Small Business Administration (SBA) Administrator Kelly Loeffler revealed that the agency would be “cutting off” grants to Minnesota in response to ongoing reports of Somali fraud in the state.
In a post on X, conservative activist Benny Johnson shared that Loeffler told him she would be “taking immediate action” after YouTuber Nick Shirley and his team exposed fraud in Minnesota and “uncovered over $110,000,000 in ONE day.”
Johnson added that Loeffler said it was “due” to Minnesota Gov. Tim Walz (D) refusing “to enforce laws governing small businesses” and because of his “allowance and facilitation of fraud.”
“SBA Administrator Kelly Loeffler tells me she is ‘disgusted and sickened’ by Nick Shirley’s expose of Somali small business fraud and is taking immediate action,” Johnson wrote in his post. “SBA is cutting off and clawing back ALL SBA grants to Minnesota, effective immediately.”
Johnson’s post continued in part:
Loeffler tells me that SBA was able to uncover half a billion dollars of fraud “within days” of investigating Minnesota.
She notes the Trump administration will focus on the “state officials” who built an “industrial-scale crime ring to rip off hardworking Americans.”
“The scope of this international scam is still unknown, likely in the billions. Pending further review, SBA is freezing all grant funding to the state in order to stop the rampant waste of taxpayer dollars and uncover the full depth of fraud,” @SBA_Kelly tells me.
Breitbart News’s Lowell Cauffiel reported that after Shirley released a video, in which he visited a learning center in Minnesota that was “receiving millions in federal aid for up to 99 kids but showing no signs of activity,” Rep. Tom Emmer (R-MN) called for an answer from Walz.
Shirley also visited other daycare centers:
YouTuber Nick Shirley visited the “Quality Learning Center” in South Minneapolis, reporting that the “learning” center hadn’t even spelled its name correctly on its sign, with “learning” misspelled as “learing.”
As the citizen reporter approached the facility, an unidentified woman yelled, “Don’t open up,” incorrectly claiming Shirley and the man with him were Immigration and Customs Enforcement (ICE) agents.
Shirley’s reporting comes after the City Journal reported in November that the Minnesota Somali community was sending “millions of dollars in stolen” taxpayer funds back to Somalia, and that the funds were ending up “in the hands of the terror group Al-Shabaab.”
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