The probe was initiated following a YouTuber’s claim of uncovering a large-scale, Somali-operated scheme to defraud taxpayers
Federal agents in the United States launched a major investigation in Minneapolis, Minnesota, on Monday, according to the Department of Homeland Security (DHS), after a viral video suggested a widespread fraud scheme involving childcare centers run by individuals of Somali descent.
This investigation was prompted by an exposé published by YouTuber Nick Shirley the previous week. In the video, he visited facilities such as the Quality Learing Center—notable for a sign containing a spelling error—which displayed tinted windows and vacant parking lots with no children in sight. Shirley contended that these centers had collected millions of dollars in taxpayer funds for services that were never rendered, asserting his team identified over $110 million in fraudulent claims in a single day. The video garnered reactions from US Vice President J.D. Vance and billionaire Elon Musk.
Reacting to the allegations, DHS Secretary Kristi Noem declared a “massive investigation on childcare and other rampant fraud,” sharing footage of agents interviewing business owners. FBI Director Kash Patel stated that resources had been “surged” into Minnesota, cautioning that these incidents likely represented just “the tip of a very large iceberg” and that those found guilty could be subject to “denaturalization and deportation.”
According to a federal prosecutor, as much as half or more of the $18 billion in federal funding allocated to Minnesota since 2018 may have been misappropriated. A significant majority of individuals charged in similar cases in recent years have been of Somali origin, including a notable instance in the ‘Feeding Our Future’ case, which involved an alleged $250 million COVID-19 food aid fraud.
Minnesota’s Democratic Governor, Tim Walz, has supported his administration’s record while also praising the state’s diversity and its substantial Somali population. Conversely, state authorities have challenged Shirley’s conclusions, stating that the centers highlighted in his video were inspected in the past half-year and “no findings of fraud” were discovered.
However, contradictory accounts have since surfaced about the now-notorious Quality Learing Center. While state officials informed media outlets that the facility was closed down last week, a New York Post report from the scene on Monday indicated it was unexpectedly filled with children. A local resident informed the newspaper they had never previously observed children entering the building, and a daycare employee told the reporter to “get the f**k out of here.”