• About
  • Contact
Sunday, June 21, 2026
The US Inquirer
No Result
View All Result
  • Login
  • Home
  • National
  • Politics
  • Business
  • Tech
  • Crime
  • World
PRICING
SUBSCRIBE
  • Home
  • National
  • Politics
  • Business
  • Tech
  • Crime
  • World
No Result
View All Result
The US Inquirer
No Result
View All Result
Home Politics

HHS freezes all child care payments to Minnesota after viral fraud allegations

by Joe Walsh
December 30, 2025
Reading Time: 3 mins read
0
HHS freezes all child care payments to Minnesota after viral fraud allegations

The Department of Health and Human Services said Tuesday it has frozen federal child care funding for the state of Minnesota, citing viral fraud allegations.

Deputy HHS Secretary Jim O’Neill announced the move in a post on X, writing that “blatant fraud … appears to be rampant in Minnesota and across the country.” 

RELATED POSTS

Trump says vandals sabotaged Reflecting Pool, Olympian arrested

Wahab, Hernandez advance in California special election for Swalwell’s 14th Congressional District seat, CBS News projects

“We have turned off the money spigot and we are finding the fraud,” he wrote.

O’Neill cited a video in which conservative YouTuber Nick Shirley alleged nearly a dozen Minnesota day care centers that receive state funds aren’t actually providing services. O’Neill said the agency has identified the centers mentioned in a video and demanded that the state carry out a “comprehensive audit” of them, including “attendance records, licenses, complaints, investigations and inspections.”

CBS News conducted its own analysis of day care centers mentioned by Shirley. All but two have active licenses, according to state records, and all active locations were visited by state regulators within the last six months. The analysis found dozens of citations for safety, cleanliness and other issues, but no recorded evidence of fraud.

A spokesperson for Minnesota Gov. Tim Walz said in a statement: “The governor has been combatting fraud for years while the President has been letting fraudsters out of jail.  Fraud is a serious issue. But this is a transparent attempt to politicize the issue to hurt Minnesotans and defund government programs that help people.”

Starting immediately, O’Neill said, all payments from HHS’s Administration for Children and Families nationwide “will require a justification and a receipt or photo evidence before we send money to a state.”

The Administration for Children and Families sends some $185 million in child care funds to Minnesota annually, the agency’s head, Alex Adams, said in a video shared by HHS.

Minnesota receives hundreds of millions of federal dollars per year to support its Child Care Assistance Program, which subsidizes day care services for roughly 23,000 children from low-income families. In the current fiscal year ending in September 2026, the federal government’s share of the program was expected to total $218 million, with the state kicking in $155 million, according to state projections.

The moves by O’Neill came one day after agents from the Department of Homeland Security visited dozens of sites in Minneapolis, part of what DHS Secretary Kristi Noem described as a “massive investigation on child care and other rampant fraud.”

In recent years, Minnesota has grappled with a litany of alleged fraud schemes targeting the state’s public assistance programs. Dozens of people have been convicted as part of a scheme to bilk nearly $250 million from a federally backed child nutrition program during the pandemic, and federal prosecutors have charged people with defrauding Medicaid-supported autism services and housing stabilization programs.

Federal prosecutors have estimated that fraudulent payments made by Minnesota’s Medicaid service in recent years could total $9 billion or more, a figure that Walz has disputed.

The fraud issues have drawn the attention of President Trump, who has focused on the fact that many — though not all — of the defendants are of Somali descent.

Walz has defended the state’s handling of the situation but vowed to crack down on fraud.

Jonah Kaplan

contributed to this report.

Minnesota Fraud

More


Share6Tweet4Share1

Joe Walsh

Related Posts

Trump says vandals sabotaged Reflecting Pool, Olympian arrested
Politics

Trump says vandals sabotaged Reflecting Pool, Olympian arrested

June 21, 2026
Wahab, Hernandez advance in California special election for Swalwell’s 14th Congressional District seat, CBS News projects
Politics

Wahab, Hernandez advance in California special election for Swalwell’s 14th Congressional District seat, CBS News projects

June 21, 2026
Trump administration “laser focused” on Iran’s nuclear program, Waltz says
Politics

Trump administration “laser focused” on Iran’s nuclear program, Waltz says

June 21, 2026
U.K. Prime Minister Starmer under pressure to resign after special election
Politics

U.K. Prime Minister Starmer under pressure to resign after special election

June 21, 2026
Poll finds Americans want Iran war ended, but few say U.S. got better of agreement
Politics

Poll finds Americans want Iran war ended, but few say U.S. got better of agreement

June 21, 2026
6/20: CBS Weekend News
Politics

6/20: CBS Weekend News

June 20, 2026
Next Post
Ben Nighthorse Campbell, former U.S. senator and Native American, dies at 92

Ben Nighthorse Campbell, former U.S. senator and Native American, dies at 92

Trump issues his first vetoes of this term

Trump issues his first vetoes of this term

Recommended Stories

How the Iran war united, and then divided Trump and Netanyahu

How the Iran war united, and then divided Trump and Netanyahu

June 19, 2026
Air Force unit faces flu outbreak weeks after vaccine mandate dropped

Air Force unit faces flu outbreak weeks after vaccine mandate dropped

June 18, 2026
Trump’s goals for the Iran war and what he’s saying now

Trump’s goals for the Iran war and what he’s saying now

June 18, 2026

Popular Stories

  • California’s construction industry hurt by ICE raids, builder says

    California’s construction industry hurt by ICE raids, builder says

    44 shares
    Share 18 Tweet 11
  • Trump decrees any attack on Qatar be treated as threat to U.S.

    22 shares
    Share 9 Tweet 6
  • Judge won’t block DOJ from releasing Biden conversations with biographer

    15 shares
    Share 6 Tweet 4
  • New federal Medicaid rules require 1 month of work. Some states demand more.

    15 shares
    Share 6 Tweet 4
  • Robert Mueller, former FBI director and special counsel, dies at 81

    15 shares
    Share 6 Tweet 4
The US Inquirer

© 2023 The US Inquirer

Navigate Site

  • Home
  • About
  • Contact
  • Ethics
  • Fact Checking and Corrections Policies
  • Copyright
  • Privacy Policy
  • ISSN: 2832-0522

Follow Us

Welcome Back!

Login to your account below

Forgotten Password?

Retrieve your password

Please enter your username or email address to reset your password.

Log In
No Result
View All Result
  • Home
  • National
  • Politics
  • Business
  • Tech
  • Crime
  • World

© 2023 The US Inquirer

Not enough quota to unlock this post
Unlock left : 0
Are you sure want to cancel subscription?