Viral video prompts fraud probe at Minnesota day care centers

3 hours ago 20

As Homeland Security agents were successful Minnesota conducting what DHS Secretary Kristi Noem called a "massive probe connected childcare and different rampant fraud" connected Monday, galore of their targets came not from tips from the FBI, but from a video posted connected societal media implicit the weekend.

The video, posted by blimpish YouTuber Nick Shirley, alleged astir a twelve time attraction centers successful Minnesota that are receiving nationalist funds are not really providing immoderate service. As of Monday, the video had been viewed much than 1 cardinal times, according to YouTube's metrics, and was seen by tens of millions much connected X.

"While we person questions astir immoderate of the methods utilized successful the video, we bash instrumentality the concerns that the video raises astir fraud precise seriously," said Minnesota Department of Children, Youth, and Families commissioner Tikki Brown.

In summation to the DHS investigations, authorities officials besides visited immoderate of the sites connected Monday. They told CBS News 2 of the centers featured successful the video already unopen down earlier this year, though 1 of those centers informed the authorities precocious Monday that it plans to stay open.

CBS News conducted its ain investigation of astir a twelve time attraction centers mentioned by Shirley: each but 2 person progressive licenses, according to authorities records, and each progressive locations were visited by authorities regulators wrong the past six months. One, Sweet Angel Child Care, Inc., was taxable to an unannounced inspection arsenic precocious arsenic Dec. 4.

CBS News' reappraisal besides recovered dozens of citations related to safety, cleanliness, equipment, and unit training, among different violations, but determination was nary recorded grounds of fraud.

CBS News visited and called respective of the time attraction centers connected Monday but received nary responses.

Monday's DHS visits travel amid what prosecutors allege is simply a $9 cardinal COVID-era fraud ungraded successful Minnesota. Gov. Tim Walz and different authorities officials have disputed that fig and defended their handling of the crisis.

There are 14 circumstantial Medicaid-funded programs successful Minnesota presently nether national investigation, though kid attraction isn't 1 of them.

Earlier this month, CBS News elaborate however a radical of convicted fraudsters allegedly spent immoderate of the millions of payer dollars stolen by radical associated with a nonprofit called Feeding Our Future, which was meant to assistance provender susceptible children during the pandemic.

Investigators accidental fraudulent payouts to the Feeding Our Future programme unsocial were estimated astatine $250 million, making it the nation's costliest COVID-era assistance scam.

Walz, a Democrat, antecedently agreed with an estimate from First Assistant U.S. Attorney Joe Thompson that fraud crossed each programs, including the Feeding Our Future scheme, which is not a DHS-administered program, could full $1 billion.

"The fraud is not small. It isn't isolated. The magnitude cannot beryllium overstated," Thompson said past week.

So far, 78 people person been arrested successful the Feeding Our Future scheme. A bulk of them are Somali Americans, though the program's leader, Aimee Bock, who was convicted earlier this year, is not. Minnesota has the nation's largest Somali population.

President Trump has called Minnesota a "hub of fraudulent wealth laundering activity" and has lashed retired against the state's Somali community, announcing past period that helium would end protected presumption against deportation for Somalis successful the state. Earlier this month, U.S. Immigration and Customs Enforcement launched Operation Metro Surge successful the Twin Cities, starring to much than 400 arrests.