Scott Besson

I want accountability.

The American people want accountability, and they will get accountability.

accountability.

That is why I'm announcing several initiatives Treasury is taking to target fraud here in Minnesota.

And the Minnesota protocols will serve as a genesis and a launching pad for investigations into other states.

First, we have followed the money and identified the money service businesses that may have transferred taxpayer funds overseas.

Our team at FinCEN has just provided formal notification to these businesses that they are under investigation.

These businesses had an obligation to comply with anti-money laundering laws and they will be held responsible for any crimes they committed.

FinCEN has also issued a geographic targeting order for Hennepin and Ramsey counties that require banks and money transmitters to report additional information about funds transferred outside of the United States.

This will put a microscope on these businesses, advance prosecutions, and assist in the recovery of funds laundered internationally.

Fraudsters in Minnesota stole at least $300 million meant for children in need, and we must prevent fraud of this scale from occurring in the future.

Accordingly, FinCEN today issued an alert to financial institutions that will help them identify and report specific warning signs of fraud in federal child nutrition programs.

Fraud must be stamped out early, and this alert will help law enforcement do just that.

Our investigators at IRS CI have played a critical role in uncovering fraud, and the role of the IRS in these investigations will continue.

I am pleased to announce that IRS Civil Enforcement is auditing financial institutions

that facilitated the laundering of Minnesota funds in addition to helping support criminal and civil enforcement efforts.

The IRS will also soon announce the formation of a task force to investigate any fraud and abuse

involving pandemic-era tax incentives and misuse of 501c3 tax-exempt status by entities implicated in the Minnesota-based social services fraud schemes.

We are committed to preventing fraudulent nonprofits from taking advantage of the American taxpayer.

Lastly, Treasury is providing training to Minnesota law enforcement on how to utilize financial data such as suspicious activity reports to better combat these fraud schemes.