FBI Director Kash Patel responds to MN fraud viral video: 'Tip of the iceberg'
FBI Director Kash Patel stands silently during a press conference on October 23, 2025 in New York City. (Getty Images)
(FOX 9) - Responding to social media videos purporting to uncover new examples of Minnesota fraud, FBI Director Kash Patel says his agency's investigation into fraud in Minnesota is continuing, saying cases that have already been prosecuted are just the "tip of the iceberg."
Patel responds to viral video
What we know:
Patel shared a statement on X on Sunday morning, discussing the FBI's efforts to "dismantle large-scale fraud schemes exploiting federal programs."
In his statement, Patel refers to "recent social media reports in Minnesota" related to fraud, likely referring to a viral video posted by a YouTuber this past week. Leaning on work done by a local investigator, the YouTuber claims to uncover $110 million in fraud at child care providers during a recent trip to Minnesota, including one center that has previously been investigated by local Minnesota media outlets.
What they're saying:
In his statement, Patel says investigations into Minnesota fraud are ongoing, outlining the convictions that have already come down in the Feeding Our Future case. "These criminals didn’t just engage in historic fraud, but tried to subvert justice as well… 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," Patel writes. "We will continue to follow the money and protect children, and this investigation very much remains ongoing."
Kash Patel's statement on a viral video exposing Minnesota fraud. (Twitter)
Dig deeper:
FOX 9 has done extensive reporting on the prosecution of fraud against the federal child nutrition program, including the massive Feeding our Future scheme dating back to 2022. Along with our extensive, years-long coverage of the Feeding Our Future scheme, FOX 9 has also looked into fraud cases connected to the Feeding Our Future fraud, like fraud against the Housing Stabilization program, an autism program, and – more recently – charges filed for fraud against an Intergrated Community Services program.
The "tip of the iceberg" comments from Director Patel aren't surprising. Assistant U.S. Attorney Joe Thompson has made the exact same analogy while discussing fraud cases in the state. Earlier this month, Thompson said that while only hundreds of millions of dollars of fraud have been uncovered so far, the true amount of fraud could number in the billions.
"You don't see fraud on this scale in other states. And, part of that is just, we sit here as a team, and it's a relatively small team or a relatively small U.S. Attorney's Office. And every day we look under a rock and find a new $50 million fraud scheme. That shouldn't be the case in a state of our size. Certainly other states have problems with fraud, but I think our problem is unique."
Thompson said that it's entirely possible that of the $18 billion spent on highly vulnerable Medicaid programs in Minnesota since 2018, more than half of the funds could have been fraudulent.
The other side:
Responding to the supposition from the U.S. Attorney's Office, Governor Walz's administration has pushed back against the billion dollar estimates, claiming there isn't evidence that fraud against the state is that rampant.
At the same time, feeling the heat from the new fraud cases heading into an election year, the Walz administration has moved to crack down on fraud in its Medicaid programs, suspending licensing for suspect programs, creating a new "integrity unit," and increasing coordination between state agencies to help sniff out fraud.
Still, the state is facing inquiries from federal agencies and Congress over the fraud, with critics accusing the Walz administration of moving too slowly to cut off the fraud. At the same time, President Trump has used the fraud, much of which has been connected to members of the Somali, as a pretense to launch an immigration enforcement operation in the Twin Cities.
Big picture view:
While concerning, it's worth noting Minnesota is not the only state that has dealt with massive fraud in recent years. A review by FOX 9 found massive fraud schemes across the country ranging hundreds of millions of dollars to billions of dollars.
Full statement from Kash Patel
What they're saying:
Here is the full statement from Director Patel:
"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."