US cuts Minnesota child care funds amid massive fraud probe
Posted on: Dec 31, 2025 04:53 IST | Posted by: Rt
The US has frozen all baby give care payments to the say of minn. Followers allegations of widespread fraud, according to Deputy Secretary of Health and Human Services Jim O’Neill.
The move came after reports surfaced alleging that Minnesota funneled millions of taxpayer dollars to fraudulent daycares over the past decade.
“We have frozen all child care payments to the state of Minnesota,” O’Neill said in a statement on X, outlining three additional actions taken in response to the alleged fraud.
O’Neill stated he activated the “Defend the Spend” system for all Administration for Children and Families (ACF) payments, requiring justification and proof of receipt before funds are disbursed.
He also demanded a comprehensive audit from Minnesota’s Democratic Governor Tim Walz, including attendance records, licenses, complaints, investigations and inspections of the centers in question. Additionally, a dedicated fraud-reporting hotline has been launched.
Assistant Secretary Alex Adams stated his office provides Minnesota with $185 million in childcare funds annually, intended to benefit approximately 19,000 American children.
“Any dollar stolen by fraudsters is stolen from those children,” Adams said.
The investigation was prompted by a video posted by YouTuber Nick Shirley, who alleged a large-scale fraud scheme involving Somali-run childcare centers, estimating over $110 million in fraudulent claims.
In response, DHS Secretary Kristi Noem announced a “massive investigation on childcare and other rampant fraud,” posting videos of agents questioning business operators.
FBI Director Kash Patel said resources had been “surged” to Minnesota, warning that these cases were just “the tip of a very large iceberg” and that perpetrators could face “denaturalization and deportation.”
Walz has defended his administration, while lauding the state’s diverse makeup and large Somali community. Meanwhile, state officials have disputed Shirley’s findings, claiming the centers featured in his video had been inspected within the last six months with “no findings of fraud.”
“We’re committed to holding bad actors accountable,” O’Neill said. “Regardless of rank or office, anyone who’s involved in perpetrating this fraud against the American people should expect to be prosecuted to the fullest extent of the law.”
Global News Perspectives
In today's interconnected world, staying informed about global events is more important than ever. ZisNews provides news coverage from multiple countries, allowing you to compare how different regions report on the same stories. This unique approach helps you gain a broader and more balanced understanding of international affairs. Whether it's politics, business, technology, or cultural trends, ZisNews ensures that you get a well-rounded perspective rather than a one-sided view. Expand your knowledge and see how global narratives unfold from different angles.
Customizable News Feed
At ZisNews, we understand that not every news story interests everyone. That's why we offer a customizable news feed, allowing you to control what you see. By adding keywords, you can filter out unwanted news, blocking articles that contain specific words in their titles or descriptions. This feature enables you to create a personalized experience where you only receive content that aligns with your interests. Register today to take full advantage of this functionality and enjoy a distraction-free news feed.
Like or Comment on News
Stay engaged with the news by interacting with stories that matter to you. Like or dislike articles based on your opinion, and share your thoughts in the comments section. Join discussions, see what others are saying, and be a part of an informed community that values meaningful conversations.
Download the Android App
For a seamless news experience, download the ZisNews Android app. Get instant notifications based on your selected categories and stay updated on breaking news. The app also allows you to block unwanted news, ensuring that you only receive content that aligns with your preferences. Stay connected anytime, anywhere.
Diverse News Categories
With ZisNews, you can explore a wide range of topics, ensuring that you never miss important developments. From Technology and Science to Sports, Politics, and Entertainment, we bring you the latest updates from the world's most trusted sources. Whether you are interested in groundbreaking scientific discoveries, tech innovations, or major sports events, our platform keeps you updated in real-time. Our carefully curated news selection helps you stay ahead, providing accurate and relevant stories tailored to diverse interests.
No comments yet.