MINNEAPOLIS (AP) — At least 14 state-run programs in Minnesota have been flagged for fraud, a prosecutor announced as new charges were brought in several schemes. First Assistant U.S. Attorney Joe Thompson disclosed in a news conference that federal investigators suspect a significant portion of the $18 billion paid out by Medicaid to Minnesota programs may be fraudulent. 'What we see in Minnesota is not a handful of bad actors committing crimes,' Thompson stated. 'It’s swamping Minnesota.'
The investigations' findings could enhance claims from former President Donald Trump, who has labeled Minnesota a 'hub of fraudulent money laundering activity' under Governor Tim Walz, the Democrats’ vice presidential nominee in the 2020 election. Trump has utilized these fraud cases to target the Somalian community, which he has openly criticized regarding immigration.
Thompson reported the charges against five new defendants linked to a housing services fraud case, where two individuals allegedly diverted $750,000 instead of facilitating housing for Medicaid recipients, spending their illicit gains on travel to locations such as London and Dubai. One defendant filed $1.4 million in fraudulent claims, using a portion to purchase cryptocurrency before fleeing the country after a subpoena.
The serious nature of the fraud could threaten government services critical to numerous citizens. 'There are real patients, real clients, real people who need services and aren’t getting them,' Thompson added, emphasizing the need for effective oversight of these programs.
The investigations' findings could enhance claims from former President Donald Trump, who has labeled Minnesota a 'hub of fraudulent money laundering activity' under Governor Tim Walz, the Democrats’ vice presidential nominee in the 2020 election. Trump has utilized these fraud cases to target the Somalian community, which he has openly criticized regarding immigration.
Thompson reported the charges against five new defendants linked to a housing services fraud case, where two individuals allegedly diverted $750,000 instead of facilitating housing for Medicaid recipients, spending their illicit gains on travel to locations such as London and Dubai. One defendant filed $1.4 million in fraudulent claims, using a portion to purchase cryptocurrency before fleeing the country after a subpoena.
The serious nature of the fraud could threaten government services critical to numerous citizens. 'There are real patients, real clients, real people who need services and aren’t getting them,' Thompson added, emphasizing the need for effective oversight of these programs.
