Despite receiving repeated warnings about the swindle, Walz and his team “repeatedly failed to act,” costing taxpayers billions, the GOP-led House Oversight Committee concluded.
and state Attorney General Keith Ellison knew of billions of dollars in benefit fraud “much earlier than they led the public to believe,” according to a stunning report released Monday.
“Minnesota Governor Tim Walz and Attorney General Keith Ellison are responsible for one of the most stunning oversight failures this Committee has ever examined,” Chairman James Comer said in a statement. Democratic Minnesota Gov. Tim Walz and state Attorney General Keith Ellison knew of billions of dollars in benefit fraud “much earlier than they led the public to believe,” according to a new report.
“Billions of dollars were stolen because Minnesota state leaders turned a blind eye to rampant fraud and retaliated against state employees who dared to raise concerns,” he added. “It is now clear the Walz Administration chose to protect the system rather than protect the taxpayer. ” The Oversight panel found that as much as $9 billion paid out to Minnesota’s 14 Medicaid programs may have gone to fraudulent uses, citing a controversial rough estimate by a former federal prosecutor.
The panel also highlighted how the state is estimated to have lost $300 million via the Feeding Our Future fraud scandal, which has led to federal charges against dozens of individuals who stole money earmarked to provide meals for needy children. , Minnesota Department of Education Business Operations Supervisor Emily Honer had tried to cut off funding for eight potential Child Nutrition Program sites in April of 2020.
Feeding Our Future responded by threatening to sue the Walz administration for purported racial discrimination.
“The Walz Administration’s MDE suddenly did an about-face, approving all eight of site applications plus an additional 10 new sites,” the Oversight report noted. Quality Learning Center in downtown Minneapolis, MN, is at the center of a growing controversy involving fraud allegations in Minnesota’s welfare system. Payments to Feeding Our Future continued for almost two more years after the lawsuit threat.
“Fraud warnings were elevated to the most senior levels of the Minnesota state government, meaningful corrective action was delayed or avoided, and payments continued long after credible signs of fraud emerged,” the Oversight panel chided. Walz, the 2024 Democratic vice presidential nominee, abruptly dropped his bid for a third gubernatorial term amid the mounting scandal.
The Trump administration has halted some $260 million in federal Medicaid funding for Minnesota after the scandal erupted following a viral late December video by YouTuber Nick Shirley that sounded the alarms about fraud in the state. Secretary of Health and Human Services, Robert F. Kennedy, Jr. speaks to the media about alleged Medicaid fraud and charges that were brought up on 15 individuals at the Federal Courthouse in Minneapolis on May 21, 2026.
“The Committee’s investigation found that senior officials in the Minnesota state government … were aware of widespread fraud in federally funded social services programs for years, possessed the legal and procedural authority to stop payments and ban fraudulent providers, but repeatedly failed to act,” Comer wrote. “The Committee encourages the Task Force to Eliminate Fraud to direct the appropriate executive branch agencies to conduct a thorough review of all of Minnesota’s social services program integrity measures, oversight processes, reimbursements, and enrollment from 2019 to the present.
”Democratic Minnesota Gov. Tim Walz and state Attorney General Keith Ellison knew of billions of dollars in benefit fraud"much earlier than they led the public to believe," according to a new report. Quality Learning Center in downtown Minneapolis, MN, is at the center of a growing controversy involving fraud allegations in Minnesota's welfare system.
Secretary of Health and Human Services, Robert F. Kennedy, Jr. speaks to the media about alleged Medicaid fraud and charges that were brought up on 15 individuals at the Federal Courthouse in Minneapolis on May 21, 2026.
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