FBI, DHS escalate Minnesota crackdown. Here's everything you need to know
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Homeland Security Secretary Kristi Noem testifies before a House Committee in Washington, D.C., Dec. 11. Photo: Marvin Joseph/The Washington Post via Getty Images
Outrage from Republicans and the MAGA universe against Minnesota continues to simmer as the FBI and Department of Homeland Security probe the state over alleged fraud schemes.
Why it matters: Trump administration officials have been arguing that Minnesota has become a hotbed of fraud, and they've singled out the state's large Somali community as a driver of it.
- The crackdown has come as some of the state's most prominent Democratic leaders — Gov. Tim Walz, Sen. Amy Klobuchar and Rep. Ilhan Omar — have been critical of Trump.
The latest: Federal agents were in Minneapolis on Monday conducting an investigation into child care and other purported fraud, DHS Secretary Kristi Noem said on X.
Here's what you need to know...
YouTuber Nick Shirley's viral video
MAGA YouTuber Nick Shirley alleged in a series of posts last week that there was massive fraud in government-funded child care programs within Minnesota.
- His video stirred outrage among MAGA accounts and caught the attention of Vice President JD Vance.
- FBI Director Kash Patel said in an X post that the FBI was already looking into fraud in Minnesota before Shirley's viral video.
The other side: Walz's office told Fox News that he "has worked for years to crack down on fraud and ask the state legislature for more authority to take aggressive action."
Allegations of fraud in Minnesota
Flashback: Fraud investigations into the Minnesota's childcare programs aren't new, with some dating back to 2019.
- The "Feeding Our Future" case in Minnesota was deemed by federal prosecutors as the nation's largest-ever case of pandemic aid fraud.
- The case largely focused on a federal program for feeding needy children. In 2020, the program's rules were loosened due to the pandemic lockdowns, prosecutors said, and schemers took in millions from the program, per a 2022 federal indictment.
The leaders of the scheme were convicted on federal charges in March 2025. A legislative audit said the Walz administration failed to rein in the fraud.
- Walz's office contended legal fights and lack of statutory authority didn't help.
Another investigation was linked to a housing stabilization program, which was reportedly launched to help seniors and those with disabilities find and move into homes, per Minnesota's Department of Human Services.
- However, the program was shut down in 2025 after a federal investigation said it might have been "extremely vulnerable to fraud."
New Republican allegations against Minnesota
Assistant U.S. Attorney Joe Thompson said in December he believed that at least $9 billion in federal funds, which supported 14 Minnesota-run programs since 2018, might have been stolen.
Yes, but: He did not offer more evidence as to where the $9 billion figure came from.
- Thompson charged more than 90 defendants, with the overwhelming majority being Somali Americans.
- Walz challenged those allegations.
Zoom in: Rep. Roger Williams (R-Texas), chair of the House Committee on Small Business, this month announced a probe into an alleged fraud scheme in Minnesota.
Trump vs. Walz, Omar
Trump has frequently attacked Minnesota's leaders.
- He has repeatedly targeted Rep. Omar, who came to the U.S. as a Somali refugee.
- Trump and Walz, the 2024 Democratic vice presidential nominee, also have a long-running back and forth going back to the campaign trail.
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