Homeland Security Investigations agents conducted door-to-door checks in Minneapolis on Monday, targeting suspected fraudulent daycare and healthcare centers amid allegations of widespread abuse of government funds. The probe follows a viral video by independent journalist Nick Shirley exposing empty facilities receiving millions in funding. Officials from DHS and the FBI emphasized ongoing efforts to dismantle large-scale fraud schemes exploiting federal programs.
Homeland Security Investigations agents were active in Minneapolis on December 29, 2025, performing door-to-door checks at sites suspected of fraud, as part of an examination into alleged criminal schemes involving Somali immigrants. The Department of Homeland Security shared a video of two agents entering a convenience store to inquire about a neighboring business. This action comes after independent journalist Nick Shirley released a 42-minute video last week, alleging that numerous daycare and learning centers in the Twin Cities area had no children present despite receiving millions in government funding. Shirley's video, reposted over 200,000 times on X, has drawn significant attention to the issue.
DHS posted on social media: "The American people deserve answers on how their taxpayer money is being used and ARRESTS when abuse is found. Under the leadership of [Secretary Kristi Noem], DHS is working to deliver results." Assistant Secretary Tricia McLaughlin added that agents are "conducting a large scale investigation on fraudulent daycare and healthcare centers, as well as other rampant fraud."
FBI Director Kash Patel stated on Sunday that the bureau had surged personnel and resources to Minnesota prior to the social media buzz, aiming to dismantle fraud exploiting federal programs. He referenced the Feeding Our Future scheme, where funds for child meals during the COVID pandemic were allegedly misused, with the vast majority of those charged being of Somali descent. "The FBI believes this is just the tip of a very large iceberg. We will continue to follow the money and protect children, and this investigation very much remains ongoing," Patel said.
Shirley, appearing on Fox News' "The Big Weekend Show," described the fraud as obvious: "A kindergartner could've figured out there was fraud going on." He noted suspicious signs like piled snow at transportation companies and empty daycares with blacked-out windows. In the video, Shirley and local investigator "David" encountered staff who avoided questions; one Somali woman replied, "It's not your business."
David highlighted 1,020 non-emergency medical transportation companies in Minnesota, over 800 Somali-owned, often seen driving empty vans. A federal prosecutor reported that 14 Minnesota social programs lost at least $9 billion to fraud since 2018, with 82 of 92 charged in the scheme being Somali Americans per the U.S. Attorney's Office.
The scandal has spotlighted Minnesota Governor Tim Walz, criticized by President Donald Trump over the state's large Somali community. Walz defended the community, claiming most crime is "committed by white men," while his spokesman noted efforts to crack down, including investigations that closed one facility.
