Trump isn’t playing about this.
The Trump administration announced sweeping criminal charges Thursday against 15 individuals accused of stealing nearly $90 million from Minnesota’s taxpayer-funded Medicaid programs, marking one of the largest healthcare fraud investigations in state history.
Federal officials described the case as a major breakthrough in the fight against government waste and abuse, with prosecutors alleging the schemes targeted programs designed to help vulnerable Americans, including children with autism and disabled patients in need of care.
According to the Department of Justice, investigators uncovered multiple fraud operations involving fake billing, nonexistent medical services, inflated reimbursement claims, and misuse of federal healthcare funds.
Assistant Attorney General Colin McDonald said the investigation could ultimately reveal billions of dollars in fraudulent activity tied to Minnesota public assistance programs over several years.
“This investigation is ongoing, and the total losses may be far greater than what has already been charged,” McDonald told reporters during a press conference in Minneapolis.
Federal prosecutors allege the fraud involved seven separate Medicaid-related programs funded by taxpayers.
One defendant, Muhammad Omar, is accused of fraudulently collecting more than $3.6 million through home healthcare companies operating in Minnesota between 2022 and 2025. Authorities allege some of the money was used to purchase overseas real estate and lease luxury vehicles.
Officials also charged Shamso Ahmed Hassan and Hanaan Mursal Yusuf in connection with what prosecutors described as one of the largest autism-treatment fraud schemes ever uncovered in the United States.
According to court documents, the pair allegedly operated therapy centers that billed Medicaid for services that were either ineligible for reimbursement or never properly provided.
Investigators claim the operation generated approximately $46.6 million in fraudulent payments.
Additional defendants face charges tied to alleged schemes involving housing assistance, childcare services, disability support programs, and home healthcare reimbursements.
Federal authorities say some suspects submitted false claims, exaggerated care hours, or billed the government for services that were never delivered.
In one troubling case highlighted during the investigation, prosecutors alleged a patient listed as receiving around-the-clock care was ultimately discovered to have received little to no legitimate assistance.
Authorities say some of the allegedly stolen taxpayer funds were spent on luxury homes, high-end vehicles, jewelry, and international investments.
The investigation also raised broader concerns about oversight failures within rapidly expanding Medicaid-related programs in Minnesota.
Federal officials noted that spending in several state-administered programs increased dramatically over the past few years.
Minnesota’s autism intervention program reportedly grew from approximately $600,000 in 2018 to more than $400 million by 2025.
Meanwhile, the state’s Housing Stabilization Services program expanded from roughly $26 million in annual payments in 2021 to more than $104 million by 2024 before eventually shutting down in late 2025.
Other healthcare assistance programs also saw major increases in taxpayer spending during the same period.
Former Minnesota U.S. Attorney Joe Thompson previously warned that fraud tied to federal benefit programs across the state could eventually exceed $9 billion.
When asked about that estimate Thursday, McDonald said he would not be surprised if the final figure proved accurate.
Centers for Medicare and Medicaid Services Administrator Mehmet Oz announced that approximately $350 million in federal reimbursements connected to the Minnesota programs has now been deferred pending further review.
Health and Human Services Secretary Robert F. Kennedy Jr. said the alleged fraud harmed both taxpayers and vulnerable Americans who depend on legitimate healthcare services.
“When individuals exploit these programs for personal gain, taxpayers lose money and vulnerable patients risk losing access to critical care,” Kennedy said.
The case is expected to fuel continued debate over government spending oversight, Medicaid accountability, and fraud prevention efforts under President Donald Trump’s administration.