our Futures scandal, at least 250 million, probably 10x that number when all stones are unturned, 878 arrested so far. Housing Stabilization Services Fraud, at least 300 million pilfered, 5 arrested so far. Autism Services (EIDBI Program) Fraud, Broader Medicaid and Social Services Fraud, and now the latest child care services fraud, where millions of dollars were sent to empty storefronts posing as child care facilities. This is gross criminal negligence on the part of Minnesota's leadership. People seriously need to be imprisoned.

And by the way, the same level of corruption and scandal is being uncovered in California now. Seems to be a certain pattern forming.

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What’s most troubling is the local governments and media were perfectly happy to cover it up and pretend it wasn’t happening. Almost like they were in on it the whole time

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Those are my tax dollars and actual discovered fraud. Actually trying to justify it by speculation or Trump did something is pure stupidity that proves political brain washing and you need to evaluate your thought processes. I want every federal dollar accounted for including Pentagon money that doesn’t pass audits.

reddit.com › r/outoftheloop › what is up with this mn daycare story?

r/OutOfTheLoop on Reddit: What is up with this MN daycare story?

3 days ago -

I’ve seen a bit about this mostly from right leaning news sites about a YouTuber who allegedly went to these Somali owned daycares receiving millions of dollars from the state of MN. It doesn’t seem to be covered in more mainstream outlets, though. Is this actually a scandal with legs or is this just another one of those outrage stories? Hard to tell with all the bias on the sites covering this story.

https://www.foxnews.com/us/feds-launch-massive-investigation-after-viral-video-alleges-minnesota-daycare-fraud

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Answer: First, There has been a fraud scandle in Minnasota that was first investigated a couple years back that involved Somoli Americans getting millions of state money they should not have. It has gained more public interest than when it first broke cause of the immigrant policies and targeting this year, but that not the same as the daycare thing, thats just background info. As for the daycare, a youtuber named Nick Shirley (not a journalist, a youtuber, dont call him a journalist) made a video where he goes to multiple daycare in the state that are getting millions in state money running a daycare as funding daycare frees up parents to work and simulate the economy, so funding is normal usually. However, Nick says that the daycare are fake with no actual kids there and them never taking on kids from parents. So he goes and finds most of the centers locked, and if not they turn him away even if he says he is trying to find a daycare for his son (he's not but hes saying that). On center even had a sign saying "Learing Center" instead of "Learning Center" or something, but some people are saying that center is now a restaurant anyways but idk Anyways, he and many others are taking the fact they are locked and turning him away and some people saying they never see kids there as a fact they are fake and just taking money. However there are some issues with it. One he did this all in one afternoon. No deep investigation over multiple days, didnt check other non Somalia centers to compare reactions, and did it on a holiday week when many places close when they are usually open. Also since he is walking around with a mic and camera and recording outside the buildings before knocking, nobody will believe he's there looking to enroll a kid, so their stand off reactions is normal given the climate around Somalis. Also since he is a youtuber and its an edited video we jave no idea what he cut out, what reactions he cut out, what questions or comments he made he cut out, and what visits he cut out. He uploads every week so he has to make these very quick and they have to align with his audience's expectations and views like all youtubers, so the medium is inherently untrustworthy as ALL youtuber fudge things for content, gaming, politics, sports, every niche He MAY be onto something but it requires deeper investigations, especially multiple days AND not during a holiday. So currently the video isn't much e denies other than: "Look, they wouldn't let me into a place that keeps kids when I am with a camera and am a stranger, some places are closed on a weekday during a holiday, and the people wouldnt let me (who is filming) enroll my fictional kid, so they must be faking it all" Also they saying they never see kids at the centers but like...who has? Kids are usually inside. I drive past a center i used to go to as a kod and never see any kids cause me driving by the same time they are outside is low ya know So maybe thers something to it, maybe not, need someone with real journalistic drive to check and not a youtber trying to make his next quick video for the algorithm Edit: typos

reddit.com › r/minnesota › how fraud swamped minnesota’s social services system on tim walz’s watch (gift article)

r/minnesota on Reddit: How Fraud Swamped Minnesota’s Social Services System on Tim Walz’s Watch (Gift Article)

November 30, 2025 - People that commit fraud, spread misinformation to that erodes public trust in the news, or anything that negatively impacts the publics perception of the truth should have an enhancement charge added on to the existing criminal charges. Minnesotans think that because we show up high on a chunk of "Top XYZ" lists that we dont have to give a shit about anything because it's being "handled".

reddit.com › r/minnesota › 98 minnesota mayors sign joint letter raising concerns about fraud, unfunded mandates, and growing cost pressures

r/minnesota on Reddit: 98 Minnesota mayors sign joint letter raising concerns about fraud, unfunded mandates, and growing cost pressures

1 week ago - Who am I and why am I complaining about rural Minnesota politics. ... Gov. Walz on prosecuting fraud in Minnesota

reddit.com › r/seattlewa › fraud concerns hit somali childcare centers in washington after minnesota probe

r/SeattleWA on Reddit: Fraud Concerns Hit Somali Childcare Centers in Washington After Minnesota Probe

3 days ago - Fraud is fraud. Dollar for dollar, even in Minnesota, I would wager that far more fraud is committed by non-Somalis than by Somalis. Reporting on fraud is not only acceptable but important.

reddit.com › r/outoftheloop › [ removed by moderator ]

Whats going on with videos of the "fake" childcare centers ...

4 days ago - The claim these centers are "fake " also doesn't make sense, as the state has documented visiting and citing these centers for various violations throughout the years. So if this is a fraud scheme, people in the Minnesota government are accomplices as well.

Find elsewhere

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reddit.com › r/minnesota › i investigated minnesota’s billion dollar fraud scandal

r/minnesota on Reddit: I Investigated Minnesota’s Billion Dollar Fraud Scandal

6 days ago - US attorney says Minnesota government fraud could exceed $1 billion

reddit.com › r/twincities › nick shirley uncovers massive fraud in the twin cities

r/TwinCities on Reddit: Nick Shirley uncovers massive fraud in the Twin Cities

6 days ago -

Interesting video, to say the least

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The grift is so real. All you have to do to become an influencer in this country is stoke a little ethnic and religious hatred and you have a built-in audience ready to go. You just have to speak to Americans' worst impulses and keep them distracted from the real structures that make their lives worse.

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Lmao I'm not giving a view to this clickbait bullshit

reddit.com › r/minnesota › how we found the housing fraud in minnesota

r/minnesota on Reddit: How we found the housing fraud in Minnesota

September 19, 2025 -

These journalists uncovered rampant fraud, not any state government agencies.

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So, when are we going to get an investigation into all the tax money that goes to corporations with no strings attached? I think that's the biggest amount of fraud in government there is.

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I hope y'all realize other states don't catch their fraud...

reddit.com › r/minnesota › [ removed by moderator ]

Minnesota Fraud Scandal EXPLAINED

3 days ago - Trump claims Minnesota lost billions to fraud.

reddit.com › r/centrist › minnesota fraud-

r/centrist on Reddit: Minnesota fraud-

1 day ago -

I’m trying to sort through the noise regarding child care and other fraud in Minnesota.

Unfortunately I’ve had trouble finding facts. Most of what I read is either political spin, or generic stories with glossed-over data.

Is there any **evidence** that Gov Walz did anything illegal? Not spin, but evidence or even legit reasonable cause to suspect? (Or was he slow to act, or slow to publicize state actions, perhaps to protect political allies?)

If the scale of fraud is $1-6b, what proportion is that of the State’s overall programs? In other words, how big is it really? Fox News and the R candidate for governor makes it seem like the entire state is a fraud. While Walz’s press releases lean towards “it’s just a few rotten apples”.

Anyone know the facts?

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Here's a state audit report (PDF) from 2019 that gives some decent background on the situation and what was being done at a state level before covid. Here's some local journalism about fraud - and subsequent investigations/convictions - behind Feeding Our Future, a pandemic-response program. Feeding Our Future is separate, but likely related, to alleged child care and midicare fraud in the area. Note, earlier this year, Minnesota republicans blocked a fraud prevention oversight proposal due to cost concerns. As far as I can tell (and I'm a rando with no intimate knowledge of the situation): There has absolutely been fraud in MN Some of that fraud predates covid, but much of it was exacerbated during covid when more programs were offered, and oversight of these new programs was strained due to personnel and logistical constraints MN gov has taken actions to address this fraud. Dozens of people have been convicted, but much of that is from Feeding Our Futures. It seems to me like fraud in pandemic programs is being litigated, but it's ongoing. Many of those involved in these fraud schemes are Somalian, though the "mastermind", who has been convicted, is a white woman. There are claims from some state officials that Walz et al were reluctant to be aggressive against much of this fraud due to the racial element and Minnesota's recent history with George Floyd (see the NYT article ). It doesn't appear that Walz has done anything illegal, and I don't think anyone has really claimed that In my opinion there is a real fraud problem, that has been known for a while and has been investigated at the state level, but limited state resources - possibly combined with some hesitance due to the racial element - means the issue is ongoing. Simultaneously, the administration is trying to turn this known issue into a bombshell expose to attack a democratic state legislature and an immigrant population simultaneously. As a result a lot of innocent children and families will now suffer until the courts likely step in.

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The prosecutors claim that since 2018 there have been 14 Minnesota run assistance programs that have stolen $9 billion+ of the $18 billion in federal funds they have received. That would mean potentially over half of all funds these programs received, which if accurate would be considered rampant abuse. This predates Trump2 and the recent social media child care video by years. The Biden administration prosecuted approximately 78 people in Minnesota in connection with fraud of assistance programs from 2021 to the end of his term. The Walz connection is that he has been governor and thus overseeing these state boards this entire time, there is no evidence that he is part of the criminal activity at this moment. The Small business administration is concerned the fraud is wide enough that they have stopped offering loans to Minnesota child cares as of a few days ago. The Trump administration has now frozen payments to childcare programs in the state as well.

reddit.com › r/stupidpol › minnesota fraud

r/stupidpol on Reddit: Minnesota Fraud

4 days ago -

Basically a total reddit blackout on this topic, there’s gotta be some middle ground discussion here. Is it Russian disinformation or is that just reddit cope?

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I created invoices for Medicaid transportation 5+ years ago in NY and not surprised by the fraud. At least some of the fraudsters were caught when I was still working there. Though I have a gut feeling that half of em are still going. Shit’s fucked. People who think most of the fraud is from the individual level abusing the system are mistaken, it’s usually companies giving fake services/upcharging.

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It’s going to be one of those things where being mad about it is right-coded so folks will be doing all sorts of mental gymnastics to try and convince people (themselves?) that the daycare with the blacked out windows with no kids that won’t give you an enrollment application is totally legit because it needs to be or else the right-oids would be on the correct side of something and that can’t be right. What I don’t understand though is why these businesses are getting millions in tax funds to begin with. Like, I get the Covid era payroll loans that we needed to do to keep things afloat for like a year and I accept that there was some grift there. And I understand medicare fraud where you bill the government for stuff you didn’t do or patients that didn’t exist. But I don’t understand what the daycare game is, does the state just pay the tuition for kids and the scam is to fabricate a bunch of fake kids to bill for? At that point they need to just make daycares be like the public school model and have the state run the whole thing end-to-end as a public school of sorts, as long as the government is paying for it anyway; why does the taxpayer need to foot the bill for these places profit margins, even without the rampant corruption

reddit.com › r/askus › are these and other frauds ignored in minnesota?

r/AskUS on Reddit: Are these and other frauds ignored in Minnesota?

6 days ago - The fraud in Minnesota is closer to 8 million and it’s mostly Somalians.

Pioneer Press

twincities.com › 2025 › 12 › 30 › child-care-fraud-minnesota

Trump administration says it’s freezing child care funds to Minnesota after series of fraud schemes

2 days ago - Click to share on Reddit (Opens in new window) Reddit ... Assistant U.S. Attorney Joe Thompson announces new charges related to fraud schemes in autism programs and Housing Stabilization Services administered by the state of Minnesota during a news conference at the downtown Minneapolis federal ...