Federal Crackdown on Alleged Fraud Targeting Somali Day Care Centers

Tue Dec 30 2025 22:37:15 GMT+0200 (Eastern European Standard Time)

The Minnesota Department of Homeland Security increases investigations into alleged fraud involving Somali-run day care centers amidst a rise in immigration enforcement actions.

Federal authorities in Minnesota, led by Homeland Security Secretary Kristi Noem, revealed a substantial increase in investigations into alleged fraud at day care centers operated by the Somali community. With allegations suggesting fraudulent claims amounting to nearly $100 million, this crackdown comes in the wake of existing fraud cases tied to other government programs. Minnesota's Somali community, the largest in the U.S., has expressed concern over the impact of these enforcement actions, calling for fairness and caution.

MINNEAPOLIS — Federal authorities are ramping up operations in Minnesota, following serious allegations of fraudulent activities at day care centers run by Somali residents. This scrutiny, announced by Department of Homeland Security Secretary Kristi Noem and FBI Director Kash Patel, claims that as much as $100 million may have been illegally acquired.

The allegations emerged after a right-wing influencer's video claimed to expose rampant financial fraud within the Somali community’s child care sector, prompting the state regulators to take action. The Minnesota Department of Children, Youth, and Families’ commissioner stated at a recent press conference that the claims would be thoroughly investigated.

Minnesota has faced scrutiny over fraud schemes for several years, including a major $300 million case tied to the non-profit Feeding Our Future during the pandemic. Prosecutors have linked fraudulent activities primarily to individuals of Somali descent, with ongoing investigations into various schemes.

Trump's administration has been criticized for unfairly targeting the Somali community during its immigration enforcement efforts. With approximately 84,000 Somalis residing in Minnesota—most of whom are U.S. citizens—community leaders and politicians, including U.S. Rep. Ilhan Omar, have emphasized the importance of not stigmatizing an entire community for the actions of a few.

Governor Tim Walz has vowed to tackle fraud in collaboration with federal partners, while acknowledging the significant financial impact, estimating losses from fraud cases could exceed $1 billion. The upcoming audit will provide a clearer picture of the situation as the state prepares for upcoming elections, with fraud emerging as a central issue.

Somali American activists urge for a measured approach in dealing with allegations, stressing that the majority of the community stands against criminal activities and should not be unfairly associated with the ongoing investigations.