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Morning Wire

A ‘Billion-Dollar Fraud Machine’: Minnesota Scandal Explodes | 12.31.25

31 Dec 2025

Transcription

Chapter 1: What are the fraud allegations emerging from Minnesota?

4.25 - 18.36 Georgia Howe

The sweeping fraud allegations coming out of Minnesota have sparked demands for more investigations and further action from political leaders in DC to protect against billions more in taxpayer dollars getting funneled into the hands of fraudsters.

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18.391 - 37.294 John Bickley

In this episode, we sit down with House Majority Whip Tom Emmer, who represents Minnesota's 6th Congressional District, to discuss what and who allowed the fraud and what actions lawmakers can take to hold those responsible accountable. I'm Daily Wire Executive Editor John Bickley with Georgia Howe. This is a special edition of Morning Wire.

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38.962 - 56.649 Producer Brandon

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Chapter 2: Who is Congressman Tom Emmer and what is his role in addressing the fraud?

79.537 - 96.799 Producer Brandon

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104.529 - 112.721 John Bickley

Joining us now to discuss is House Majority Whip Tom Emmer, who represents Minnesota's 6th Congressional District. So first of all, Congressman, thank you so much for coming on.

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113.662 - 114.463 Tom Emmer

Good to be with you.

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115.085 - 128.993 John Bickley

So we have this massive fraud scandal continuing to unravel this week. What do you believe were the most critical oversight failures within the Wall's administration? And how should Minnesota restructure its safeguards to prevent this from happening again?

129.547 - 160.036 Tom Emmer

Well, the first thing you do is you've got to get rid of Tim Walz and Keith Ellison and Ilhan Omar. I mean, there's your biggest structural problem right there. Let me put some context around this for your viewers, your listeners. 2017 and 2018, the then Democrat attorney general in Minnesota was a woman named Lori Swanson. Lori Swanson was investigating and prosecuting Somali daycare fraud.

161.338 - 190.131 Tom Emmer

Lori Swanson, in the election that year, ran for the nomination to be the Democrat gubernatorial candidate. She ran against a guy named Tim Walz. Her replacement, she lost to Tim Walls, and her replacement was a guy named Keith Ellison, who is Ilhan Omar's replacement. By the way, at the last minute, he orchestrated his announcement that he wasn't going to run again so that only Ilhan Omar...

190.111 - 194.88 Tom Emmer

could be the one that was able to file in time and be the candidate.

Chapter 3: What oversight failures contributed to the Minnesota fraud scandal?

194.9 - 218.249 Tom Emmer

Here's what it really comes down to before we get into the just sheer massive numbers. And by the way, the breadth of this is not just one program. This is everywhere in this Tim Walz administration. But The facts are this. Today, there are roughly, by some estimates, about 80,000 Somali immigrants that are living in Minnesota.

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218.269 - 237.145 Tom Emmer

The vast majority of them live in Minneapolis or Hennepin County, an area called Riverside, Cedar Riverside. There's probably 50,000 to 60,000 of them right there. But then you'll have some in central Minnesota in my district, St. Cloud, some in Rochester, some in some other cities scattered around.

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Chapter 4: How can Minnesota restructure its safeguards against fraud?

238.065 - 266.446 Tom Emmer

Tim Walls, And Keith Ellison cannot get votes in greater Minnesota. Think about this. In the last reelection, Tim Walz outspent the Republican candidates 15 million to 1.7 million. And he won with 52 percent, just over 52 percent of the vote. If you look a little deeper, we have 87 counties. Tim Walz only won the 13 metro counties. We'll go a little farther.

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267.047 - 296.276 Tom Emmer

If you look at the 74 counties that he lost, he got 37% of the vote, including losing his former congressional seat by eight points. So what is this about? This is about the fact that when he and Keith Ellison took office, Keith Ellison instantly set up a policy in his attorney general's office that required his approval before any further investigations into fraud could go forward. Guess what?

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297.017 - 320.653 Tom Emmer

He's never approved one of them. By the way, I want to make it clear. Very grateful for the president raising this issue because we've been trying to get people to notice for the last three years. It's only because of what he has done that now all of a sudden people are stepping back in horror as to what's been going on in Minnesota. And it's not that all Somali immigrants are bad.

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321.174 - 338.222 Tom Emmer

It just so happens that 90% of the crimes we're talking about have been committed by people that are in the Somali community. And by the way, they have been sending millions back to Somalia into the hands of al-Shabaab, so a known terrorist group.

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Chapter 5: What specific fraud cases are being investigated in Minnesota?

338.242 - 364.095 Tom Emmer

So I keep going. If you look at Keith Ellison, he won by a little less than one point in his last election. What is this all about? This is all about them getting reelected. They need that 60 to 80,000 Somali population. They need them to be voting for them. That's what this is all about. And what what ends up happening because they refuse to deal with the problem.

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364.075 - 391.44 Tom Emmer

Look, you had the $250 million fraud that people have heard, the largest pandemic fraud case in the country. This was a nutritional supplement, I'll call it, program during COVID where the states were administering money out of the Department of Agriculture through their Department of Education to schools to try and feed children during COVID. $250 million.

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392.021 - 416.037 Tom Emmer

Who in the Minnesota Department of Education has been held accountable for this? Who was responsible for the oversight? By the way, I've got an anecdotal story. I've got a rabbi that runs a small Jewish school who asked me, how did they get away with this? I had to actually show the students by Zoom to my contact in the Department of Education or Department of Health. It's one or the other.

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416.506 - 429.528 Tom Emmer

But in the relevant agency, state agency, he had to show the children that were getting the benefits, getting the food, going through the line. And his question to me was, how were they able to do this?

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Chapter 6: Who is accountable for the $250 million pandemic fraud in Minnesota?

430.53 - 457.009 Tom Emmer

So then there was the Medicaid housing fraud that was estimated. They started in 2020. Program was estimated to be a little more than $2 million a year. By 2024, in four years, they'd sucked $100 million out of it, and guess what? They shut her down just last October after they sucked another $61 million out of it, and they realized the fraud. 80 Somali daycare centers are under investigation.

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457.549 - 483.033 Tom Emmer

There's one scam that's actually been exposed. Apparently some Somali woman built 14 million out of this thing by going around and recruiting others to have their kids so-called diagnosed with autism. It's so bad that apparently one out of 16 Somali four-year-olds is alleged to be autistic, which is more than three times the state average. I mean, I think our acting U.S.

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483.133 - 493.15 Tom Emmer

attorney, Joe Thompson, said it best last summer in an interview. He said the breadth of this, the fraud in this administration would take your breath away.

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493.731 - 503.247 John Bickley

Is there any action being taken to hold people accountable if they did look the other way knowingly? What investigations are going on with that and what do you hope to see pursued?

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503.48 - 529.318 Tom Emmer

Well, actually, until President Trump sounded the alarm, it didn't matter what we were talking about. It didn't matter what the acting U.S. attorney said last summer. No one in the Twin Cities media was really digging into this. So aside from the actors that have actually been indicted and been prosecuted, for instance, the pandemic fraud case, the Feeding Our Future case,

Chapter 7: What actions are being taken to prevent future fraud in government programs?

529.754 - 557.854 Tom Emmer

It's over 80 people that were indicted. Many have already been convicted. 90% of those people are from the Somali community in Minnesota. As soon as Donald Trump started talking about this, there was a briefly live Facebook page with a bunch of people who claimed to be whistleblowers inside the Tim Walz government. My understanding is it's since been taken down.

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558.188 - 576.129 Tom Emmer

But what I would say to you is this. If one, if those whistleblowers are real and if they can document their claim that they not only warned Tim Walls about the fraud that was going on, but that he ignored them and then retaliated against him. Look, I think our U.S.

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576.189 - 601.576 Tom Emmer

Justice Department is starting to pick up where Minnesota should have been involved investigating not only the fraud, but who might have been not just incompetent, but actively engaged in the fraud because they should be held criminally responsible. You've got Dr. Oz, who's investigating fraud on the Medicaid program. You've got Kelly Loeffler, who's investigating fraud in the SBA program.

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601.596 - 611.674 Tom Emmer

You've got Kash Patel, who's busy with his team investigating Somali gangs that have frankly been running rampant in the Twin Cities committing crimes, and no one will hold them accountable for it.

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612.115 - 629.083 Tom Emmer

In fact, Brian O'Hara, the Minneapolis police chief, when asked right after Donald Trump broke this thing, when asked about it, he said, yeah, we got a lot of Eastern Africans that are involved in a lot of these crimes. He had to come out two days later and apologize if he offended anyone for his comments.

629.367 - 643.603 John Bickley

Now, one more question on this Ilhan Omar. She's alleged to have a lot of connections, obviously, with the Somali community, but specifically with some of the fraudsters. Do you see any, again, accountability for her? Is there more that the American public should know about her?

644.685 - 646.026 Tom Emmer

There's a lot more that I want to know.

Chapter 8: How does Congressman Emmer view the role of federal guidelines in monitoring fraud?

646.307 - 674.308 Tom Emmer

I mean, Ilhan Omar has been defending these criminals all along. Omar Fada, the guy who ran for mayor of the city of Minneapolis, who lost, thankfully, Although the guy who won is not much better. But Omar Fada was allegedly involved with someone in the community defrauding or at least being aware of a criminal scheme involving a state program.

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674.626 - 702.228 Tom Emmer

Ilhan, my understanding, and I've got to confirm this, but I think Ilhan was one of the authors of the pandemic funding that actually ended up going through Feeding Our Future and being the $250 million that was built out. Look, she is the most duplicitous con artist I have ever seen. She wants this to be about race. She wants this to be, you know, Xenophobia, it's got nothing to do with that.

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702.709 - 713.83 Tom Emmer

This is about crimes committed by criminals. You can't defend the criminal acts that have been involved. And if she's involved in any way, she should be prosecuted just like everybody else.

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713.945 - 730.967 John Bickley

And you brought up racism and xenophobia, and those claims are leveled at people who bring up communities like this that are sort of disproportionately involved in illegal activity. But the opposite form of racism appears to be what was actually happening here, as you described it. They had sort of protected status. Is that correct?

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731.748 - 751.556 Tom Emmer

Well, look, they had a status from Keith Ellison of look the other way. Look the other way and don't say anything. And when it comes to Ilhan Omar, look, again, You can't defend criminals. Apparently, she thinks she can. You can't defend criminals or criminal acts. You need to hold these people accountable.

751.896 - 761.588 John Bickley

What about new federal guidelines or legislation to monitor relief programs like this? Do you support that? Do we need more in place to better protect taxpayers from abuse like this?

761.988 - 771.019 Tom Emmer

Yeah, clearly the federal government has a role here, right? It's not just the investigation and potential accountability issues that we're talking about if crimes have been committed.

771.387 - 795.808 Tom Emmer

Jamie Comer, my good friend in the Oversight Committee, has called a full hearing on this because we need to find out when you create these programs, whether I, for instance, voted for it or voted against it, doesn't matter. If I was on the losing side of the vote and the program has literally come into existence, how, for goodness sakes, how did $250 million go from the federal government

795.923 - 814.825 Tom Emmer

to the state of Minnesota and then to a bunch of fraudsters. I mean, and what we've talked about is it's over a billion dollars. I, you just gotta, you gotta think about that for a second, over a billion dollars under the Tim Walls administration. Uh, That can't just be incompetence. So who was responsible for this?

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