Independent journalist Nick Shirley released a viral video on December 26, 2025, documenting visits to several state-funded daycare centers in Minneapolis.
These centers, many catering to the Somali immigrant community, were found empty during operational hours, with no children present and signs of disuse, despite receiving substantial public funding through Minnesota’s Child Care Assistance Program (CCAP).
Shirley’s investigation has uncovered over $110 million in suspicious payments in a single day, building on prior scandals like the Feeding Our Future fraud.
The revelations have fueled criticism of Democratic Governor Tim Walz, with Republicans like Rep. Tom Emmer demanding answers and linking the issue to immigration policies. Figures such as Vice President JD Vance, Elon Musk, and President Donald Trump have amplified the story, calling Minnesota a “hub of fraudulent money laundering.”
In response, federal actions include DHS investigations and suspension of certain funds, while Walz’s team defends reforms and labels some reporting as biased.
Shirley’s explosive 42-minute video takes viewers on a tour of deception through South Minneapolis. One glaring example is the Quality Learning Center, licensed to serve up to 99 children but found utterly deserted on a weekday afternoon.
According to state records unearthed by Shirley and his team, this single center pocketed nearly $4 million in taxpayer dollars through Minnesota’s Child Care Assistance Program (CCAP) in recent years, with $1.9 million disbursed in 2025 alone.
When Shirley attempted to enroll a fictional child, staff rebuffed him, claiming the center was “full”—a laughable excuse given the vacant premises.
Shirley’s investigation, aided by a local whistleblower named David who had observed these sites for years without seeing a single child, uncovered a web of similar “daycares.”
Multiple locations shared addresses with other dubious operations, like non-emergency medical transport services and home healthcare providers, all funneling public money with little to no oversight.
In one day of digging, Shirley claims his team identified over $110 million in suspicious payments across these phantom facilities.
Federal agents are now storming these sites.
On Sunday, FBI Director Kash Patel released a statement:
CASE UPDATE: MINNESOTA FRAUD SCHEME
The FBI is aware of recent social media reports in Minnesota. However, even before the public conversation escalated online, the FBI had surged personnel and investigative resources to Minnesota to dismantle large-scale fraud schemes exploiting federal programs. Fraud that steals from taxpayers and robs vulnerable children will remain a top FBI priority in Minnesota and nationwide.
To date, the FBI dismantled a $250 million fraud scheme that stole federal food aid meant for vulnerable children during COVID. The investigation exposed sham vendors, shell companies, and large-scale money laundering tied to the Feeding Our Future network.
The case led to 78 indictments and 57 convictions. Defendants included Abdiwahab Ahmed Mohamud, Ahmed Ali, Hussein Farah, Abdullahe Nur Jesow, Asha Farhan Hassan, Ousman Camara, and Abdirashid Bixi Dool, each charged for roles ranging from wire fraud to money laundering and conspiracy.
These criminals didn’t just engaged in historic fraud, but tried to subvert justice as well. Abdimajid Mohamed Nur and others were charged for attempting to bribe a juror with $120,000 in cash. Those responsible pleaded guilty and were sentenced, including a 10-year prison term and nearly $48 million in restitution in related cases.
The FBI believes this is just the tip of a very large iceberg. We will continue to follow the money and protect children, and this investigation very much remains ongoing.
Furthermore, many are also being referred to immigrations officials for possible further denaturalization and deportation proceedings where eligible.
CASE UPDATE: MINNESOTA FRAUD SCHEME
The FBI is aware of recent social media reports in Minnesota. However, even before the public conversation escalated online, the FBI had surged personnel and investigative resources to Minnesota to dismantle large-scale fraud schemes…
— FBI Director Kash Patel (@FBIDirectorKash) December 28, 2025
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