FBI Director Kash Patel recognized the ongoing fraud scandal unfolding in Minnesota involving childcare centers, adding that it has been part of a lengthy investigation and will remain a top priority.
As Breitbart News reported, a video from YouTube journalist Nick Shirley went viral over the weekend after he confronted an employee at an alleged learning center in Minnesota that was receiving millions in aid despite showing no signs of operational activity.
In a post on X, Kash Patel said the FBI has been investigating the situation.
“The FBI is aware of recent social media reports in Minnesota. However, even before the public conversation escalated online, the FBI had surged personnel and investigative resources to Minnesota to dismantle large-scale fraud schemes exploiting federal programs. Fraud that steals from taxpayers and robs vulnerable children will remain a top FBI priority in Minnesota and nationwide,” he said.
Patel then noted that the FBI “dismantled a $250 million fraud scheme that stole federal food aid meant for vulnerable children during COVID.”
“The investigation exposed sham vendors, shell companies, and large-scale money laundering tied to the Feeding Our Future network,” he continued. “The case led to 78 indictments and 57 convictions. Defendants included Abdiwahab Ahmed Mohamud, Ahmed Ali, Hussein Farah, Abdullahe Nur Jesow, Asha Farhan Hassan, Ousman Camara, and Abdirashid Bixi Dool, each charged for roles ranging from wire fraud to money laundering and conspiracy.”
Patel concluded that these schemes are “just the tip of a very large iceberg.”
Assistant U.S. Attorney Joseph Thompson also revealed earlier this month that half of $18 billion in federal welfare funds, which supports 14 Minnesota-run programs since 2018, has been lost to fraud.
“Minnesota has become a magnet for fraud, so much so that we have developed a fraud tourism industry — people coming to our state purely to exploit and defraud its programs,” Thompson said. “This is a deeply unsettling reality that all Minnesotans should understand.”
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