The Department of Justice has charged 15 individuals in Minnesota with orchestrating fraud schemes that defrauded more than $90 million from taxpayer-funded programs. Assistant Attorney General for the National Fraud Enforcement Division, Colin McDonald, stated that the schemes targeted seven state-managed Medicaid programs, which were “systematically pilfered” by those involved. McDonald described the actions as treating the programs like “their personal piggy bank.”
The charges are part of a broader crackdown on fraud in Minnesota, which has become a focal point for major investigations. Notably, the “Feeding Our Future” scheme involved over $250 million in fraudulent COVID-era food aid claims, according to the U.S. Department of Justice. Other cases, such as an $11 million Medicaid fraud scheme, are also under investigation.
In a related case, Minnesota Attorney General Keith Ellison announced charges against Mohamed Abdirashid Omarxeyd for defrauding the Medicaid program out of over $3 million through his agency, Guardian Home Health Services. The agency fraudulently billed for services not provided, among other violations.
These fraud schemes have prompted Minnesota officials, including Governor Tim Walz, to enhance oversight measures. However, some lawmakers argue that more stringent enforcement tools are necessary. Minnesota’s cases, while significant, are part of a larger national issue. In 2025, federal authorities uncovered $14.6 billion in healthcare fraud schemes nationwide.
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