A dozen individuals have been charged in relation to a $10 million home daycare fraud scheme in California, which is just the latest in a long line of massive welfare fraud scandals that have plagued blue states like Minnesota and California.

These 12 defendants were charged following a federal investigation that found millions of taxpayer dollars meant to help low-income families were sent to bogus daycare providers.

According to a press release by the DOJ, more than 250 federal, state, and local law enforcement officers executed 12 search warrants at homes in San Diego that were purported to be used as daycare facilities. All 12 defendants were arrested.

They are all naturalized U.S. citizens or Lawful Permanent Residents originally from Syria, Somalia, Sudan, Afghanistan, and Iraq.

“These charges underscore a simple truth: anyone who steals from programs meant to support children will face swift and uncompromising accountability,” said Assistant Attorney General Colin M. McDonald of the Justice Department’s National Fraud Enforcement Division. “Fraud against these programs is an attack on vulnerable families, and law enforcement will continue to dismantle schemes that exploit them. I want to thank the prosecutors and agents in the Southern District of California whose relentless work exposed this scheme and ensured that those responsible are being held accountable.”

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The U.S. Department of Health and Human Services provides federal subsidies to California so low-income families can pay for childcare. The YMCA, Child Development Associates (CDA), and the County of San Diego administered childcare subsidy programs in San Diego County. 

When the YMCA or CDA finds a family qualifies for a childcare subsidy, it pays the childcare provider directly after the provider submits required monthly attendance records. Both parents and the provider must sign those documents under penalty of perjury, and they must include the dates and times any children are in care. California law also requires a licensed childcare provider be present at all times so children are supervised.

The DOJ says all 12 defendants submitted false attendance records to both CDA and the YMCA. This includes records from Abdulrahman Alawad and other defendants that said childcare was provided on dates when they weren't even in the country.

“Shameless attempts to steal taxpayer‑funded childcare funds for personal gain endanger support for some of our nation’s most vulnerable children,” said Special Agent in Charge Robb R. Breeden of the U.S. Department of Health and Human Services Office of Inspector General (HHS-OIG). “Working alongside our law enforcement partners, HHS‑OIG will continue to pursue these schemes relentlessly to protect these funds and the families who depend on them.”