Minnesota Governor Tim Walz and Attorney General Keith Ellison are scheduled to testify before the House GOP Oversight Committee next month, at a hearing about the massive fraud scandal that's rocked their state. Before those two testify, a January 7 hearing will feature "Minnesota state officials who have sounded the alarm on and investigated fraud in Minnesota’s social services programs," according to Chair James Comer.
In a statement about the hearing, Comer said, "Minnesota state officials who have sounded the alarm on and investigated fraud in Minnesota’s social services programs."
Members of Minnesota's Congressional Delegation are also demanding accountability, and they sent a letter to Walz.
"Lawmakers are requiring Gov. Tim Walz to respond by January 5th on whether he will fully cooperate with federal investigators and the House Oversight Committee," wrote Grage on X. "They also call for Walz to recuse himself entirely from the probe, stating that the scale of the fraud makes it impossible for him to oversee a fair and honest investigation."
🚨 BREAKING EXCLUSIVE: Members of Minnesota’s congressional delegation have issued issued a formal letter to Tim Walz moments ago demanding accountability over the statewide taxpayer fraud crisis, which has now surpassed $9B.
— Dustin Grage (@GrageDustin) December 31, 2025
Lawmakers are requiring Gov. Tim Walz to respond by… pic.twitter.com/H036JFGfOO
The letter, signed by Republicans Brad Finstad (MN-01), Pete Stauber (MN-08), and Michelle Fischbach (MN-07), reads, "We write to you as members of Minnesota’s Congressional Delegation, and as Minnesotans who have watched with alarm as the government fraud crisis gripping our state grows more serious by the day. Eliminating fraud, which robs the American people of their money and dilutes the value of the government services financed by hardworking taxpayers, is a fundamental principle of good governance and should not be partisan. As the scale of the fraud crisis continues to unravel in our state, we write to you in the hopes that you will join us in our commitment to root out the insidious fraud that has gripped social services in Minnesota."
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It notes that several local journalists including Bill Glahn, Liz Collins, and Lou Raguse, have engaged in "years of investigative reporting" that has finally exposed "the stunning and unacceptable level of government fraud that Minnesota has witnessed developing in our state for years" under Walz's watch as Governor.
"In late November," the letter continues, "it was revealed that your office had 'retaliated against whistleblowers,' dismissing serious allegations of taxpayer fraud and disempowering Minnesota’s Office of the Legislative Auditor from engaging in reasonable oversight of the disbursement of state and federal finances. Recently, independent reporter Nick Shirley reported that multiple “childcare facilities” in Minnesota, many run by foreign nationals from East Africa, received millions of dollars in taxpayer funding despite failing to prove they were actually caring for children and despite scores of criminal fraud convictions in recent years."
The letter notes that the fraud exceeds $9 billion.
"Not only will this be the largest fraud scandal in U.S. history, but it will also contribute to the nearly $40 trillion in debt facing our nation. It is clear that these are not isolated incidents involving a few bad actors; nor are the consequences of this crisis contained within the borders of our state," the letter says. "According to the Minnesota Department of Management and Budget, one-third of Minnesota’s budget comes from federal dollars, including substantial support for the state’s Child Care Assistance Program. As a result, taxpayers around the country have become implicated in this scandal, as their hard-earned money is flowing into programs that clearly lack the necessary guardrails to prevent rampant fraud."
Finstad, Stauber, and Fischbach don't mince words when calling for accountability.
"Minnesotans, and the American people at large, deserve answers. What has happened in our state is nothing short of an illegal transfer of money from hardworking taxpayers to criminal actors, many of whom entered our country as foreign nationals and repaid our hospitality with absolute contempt for our laws and values," they wrote in the letter.
The also demanded Walz reply by January 5 to the following questions:
- "Will you commit to fully cooperate with the Federal Bureau of Investigation, the Department of the Treasury, the Department of Labor, the Department of Homeland Security, the Small Business Administration, and all other federal agencies that have opened investigations into taxpayer fraud in Minnesota?"
- Will you commit to fully cooperate with the House Oversight Committee’s investigation into taxpayer fraud in Minnesota, complying with all future document requests and making yourself and your administration available as needed for the Committee to conduct its investigation?
- Will you commit to not recusing yourself entirely from all federal, state, and local investigations into taxpayer fraud in Minnesota, ensuring a full, independent, and transparent investigation?
"The answers to these questions are not only important to us, but to many local leaders across Minnesota who cannot afford to bear the brunt of continued budgetary mismanagement. Just last week, mayors from cities across Minnesota wrote a letter sounding the alarm about the seriousness of the growing fraud crisis. Failure to address rampant taxpayer fraud with the seriousness this issue warrants risks further exacerbating the underlying economic challenges our state is facing after years of heavy-handed government mandates and out of control spending," the letter continues.
The Republicans also reminded Walz of his promises to taxpayers. "Just a few weeks ago, you promised Minnesotans that when it comes to combating taxpayer fraud, the “buck stops with me.” So far, Governor, the only thing that has stopped is your willingness to answer for the $9 billion that went straight to fraudsters while hardworking taxpayers footed the bill," they wrote. "This crisis has brought great shame and embarrassment to our state, and we sincerely hope you provide prompt and straightforward answers to the questions we have raised and that you will work in partnership with the Trump Administration to restore integrity to our state’s welfare services and ensure that another crisis of this magnitude never occurs again."
We'll be curious to see how Walz responds. So far, he's blamed the Trump administration, independent journalist Nick Shirley, and "white supremacy" for the attention to this fraud. We doubt he'll change his tune much in response to Republican lawmakers.
Editor’s Note: Help us continue to report the truth about corrupt politicians like Tim Walz.
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