DHS, FBI Surge Agents to Minnesota in Wake Of Massive Fraud Reports
A growing federal law enforcement presence in Minnesota follows new allegations of large-scale fraud involving childcare centers, according to officials familiar with ongoing investigations. Authorities say the expanded operations are part of broader efforts to address suspected misuse of federal assistance programs in the state.
Donald Trump has previously linked increased immigration enforcement in Minnesota to fraud cases involving government aid programs. Several of those investigations, officials say, have included defendants with ties to Somalia, drawing national attention to oversight of public funds and regulatory systems.
This week, Kristi Noem and Kash Patel announced that federal operations in Minnesota would expand. The announcement followed the release of a video by independent journalist Nick Shirley, who alleged that some daycare centers operated by Somali residents in Minneapolis may have been involved in as much as $100 million in fraud.
State officials responded by emphasizing that the allegations are being reviewed carefully. Tikki Brown said regulators were taking the claims seriously and cooperating with federal investigators. Meanwhile, Noem stated on social media that authorities were conducting a “massive investigation” into childcare and related fraud, while Patel said the objective is to dismantle large-scale schemes exploiting federal programs.
Minnesota has faced scrutiny before over fraud tied to public assistance. One of the most significant cases involved Feeding Our Future, a pandemic-era scheme prosecutors say misused roughly $300 million intended to provide meals for children during the COVID-19 pandemic. Federal prosecutors first charged 47 individuals in 2022, and the case has since expanded to 78 defendants. Court records indicate that 57 individuals have been convicted through guilty pleas or trial verdicts.
Authorities say additional fraud probes remain ongoing, including new allegations centered on childcare services. Federal prosecutor Joe Thompson estimated during recent interviews that losses across multiple fraud investigations in Minnesota could exceed $1 billion.
The investigations have drawn further attention because the Minneapolis–St. Paul region hosts one of the largest Somali communities in the United States. According to federal officials, a significant portion of defendants charged in certain fraud cases have been Somali Americans, though authorities emphasize investigations are focused on alleged criminal conduct, not communities.
Pam Bondi announced additional arrests Monday and said more prosecutions are expected as investigators continue reviewing evidence. She also referenced the investigative videos released by Shirley, stating they helped highlight the scope of alleged fraud.
The U.S. Department of Justice has already pursued several related cases. In one example, prosecutors alleged that Asha Farhan Hassan received nearly $500,000 tied to a $14 million autism services fraud scheme. According to court filings, Hassan allegedly created Smart Therapy LLC, enrolled it in the EIDBI autism services program, and later registered it in federal nutrition programs connected to Feeding Our Future.
Officials say investigations remain ongoing, with additional charges possible in the coming months as authorities continue examining childcare programs, nutrition assistance, and other federally funded services across Minnesota.