A Republican-led congressional oversight report alleges that senior Minnesota officials, including Gov. , D-Minn., failed for years to act on warnings about fraud in the states social services programs, allowing hundreds of millions of dollars in confirmed or alleged losses and placing billions more at risk.
The Walz administration had the power to stop to high-risk entities receiving federal nutrition and Medicaid funds, but the state “repeatedly failed to act” after officials raised concerns, according to a 205-page final staff report released by the House Oversight Committee on Monday. Â
Congressional investigators found that concerns about potential racial discrimination claims â rather than legal constraints â contributed to the Walz administration’s decision to continue paying providers suspected of fraud. The committee also spoke to nearly 30 whistleblowers, some of whom accused the Walz administration of retaliation against state employees for sounding the alarm about potential fraud.
“Fraud warnings were elevated to the most senior levels of the Minnesota state government, meaningful corrective action was delayed or avoided, and payments continued long after credible signs of fraud emerged,” the report reads in part.
The committee found Minnesota is estimated to have lost $300 million in intended to feed hungry children during the COVID-19 pandemic and that as much as $9 billion in Medicaid billing may have been fraudulent, an estimate attributed to a federal prosecutor and disputed by Walz administration officials.
Walz was allegedly aware of fraud associated with the now-defunct that operated a constellation of fake meal sites as early as 2020, but payments continued flowing to the group for roughly two more years. The oversight panel also found Walz gave conflicting answers about when he first learned of the sweeping meal fraud.Â
Federal prosecutors have charged more than 110 individuals in connection with various fraud schemes in the state. Many defendants in the Feeding Our Future case have been identified as members of Minnesota’s Somali immigrant community, in connection with various fraud schemes in the state. Some of the convicted fraudsters used the stolen money for luxury purchases and state officials have investigated whether a portion of it was funneled overseas to aid terrorist groups in Somalia and the Middle East.
“Minnesota Governor Tim Walz and Attorney General Keith Ellison are responsible for one of the most stunning oversight failures this Committee has ever examined,” Comer said in a statement. “It is now clear the Walz Administration chose to protect the system rather than protect the taxpayer.”
The report caps a months long investigation into the Walz administration’s handling of widespread fraud, which began in late 2025 and included hearing testimony from Walz and Attorney General Keith Ellison as well as members of the Minnesota state legislature’s fraud committee. Nine current and former state officials also participated in transcribed interviews with congressional investigators.
The panel is also probing alleged health care fraud in California and Ohio as part of Republicans’ ongoing “war on fraud.”
The committee sent a letter to Vice President urging a full review of Minnesotas social services programs for potential fraud vulnerabilities, following the reports findings.
Vance’s anti-fraud task force has led to the arrest of at least eight people who alleged
