Washington — The Home Oversight Committee is holding a listening to Wednesday on a collection of multimillion-dollar pandemic fraud schemes in Minnesota, with testimony from state lawmakers who Home Republicans say “sounded the alarm.”
Republican officers have argued for years that Minnesota was gradual to behave in what federal prosecutors described because the “largest pandemic fraud in america.” However the problem noticed a resurgence late final 12 months — and it hasn’t gone away, because the GOP places strain on Minnesota Gov. Tim Walz, who introduced this week that he was ending his reelection bid.
In December, Home Republicans on the Oversight Committee launched an investigation into Walz’s dealing with of the fraud instances. And committee Chairman James Comer, a Kentucky Republican, invited the Minnesota governor and Minnesota Legal professional Normal Keith Ellison to testify earlier than the committee subsequent month.
“Minnesota Governor Tim Walz and Legal professional Normal Keith Ellison have both been asleep on the wheel or complicit in an enormous fraud involving taxpayer {dollars} in Minnesota’s social companies applications,” Comer mentioned in a press release asserting the listening to. “American taxpayers demand and deserve accountability for the theft of their hard-earned cash.”
Comer mentioned along with conducting transcribed interviews with Minnesota state officers, the panel would maintain hearings on the fraud “to reveal failures, determine options, and ship accountability.”
Walz cited the fraud earlier this week in his choice to finish his gubernatorial bid, acknowledging that in recent times, “an organized group of criminals have sought to benefit from our state’s generosity.” He added that “at the same time as we make progress within the combat towards the fraudsters, we now see an organized group of political actors searching for to benefit from the disaster.”
What to find out about Minnesota fraud
Federal legislation enforcement officers say a litany of social service applications in Minnesota had been focused by fraudsters, together with baby vitamin, autism companies and housing stabilization applications, in what one prosecutor described as “industrial-scale fraud.”
Some 92 folks have confronted federal expenses up to now, with 62 convicted.
The scandal started with allegations that folks bilked practically $250 million from a program that partnered with the Minnesota Division of Training and the U.S. Division of Agriculture to distribute meals to kids through the pandemic. Dozens of individuals have been convicted or pleaded responsible to accumulating reimbursements for meals that weren’t really served.
Prosecutors have additionally charged over a dozen folks with submitting phony reimbursements to a now-defunct program that helped seniors and other people with disabilities discover housing — together with two Pennsylvanians who allegedly traveled to Minnesota in what officers described as “fraud tourism.” And a program that funds remedy for youngsters with autism was allegedly hit with fraud.
And a conservative YouTuber alleged practically a dozen day care facilities in Minnesota which are receiving public funds are usually not really offering any companies. A number of the day care facilities and state regulators have pushed again on these allegations.
Walz has confronted criticism for his dealing with of the fraud schemes, with watchdog companies and Republican lawmakers arguing the state authorities missed warning indicators and moved too slowly to close down fraudulent funds.
The governor has lengthy defended his dealing with of the disaster, arguing he has moved shortly to halt fraud and refer folks for prison prosecution.
In the meantime, President Trump has targeted on the truth that most — however not all — of the fraud defendants are of Somali descent, drawing backlash from native officers like Walz, who referred to as the president’s feedback “vile, racist lies and slander.”
The best way to watch the Minnesota fraud listening to
- What: Home Oversight Committee listening to on “Oversight of Fraud and Misuse of Federal Funds in Minnesota”
- Date: Wednesday, Jan. 7, 2026
- Time: 10 a.m. ET
- On-line stream: Dwell on CBS Information within the participant above.
