Minnesota Officials Summoned by Comer in House Investigation of Major Social Services Fraud

The House Oversight Committee is expanding its investigation into alleged widespread fraud within Minnesota’s social services programs, which federal prosecutors suggest could amount to billions of dollars in stolen taxpayer funds.

Committee Chairman James Comer (R-Ky.) on Monday sent letters to seven current and former Minnesota state officials requesting their participation in transcribed interviews with the committee. Comer also sent letters to Attorney General Pam Bondi and Treasury Secretary Scott Bessent seeking federal cooperation in the probe and requesting staff briefings by January 9.

“The Committee on Oversight and Government Reform is investigating reports of widespread fraud in Minnesota’s social services programs,” read one letter addressed to Emily Honer, Director of Nutrition Program Services at the Minnesota Department of Education. The letter warned that if officials do not voluntarily appear for interviews, the committee would “evaluate the use of the compulsory process.”

Current Minnesota Department of Education Assistant Commissioner Daron Korte was asked to appear on January 28, while five former state officials were requested to testify between late January and early February.

“Whistleblowers have made it clear that American taxpayers were defrauded in Minnesota, raising serious questions about whether Governor Walz and Attorney General Ellison failed to act or were complicit in the theft,” Comer told Fox News Digital.

The investigation stems from a case where federal prosecutors in Minnesota charged multiple individuals with stealing more than $240 million from the Federal Child Nutrition Program through the Minnesota-based nonprofit Feeding Our Future. The probe has since expanded to multiple state-run programs suspected of fraudulent activities.

Federal prosecutors announced last Thursday that the investigation now encompasses 14 programs responsible for disbursing Medicaid funds. U.S. Attorney Joseph H. Thompson described the situation as “staggering, industrial-scale fraud,” noting that these programs have cost approximately $18 billion since 2018, with a “significant amount” potentially lost to fraudulent activities.

Thompson also revealed that some of the stolen funds have been traced to real estate investments in Nairobi, Kenya, and that some money indirectly reached Somalia. While he mentioned that funds “might have gotten into the hands” of militant group Al-Shabaab, he clarified there was “no indication that the defendants that we’ve charged were radicalized or seeking to fund Al-Shabaab or other terrorist groups.”

The scale of the fraud has raised questions about oversight at the highest levels of Minnesota’s government. Investigators are examining whether top officials were aware of signs of fraud but failed to take appropriate action.

Minnesota Governor Tim Walz, currently campaigning for a third term, addressed the allegations on Friday, taking responsibility for the situation. “This is on my watch. I am accountable for this. And more importantly, I am the one that will fix it,” Walz said.

However, the governor expressed skepticism about prosecutors’ claims regarding the potential scale of the fraud, suggesting that the figures might be inflated for “sensationalism.” Walz also maintained that his administration has been working with federal authorities to address the issue, stating he halted payments to suspicious programs in July after receiving authorization to do so.

The investigation represents one of the most significant fraud cases involving public assistance programs in recent years. It highlights potential vulnerabilities in the oversight of federal funds distributed through state programs and raises questions about the adequacy of existing safeguards to prevent large-scale theft of taxpayer dollars.

As the House Oversight Committee proceeds with its investigation, the outcome could have significant implications for Minnesota’s government administration and potentially lead to reforms in how federal aid programs are monitored and implemented at the state level.