EXCLUSIVE: House Majority Whip Tom Emmer Demands Answers from Tim Walz on $9B Minnesota Welfare Fraud

Rep. Tom Emmer (R-MN), the House Majority Whip, has issued a letter to Minnesota Governor Tim Walz demanding answers and immediate action following allegations of large-scale fraud involving Somali-run, publicly funded daycare and healthcare centers.

The letter comes after a viral investigation by citizen journalist Nick Shirley who reportedly uncovered over $110 million in fraud in a single day.

In a December 29 letter addressed to Governor Tim Walz, Rep. Tom Emmer voiced sharp condemnation over what he called a “national disgrace” linked to Minnesota’s administration. “Amid the national disgrace you’ve inflicted upon Minnesota,” Emmer began, “I have become further appalled at the recent reports of a blatant, large-scale fraud scheme within Somali-run healthcare and daycare centers throughout the state.”

He called on Walz to take immediate action and stated plainly: “I pray you were not complicit in allowing these centers to survive.”

Emmer noted that Shirley had recently traveled to Minnesota to investigate what he described as “potentially the largest fraud scandal in U.S. history” involving the funneling of billions in taxpayer dollars through Somali-run businesses and public service operations, including daycares, transportation services, and healthcare providers. Emmer cited estimates that more than $9 billion in taxpayer funds had been stolen under Governor Walz’s administration — an amount he noted was nearly equal to Somalia’s entire Gross Domestic Product (GDP).

Shirley, in his viral exposé, documented inactive or empty daycare centers that he found had received millions in federal and state aid. One example cited by Emmer involved Mako Childcare and Mini Childcare Center, which allegedly received $5 million in funding for 120 children over three years while operating out of an empty building. Another nearby center, ABC Learning Center, licensed for 40 children, received $3 million in taxpayer funds, according to Emmer.

“These criminals did this hand in hand with your administration,” Emmer charged in his letter.

Other examples include the Future Leaders Early Learning Center, which received over $3 million in 2025 while failing to provide paperwork for prospective parents, and the Quality Learning Center — spelled incorrectly as “Quality Lear[n]ing Center” on its signage — where Shirley found no activity and estimated that it had received approximately $4 million over the last two years.

Further allegations outlined multiple Somali-owned healthcare businesses operating from the same addresses, one of which reportedly funneled $50 to $60 million through a single Minneapolis building. Shirley said he was escorted out of the building when requesting rate information.

“This is despicable,” Emmer wrote.

The congressman tied the fraud to the Child Care Assistance Program (CCAP), referencing a 2018 audit that found the State of Minnesota could not determine how much fraud existed in the program. He demanded a comprehensive accounting by January 9, 2026, asking Walz to provide responses to six specific questions:

1. What steps the administration has taken to eliminate fraud in CCAP?
2. How healthcare and daycare centers are audited before receiving state funds?
3. Whether any centers named in Shirley’s report were previously investigated?
4. Why Creative Minds Daycare was permitted to reopen under a new name the day after its closure?
5. Whether licenses of exposed centers will be revoked and criminal investigations pursued?
6. Whether Walz plans to resign given the scale of alleged Medicaid fraud?

“The amount of Minnesota taxpayer dollars stolen under your watch… equates to almost the entire GDP of Somalia,” Emmer emphasized. “It is clear you are either indifferent or incapable of doing your job.”

The congressman ended his letter by reiterating demands he had made earlier in the year in statements to Breitbart News, including calls for accountability, license revocations, and investigations.

“Governor Walz, the country is watching,” Emmer warned. “Now, more than ever, I urge you to join him [President Trump] and hold those found guilty responsible, including yourself. America is no longer asking, but they are demanding you take action against these criminals. I expect your prompt response.”

In earlier commentary to Breitbart News, Emmer labeled Rep. Ilhan Omar (D-MN) “one of the most duplicitous con artists I’ve ever seen,” pointing to her role in creating the Feeding Our Future program, which he described as the largest Somali fraud case during the pandemic.

Investigative reports based on federal counterterrorism sources state that millions in stolen funds were transferred to Somalia through the hawala network, with funds reportedly ending up in the hands of the Al-Qaeda-linked terror group Al-Shabaab. Emmer has previously called for a criminal investigation into those alleged links, accusing Walz and other Minnesota officials of “negligence or complete incompetence.”

Education Secretary Linda McMahon and Vice President J.D. Vance have also voiced support for the investigations, with Vance stating Shirley’s journalism has been “far more useful” than recent Pulitzer Prize-winning work. Meanwhile, President Trump terminated Temporary Protected Status for Somali migrants in Minnesota in November, following the revelations of widespread fraud and terror funding.

The U.S. Treasury Department has also launched an investigation, and the Department of Transportation has warned Minnesota that it could lose $30 million in federal highway funds for related licensing failures.