The Federal Bureau of Investigation (FBI) has ramped up its investigative efforts in Minnesota, following a social media exposé that brought to light potential widespread daycare fraud. These developments come in the wake of an online investigation by YouTuber Nick Shirley, whose video alleging misappropriation of taxpayer dollars by several daycare facilities has captured the nation's attention.
FBI Director Kash Patel has authorized an increase in federal agents to scrutinize the allegations that surfaced on various social platforms this week. The allegations were propelled into the limelight after Nick Shirley released a 42-minute video on Friday, chronicling his visits to multiple daycare centers across the state, which purportedly received state funding without serving any children.
During his investigation, Shirley encountered several facilities where no children were in evidence. One center, notably misspelled as “The Greater Learing Center” on its signage, was among those featured in the video. Shirley's social media posts further fueled the controversy by claiming to have uncovered financial discrepancies to the tune of over $110 million in a single day. His call to action urged followers to “Like it and share it around like wildfire!” in an effort to demand accountability from the implicated parties.
Local media outlet KSTP followed up with its own coverage on one of the centers named in Shirley's video, uncovering a history of 95 citations for violations levied by a Minnesota state agency between 2019 and 2023. This revelation has raised questions about the broader integrity of Minnesota’s Medicaid program, with Assistant U.S. Attorney Joe Thompson suggesting that suspected fraud in the program could exceed $9 billion.
The narrative took a more serious turn with whistleblower allegations against Minnesota Governor Tim Walz. Reports from Resist the Mainstream indicated that several state employees accused Gov. Walz of engaging in retaliatory actions against those who sought to expose fraudulent activities. These accusations arose amid heightened federal actions, including prosecutions related to the alleged daycare fraud cases.
During an appearance on NBC's “Meet the Press,” Governor Walz addressed these issues, acknowledging the state's vulnerability to criminal activities and cautioning against casting unwarranted suspicion on Somali residents. Complicating matters, the Treasury Department has initiated an investigation into potential links between the fraud schemes and international terrorism, examining whether funds may have been channeled to Al-Shabaab, a radical Islamic terrorist group.
The investigation's scope further expanded as the FBI New York's Joint Terrorism Task Force recently convicted Cholo Abdi Abdullah for conspiring to conduct a 9/11-style attack under the direction of Al-Shabaab. The daycare centers under scrutiny, as highlighted in Shirley's video, were described as Somali-run, with one such facility allegedly receiving $4 million in government funds while seemingly lacking the presence of children.
As the FBI continues its investigation, the public eye remains fixed on the unfolding situation, with many awaiting further clarity on the depth and breadth of the alleged fraud, its impact on the state's resources, and the implications for those implicated in the scandal.