FBI Warns of Deportations in Minnesota Social Services Fraud Probe

By Staff, Agencies

FBI Director Kash Patel has warned that individuals implicated in a massive fraud scheme in Minnesota could face deportation, following allegations that more than $110 million in public funds were misused through fake childcare and healthcare operations.

The warning came after independent YouTuber Nick Shirley released a viral video showing visits to several facilities in Minnesota that he claimed were registered to receive state funding but appeared to be inactive or nonexistent.

Shirley estimated that the sites had collectively obtained over $110 million in government money. The footage triggered public outrage and renewed scrutiny of state authorities, with critics accusing Governor Tim Walz’s administration of failing to act sooner.

In a statement posted on X on Sunday, Patel said the FBI was already aware of the allegations circulating online and had previously increased personnel and investigative resources in Minnesota to address large-scale fraud involving federal assistance programs. He said the current controversy underscores a much wider problem.

Patel referenced the high-profile Feeding Our Future case, in which investigators uncovered a $250 million scheme that diverted federal food aid intended for low-income children during the COVID-19 pandemic.

That investigation, which exposed extensive money laundering networks, has so far resulted in 78 indictments and 57 convictions. Subsequent reports suggested that additional fraud schemes targeting social safety-net programs may have caused losses amounting to billions of dollars.

Some investigations allege that portions of the stolen funds were transferred abroad through informal financial channels, with claims that some money may have reached al-Shabaab, a Somalia-based group designated as a terrorist organization. Patel said suspects in these cases are now being referred to immigration authorities for possible denaturalization and deportation, describing the Feeding Our Future scandal as “just the tip of a very large iceberg.”

Governor Walz has previously vowed to prosecute those involved and announced plans for a statewide fraud-prevention initiative using forensic auditors. Meanwhile, President Donald Trump has sharply criticized Walz, accusing him of mismanaging the state and allowing Minnesota to become a center for large-scale fraud and money laundering.