Minnesota: Medicaid fraud capitol of the U.S.?

It's indisputable that Minnesota needs a dedicated inspector general to prosecute Medicaid. It's obvious that Minnnesota DFL AG Keith Ellison isn't interested in that part of his job of preventing Medicaid fraud. Unfortunately, DFL Gov. Tim Walz isn't interested in preventing Medicaid fraud, either. Further, the DFL isn't interested in preventing Medicaid fraud.These are indisputable facts, not opinions. Alpha News reported from the field while "a search warrant was being served at several locations related to a 'massive scheme to defraud' Medicaid and Minnesota’s Housing Stabilization Services (HSS) program."

Acccording to the warrant, "The Program has proved to be extremely vulnerable to fraud. Since Minnesota became the first state to offer Medicaid coverage for Housing Stabilization Services, dozens of new companies have been created and enrolled in the program. These companies, and the individuals who run them, have taken advantage of the housing crisis and the drug addiction crisis in Minnesota to prey on individuals who need help getting back on their feet as they recover from drug addiction."

Another Big Surprise

The search warrant was executed at several businesses Wednesday morning, including one in the Griggs Midway Building: Brilliant Minds Services LLC, located in Suite 120. Records indicate that Brilliant Minds Services is owned by Khalid Dayib and Mustafa Ali. Before April 2025, it was owned by Dayib, Ali, and a third partner, Moktar Hassan Aden.

Records also indicate that Brilliant Minds received more than $2.2 million in funds for providing HHS services between September 2022 and April 2025—claiming to have provided services to 340 individuals, the warrant says.

On the last night of the 2025 regular session, the Senate passed a bill that would've created the Office of Inspector General (OIG). Because the bill wasn't on the House schedule and because it was a Senate bill, the House needed to suspend the rules before they voted on the bill. The DFL House filibustered the bill into the dirt. On Friday night, a DFL activist told the Almanac panel that Minnesota didn't need a new IG because, in his words, "We already have an attorney general." Former Senate Majority Leader Amy Koch replied by mockingly saying that Keith Ellison had done such a good job. This report by Fox9 News shows how inept Minnesota's Department of Human Services is at preventing Medicaid fraud:

That isn't stunning. That's frustrating on steroids. The first year of the program, FY2021, the program paid out $21,000,000. In FY2022, the program paid out another $42,000,000. In FY2023, the program paid out another $74,000,000. In FY2024, the program paid out $104,000,000. In total, the program has paid out $241,000,000 dollars in Minnesota. That's an average of more than $60,000,000 per year in Minnesota alone.

Just imagine how much got paid out in places like Chicago, LA, NYC and Philadelphia. The fraud in those 5 cities alone might be in the billions. Think of the possibilities for fraud in those cities alone. Throw in cities like SF, Seattle, Portland, Memphis and Denver.

The alleged fraud related to the HSS program adds to the growing problems of fraud that have plagued Minnesota. In 2022, the $250 million Feeding Our Future fraud scheme was discovered. Dozens have been convicted in the ongoing prosecution of those involved in the fraud scheme.

Part of Minnesota's problem is that there's an exceptional amount of corruption within government. Another part of the problem is because Minnesota has a ton of non-profits and NGOs that get paid by Minnesota's Department of Human Services.

Perhaps the biggest part of the problem is that there's a potential for revolving door slush fund operations. It isn't likely that these NPOs and NGOs serve many Republicans. Further, there aren't many Republicans whorun these NPOS and NGOs.

It isn't a stretch to think that total fraud since the COVID Pandemic hit Minnesota has reached $1,000,000,000. If that isn't proof that Minnesota needs a nonpartisn Office of Inspector General (think Jim Nobles), then we might as well light the money on fire.

Since FY2021, Joe Biden spent trillions of dollars on these types of programs. Since FY2021, DFL Gov. Tim Walz's administration has accepted hundreds of millions of dollars from these COVID-era programs. Finally, Minnesota's fraudsters have been convicted of defrauding Minnesotans out of more than $500,000,000. Anyone that thinks government spending is free of fraud is delusional.