Tag: fraud

Finally! Department of Ed. Ends One Billion in Student Aid Fraud, Promises More Action

The U.S. Department of Education has reported an end to more than $1 billion in attempted student aid fraud in 2025.

These reforms were needed after the massive waste and fraud resulting from loosened rules during the Biden regime.

“Federal investigators found nearly $90 million in aid had already been fraudulently disbursed, including over $30 million to deceased individuals and more than $40 million to bots posing as students,” according to a report from Campus Reform.

That’s a lot of fraud, but it’s hardly surprising. Under Democrats, fraud and waste are rampant, as we learned in the era of DOGE.

Common sense has returned with the Trump administration.

As Education Secretary Linda McMahon put it, needing ID “to access taxpayer-funded aid is common sense.”

“From day one, the Trump administration has been committed to rooting out waste, fraud, and abuse across the federal government,” she said. “Merry Christmas, taxpayers!”

As President Trump has emphasized many times, his policies are common sense, and we are the party of common sense.

The Department of Education has also launched a website warning about AI scams posing as legitimate colleges that fool prospective students.

These AI fake sites use fake degrees and deepfake content to mislead students.

Now that we have a real president in the White House, “the Department is building a dedicated fraud detection team within Federal Student Aid to expand enforcement.”

This new unit will help protect students from these fake college scams.

While more work is needed, it’s refreshing that common sense is back, and this administration is doing a lot of work to protect students from these scams.

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“Fraud tourists” traveled to Minnesota after a friend told them state programs were “a good opportunity to make money,” prosecutors say

Federal prosecutors announced new indictments Thursday in the widening Minnesota fraud scandal, this time involving two Philadelphia-based men accused of traveling to Minneapolis after a friend told them the taxpayer-funded programs there presented “a good opportunity to make money.”

Anthony Waddell Jefferson and Lester Brown are accused of siphoning millions from federally funded programs administered by Minnesota officials that were meant to help people with disabilities and those suffering from addiction.

Unlike many of the individuals previously caught up in the state’s sprawling fraud scandal, they don’t appear to have ties to Minnesota’s large Somali-American community. Prosecutors say they don’t appear to have ties to Minnesota at all.

“Minnesota has become a magnet for fraud, so much so that we have developed a fraud tourism industry — people coming to our state purely to exploit and defraud its programs,” said Assistant U.S. Attorney Joseph Thompson, who brought the new charges. “This is a deeply unsettling reality that all Minnesotans should understand.”

Court filings allege the men submitted up to $3.5 million in “fake and inflated bills” for Medicaid reimbursements after they set up a company intended to provide housing and other services to individuals who qualified for the program. They allegedly fleeced the housing program in Minnesota despite “living on the other side of the country and having no network in or connections to Minnesota or its communities.” 

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Illegal Aliens Busted for $14 Million Gift Card Fraud

Another day, another exposé of illegal alien crime. It turns out the three men who committed $14 million gift card fraud in Texas were illegal aliens.

Kristians Petrovskis, Romunds Cubrevics, and Nurmunds Ulevicus from Latvia are accused of the fraud, per a news release last week from the Texas Financial Crimes Intelligence Center (TFCIC). But KCWX2 shed more light on the crime by stating that all three men entered America illegally and for the express purpose of committing criminal activities.

Petrovskis, Cubrevics, and Ulevicus are accused of gift card cloning, according to TFCIC, and at the time of their arrest had over 400 gift cards in their possession. Authorities say the illegals were stealing multiple cards a day from multiple stores, and have been doing so for most of this year. This was an organized and highly successful racket.

The Biden administration made it extremely easy for foreigners with ill intention to enter the United States. In fact, Democrats practically invited criminals to come to our country, and they are still trying to protect those criminals from being arrested by federal immigration officers. The Biden-Harris administration allowed at least 18,000 known or suspected terrorists into the United States, on top of many more murderers, rapists, thieves, drug traffickers, and other criminals.

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Three Honduran Nationals Sentenced in Multi-State Bank Fraud Conspiracy

Three Honduran nationals were sentenced to prison for their roles in a bank fraud conspiracy resulting in significant losses to small businesses and community banks in more than a dozen states, announced Acting United States Attorney M. Scott Proctor.

 The sentences were imposed by United States District Court Judge Philip P. Simon at hearings held on December 12 and 15, 2025.

Carlos Aquino Sosa, 26 years old, of Honduras, was sentenced to 41 months in prison followed by 1 year of supervised release after pleading guilty to two counts of conspiracy to commit bank fraud. He was also ordered to pay $533,043 in restitution.

Edwin Palacios Sosa, 27 years old, of Honduras, was sentenced to 27 months in prison followed by 1 year of supervised release after pleading guilty to two counts of conspiracy to commit bank fraud and one count of illegal re-entry. He was also ordered to pay $533,043 in restitution.

Delvin Velasquez Romero, 33 years old, of Honduras, received a time-served sentence dating back to July 8, 2024 (17 months in custody), followed by 1 year of supervised release after pleading guilty to one count of conspiracy to commit bank fraud and one count of illegal re-entry. He was also ordered to pay $233,569 in restitution.

These defendants have no legal status within the United States and will each be subject to a separate and immediate removal process upon release from prison.

According to documents in each case, on January 11, 2023, Aquino Sosa, Palacios Sosa, Velasquez Romero, and their co-conspirators used fake identification cards to cash 169 fraudulent paychecks totaling $233,569 at three branches of the same bank in the Northern District of Indiana. The fraudulent paychecks were designed to look like they had been issued by a company that operates dairy farms in the Northern District of Indiana.

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FBI Director Kash Patel Confirms Somali Fraudsters are Being Referred for Denaturalization and Deportation

FBI Director Kash Patel dropped a major bombshell on the massive Minnesota fraud scandal on Sunday, revealing that the FBI is pushing for denaturalization and deportation of many involved in the $250 million scheme that ripped off taxpayer dollars meant for hungry kids during COVID.

Patel made it clear this is “just the tip of a very large iceberg,” with investigations ramping up to expose even more corruption in federal programs.

In a lengthy statement posted to X in response to the massively viral video uncovering Somali scams by independent journalist Nick Shirley, Patel detailed the takedown of a $250 million scheme centered around the Feeding Our Future network.

This organization, which was supposed to distribute federal food aid to children in need, instead became a hub for sham vendors, shell companies, and large-scale money laundering.

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Minneapolis Daycare Scandal Reveals The Trajectory Of Blue Zone Fraud Culture

Let’s bracket a great piece of journalism with more details and some context.

By now, I assume most readers here have seen the magnificent work of the independent journalist Nick Shirley in Minnesota, showing widespread Somali fraud in government-funded programs by simply walking up to the front doors of daycare centers and healthcare organizations and inquiring about their services.

Daycare centers with millions of dollars in government funding and no children inside, and neighbors who say they’ve never seen children going in or coming out. This is a slam dunk, and I couldn’t possibly love it any more.

He names the daycare centers he visits, so you can start to find out how much the state of Minnesota knows about the scam without getting off the couch. Daycare centers are licensed and inspected: government inspectors regularly show up with a clipboard and look around. So go look at the record of inspections for Quality Learning Center of Minneapolis, the one in the video with the misspelled sign over the door. The whole thing instantly becomes darkly funny, because there’s no way anyone has ever believed that this is a functioning daycare center running at anything near its declared and funded capacity of 99 children.

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FBI gives update on daycare accused of $4MILLION taxpayer fraud as Kash Patel says it’s the ‘tip of the iceberg’ and vows to ‘follow the money and protect children’

FBI Director Kash Patel revealed the bureau is cracking down on fraud in Minneapolis after a daycare was accused of stealing $4 million in taxpayer money.

In a lengthy X post on Sunday, Patel said the FBI has long been aware of the situation, vowed to ‘protect the children,’ and warned this is just ‘the tip of a very large iceberg.’

A Minnesota daycare with misspelled signs and no children inside reportedly received millions in taxpayer funds, sparking immediate outrage among lawmakers demanding answers. 

Allegations spread on social media this week after independent journalist Nick Shirley posted a video on X claiming state authorities allowed the ‘largest fraud in US history’ to go unchecked. 

Lisa Demuth, running for governor, is now pushing for stricter scrutiny to uncover fraud in the Democrat-led state. 

On Sunday, Patel announced that the FBI had already ‘surged personnel and investigative resources to Minnesota,’ even before the social media discussion took off running.

‘The FBI is aware of recent social media reports in Minnesota,’ Patel wrote, claiming that the bureau has moving 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,’ he added. 

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Network Mapping Nick Shirley’s Bombshell Report Of ‘Empty’ Minnesota Daycares

A viral video that has topped 76 million views on X within 48 hours has significantly heightened public scrutiny of multiple Minneapolis daycare centers linked to Somali operators that received millions in state and federal funding despite showing minimal operational activity. The apparent mismatch between allocated taxpayer funds and observable services strengthens a recent report by Christopher F. Rufo, which alleges that Somali-linked fraud in the left-wing-controlled state may involve front companies potentially diverting taxpayer funds to at least one overseas terrorist network.

The Democratic Party and its PR machine across left-wing corporate media outlets, including CBS, PBS, CNN, MSNBC, ABC, NBC, 60 Minutes, The New York Times, and the Associated Press, have largely remained silent on citizen journalist Nick Shirley’s investigation.

We assess that as the dominant narrative of the widening Somali-linked fraud scandal in Minneapolis continues to go viral on X through “America First”-linked accounts, Democrats and their PR machine will move to advance a counter-narrative, given how optically damaging these revelations are ahead of the midterm cycle.

The days of Democrats defaulting to labeling opponents as “racists” or “fascists” appear to be over. They will likely need to develop new pejoratives to target those investigating allegations of welfare fraud on a scale larger than Somalia’s GDP.

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Minnesota’s Largest Newspaper Completely Ignores Somali Fraud Scandal in Year-End Review and There’s a Likely Reason for That

The Minnesota Star Tribune is the largest newspaper in the state. You would think that they would be at least mildly interested in the Somali fraud scandal engulfing the state right now, wouldn’t you?

Well, as is often common in media bias, it is not only what the media does report but what they do not report, and they obviously do not want to report on this story.

The Star Tribune just did a year end review of the biggest stories and did not mention the fraud scandal at all.

For the left, there are a few problems with this story. First, there are no Republicans to blame for the scandal. Minnesota is run by Democrats and has been for decades. Second, the story involves the Somali community in Minnesota and liberals in the media are terrified of being called racists. Finally, the Minnesota Star Tribune has a direct connection to Governor Tim Walz.

A man named Steve Grove is the publisher of the Minnesota Star Tribune and before he got that job, he worked for the Tim Walz administration. You could not make this up.

This is from the Niskanen Center (bolding is ours):

Steve Grove is the publisher and CEO of the Minnesota Star Tribune. For many years, he had been a high-flying executive in Silicon Valley, working for firms like Google and YouTube. Then in 2018, he and his wife — who worked for a venture capital firm investing in startups outside of the coasts along with AOL founder Steve Case and now-Vice President JD Vance — decided to return to Minnesota, where Grove had grown up. His recent book, How I Found Myself in the Midwest: A Memoir of Reinvention, is about leaving the global hub of innovation for what’s often disparaged as “flyover country.” It’s also a story of recommitting to civic and political involvement, as Grove went to work for Minnesota governor (and future Democratic vice-presidential nominee) Tim Walz as head of the state’s departments of economic and workforce development. He was in this role when the pandemic struck the state, making him the principal liaison with a business community struggling to cope with restrictions meant to stem the spread of COVID.

This is from a 2023 press release put out by Walz’s own office:

Governor Tim Walz and Lieutenant Governor Peggy Flanagan today congratulated departing Commissioner Steve Grove and thanked him for his years of service at the Minnesota Department of Employment and Economic Development (DEED). Grove will depart from his position to serve as CEO & Publisher of the Star Tribune. Commissioner Grove was appointed by Governor Walz in January 2019.

“Commissioner Grove has truly exemplified what it means to be a public servant and advocate for the state of Minnesota,” said Governor Walz.

Do you think that might have something to do with the paper’s disinterest in a story that has the potential to end Walz’s career and even get him prosecuted?

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Indicted Democrat Gets Dragged For Post Hiding $100k Ring Bought With Dirty Money

Democrat Rep. Sheila Cherfilus-McCormick (FL-20) sparked controversy on social media Christmas morning for posting an altered photo disguising her alleged fraud.

In her Christmas post, Cherfilus-McCormick’s portrait had been altered to remove a diamond ring worth more than $100,000, according to the Miami New Times.

The ring Cherfilus-McCormick’s portrait usually shows is reportedly a Tiffany 3.14-carat “Fancy Vivid Yellow Diamond.” She allegedly paid $109,000 for the ring using a cashier’s check.

A federal grand jury indictment revealed that Cherfilus-McCormick used funds she acquired from COVID-19 related FEMA disaster payments in 2021. The indictment claims Cherfilus-McCormick and her brother were overpaid $5 million for a COVID vaccination staffing project. The funds were then for personal benefit, including the diamond ring, or distributed to friends and family. Those individuals then acted as “straw donors” to illegally contribute to her own election campaign.

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