Accused Medicaid fraudster who jumped from balcony ruled a flight risk
Federal authorities singled Omar out when the charges were announced. The FBI said he tried to escape by jumping from a fourth-story balcony and was arrested hours later. He appeared in Wednesday's hearing in a wheelchair, and his...
By Anthony Bettin, Adam DuxterThursday May 28, 2026
Muhammad Omar U.S. Attorney’s Office
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A Minnesota man facing charges in what federal officials describe as a sprawling Medicaid fraud case has been ordered held as a flight risk, underscoring the scale and seriousness of the alleged scheme that siphoned more than $90 million from taxpayers.
At an arraignment and detention hearing Wednesday, a judge ruled that Muhammad Omar, 32, of Roseville, Minnesota, must remain in custody while his case moves forward.
Omar and a partner, Ibrahim Abdi, are accused of stealing $3.2 million from Minnesota’s Housing and Stabilization Services program by falsely claiming the money was tied to two health care facilities in the Twin Cities. Prosecutors say that over a four-month stretch in 2023, the pair also billed HSS for services supposedly provided to a dead person.
Federal authorities singled Omar out when the charges were announced. The FBI said he tried to escape by jumping from a fourth-story balcony and was arrested hours later. He appeared in Wednesday’s hearing in a wheelchair, and his lawyer said that is because of a broken leg.
Defense counsel asked that Omar be released on a signature bond with conditions, but prosecutors argued he posed too great a risk to flee, even if monitored by GPS. They pointed to allegations that he used Medicaid money to purchase property in Kenya.
Omar had appeared in court the previous week and was ordered to stay in custody until Wednesday’s hearing.
According to federal officials, the alleged $90 million operation Omar is accused of joining involved seven state-managed Medicaid programs. HSS was shut down last year after becoming a target for alleged fraudsters.
Since President Trump’s second term began, his administration has cited fraud as a reason to withhold hundreds of millions of dollars in federal Medicaid funding from Minnesota.
Conor Wight, WCCO Staff and Aki Nace contributed to this report.