Federal authorities raided more than 20 locations, including childcare facilities, in Minneapolis on Tuesday as part of a sweeping fraud investigation into largely Somali-owned businesses, sources confirmed to Fox News.
“Today the FBI with federal, state and local law enforcement is involved in court-authorized law enforcement activity as part of an ongoing fraud investigation,” a Department of Justice spokesperson said.
Authorities executed 22 federal search warrants in Minnesota on Tuesday morning as part of the operation, which is not immigration-related, sources said.
The raids center on federal fraud investigations into largely Somali-owned businesses, including childcare facilities that registered their daycare with the state but were allegedly billing for care that was not provided.
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Sources told Fox News that two of the raids were conducted at the Quality Learning Center and Baby Halimo Child Care, both in Minneapolis.
Vice President JD Vance addressed the raids in a post on X, writing, “The task force and the DOJ will be relentless in exposing these fraudsters wherever they may be hiding.”
The Quality Learning Center received national attention after blogger Nick Shirley visited several childcare addresses only to find an assortment of vacant or non-operational storefronts, closed businesses or angry Somali occupants who refused to answer questions or entertain the pair’s mock efforts to “register” a child with the supposed daycare.
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Minnesota has been under the spotlight for years for Medicaid fraud, including a massive $300 million pandemic fraud case involving the nonprofit Feeding Our Future. It drew renewed national attention in 2025 as convictions piled up and the state became a flashpoint in the Trump administration’s broader “war on fraud.”
In 2022, during former President Joe Biden’s administration, 47 people were charged. As of December, 57 people have been convicted, either because they pleaded guilty or lost at trial. Most of the defendants are of Somali descent.
This is a developing story; check back for updates.
Fox News Digital’s Charles Creitz and Ashley Oliver, along with The Associated Press contributed to this report.
