WASHINGTON — The FBI has surged agents and investigative resources to Minnesota to dismantle “large-scale fraud schemes exploiting federal programs,” director Kash Patel said Sunday, citing a pandemic-era case that authorities now view as only “the tip of a very large iceberg.”
Patel said the bureau’s expanded deployment follows a multiyear probe that uncovered a $250 million scheme that siphoned federal food aid intended for children during the Covid-19 emergency. That investigation, which focused on operations in Minnesota, produced 78 indictments and 57 convictions, Patel said. He added that some individuals linked to the schemes are being referred to immigration officials for potential denaturalization and deportation proceedings “where eligible.”
- Advertisement -
Federal prosecutors now estimate as much as $9 billion may have been stolen across schemes tied to the state’s Somalia population — a sum nearly equivalent to Somalia’s entire annual economic output. While prosecutors have not provided a detailed breakdown of that estimate, the figure underscores the scale of alleged fraud authorities say proliferated during the pandemic.
The FBI’s action comes amid intensifying public attention fueled by social media. Patel said he is aware of recent posts about Minnesota, an apparent reference to a 42-minute video by independent journalist Nick Shirley alleging that a Minneapolis daycare center received $4 million in public funds despite having no enrolled children. The video, posted Dec. 26, has amassed more than 84 million views. Patel emphasized the bureau surged resources to the state before the video circulated widely.
The enforcement push has also become entangled in national politics. Former President Donald Trump has portrayed Minnesota’s Somali American community as a locus of pandemic-era fraud and last month ended legal protections for Somalis in the state. He accused Minnesota, led by Democratic Gov. Tim Walz, of being “a hub of fraudulent money laundering activity.” Trump has used harsh language to describe Somali immigrants and Rep. Ilhan Omar, the Democrat who represents a Minneapolis-area district.
Omar has called Trump’s focus on her and Somali Americans “creepy and unhealthy,” saying she and her constituents “are not gonna be scapegoated.” She has alleged Immigration and Customs Enforcement agents have pulled some of her constituents off the street and questioned her son, and said she is fielding questions about her own immigration status. In an interview published Friday by the Minneapolis Star Tribune, Omar described Trump’s first-term immigration agenda as “cruel,” adding that the current approach is “outright dangerous and severely inhumane” and “geared towards this sort of white supremacist view of what America should be.” She warned “we’re not even at the worst yet.”
Separately, Omar has faced scrutiny over her husband Tim Mynett’s venture capital firm, Rose Lake Capital. The $25 million firm recently removed key officer details from its website after questions were raised about the couple’s wealth, which reports say surged 3,500% in a year to between $6 million and $30 million. The firm’s previously listed officials and advisers included former U.S. ambassadors and past Democratic National Committee finance leaders. Omar has not been accused of wrongdoing, though reports say three people charged with defrauding the state have alleged ties to her. Asked about her support of the Meals Act — which changed school meal reimbursement rules during the pandemic and has been linked to fraud vulnerabilities — Omar told Fox News Digital the law did not contribute to fraud and “did help feed kids.”
Patel did not detail how many agents the FBI has sent to Minnesota or which programs are under renewed scrutiny. But the rapid deployment signals a widening federal focus on pandemic-era fraud, a problem that has produced hundreds of convictions nationwide and continues to test oversight of emergency spending.
“This is just the beginning,” Patel said, adding that more arrests and asset seizures are likely as agents follow leads across food aid, childcare subsidies and other pandemic relief streams.
By Ali Musa
Axadle Times international–Monitoring.
