At least $9B billed across 14 Medicaid services in Minnesota may be fraudulent
a day ago
- #Medicaid Fraud
- #Federal Funds
- #Minnesota
- At least $9B billed across 14 Medicaid services in Minnesota may be fraudulent, according to a top prosecutor.
- First Assistant U.S. Attorney Joe Thompson estimates fraud could account for half or more of the $18B spent on high-risk Medicaid services since 2018.
- Minnesota Department of Human Services Inspector General James Clark calls the fraud speculation 'shocking' and requests immediate collaboration with the U.S. Attorney's Office.
- Fraud in Minnesota is described as 'industrial-scale,' with companies created solely to pocket federal funds for personal luxuries.
- President Trump has labeled Minnesota a 'hub of fraudulent money laundering activity,' targeting the Somali diaspora in his rhetoric.
- Over 90% of those charged in major fraud cases announced before today are of Somali descent.
- Governor Tim Walz denounces Trump's comments, promises aggressive action against fraud, and awaits an audit due by late January.
- Five new defendants charged in a housing services fraud scheme, with two accused of pocketing $750,000 meant for Medicaid recipients.
- One defendant submitted $1.4M in fraudulent claims, purchasing cryptocurrency before fleeing the country.
- Two Philadelphia residents accused of 'fraud tourism,' exploiting Minnesota programs despite having no local connections.
- A new defendant named for defrauding a program for children with autism, while another pleads guilty to similar charges.
- Thompson criticizes Minnesota for poor oversight of these programs, contributing to widespread fraud.