HHS ENDS Biden’s Massive Child Care FRAUD Scheme That Let States Pay Providers Without Verifying Attendance

The U.S. Department of Health and Human Services (HHS) has officially moved to dismantle a sweeping Biden-era child care scheme that allowed states to shovel billions in federal dollars to child care providers without verifying whether children were actually present, a reckless policy now linked to massive fraud investigations, particularly in Democrat-run hellholes like Minnesota.

Under the leadership of President Trump, HHS, through its Administration for Children and Families, is rescinding provisions of the 2024 Child Care and Development Fund (CCDF) rule imposed under Joe Biden.

“Congress appropriated this funding to support working families and ensure children have safe places to grow and learn,” said HHS Secretary Robert F. Kennedy Jr.

“Loopholes and fraud diverted that money to bad actors instead. Today, we are correcting that failure and returning these funds to the working families they were meant to serve.”

The Biden regime’s insanity included:

  • Forcing payments on enrollment alone, not verified attendance
  • Mandating upfront cash to providers before any care was even provided
  • Push states toward provider contracts instead of parent-directed vouchers

But under President Trump’s triumphant return and HHS’s new rule changes:

  • Attendance-based billing is BACK! States can now demand proof that kids are actually there before handing over a dime.
  • No more free money upfront! Payments after services
  • Parental choice restored! Vouchers over crony contracts

The New York Post reported:

The President Biden rule took effect on April 30, 2024, meaning more than $19.3 billion in taxpayer dollars over 20 months may have been spent before President Trump could correct provisions that could have prolonged massive day care fraud in Minnesota.

[…]

Between 2021 and 2024, the Administration for Children and Families shelled out more than $91.8 billion from its Child Care Development Fund (CCDF), a federal block grant program that helps fund child care in states, US territories and tribes, per HHS data.

A whopping $56 billion went out the door just in 2021, during the height of the COVID-19 pandemic.

The officials froze all future funding from CCDF — the third-largest block grant program after Temporary Assistance for Needy Families (TANF) and the Department of Housing and Urban Development’s Community Development Block Grants — last week until states can verify there is no fraud.

[…]

More than a decade before, HHS’ Office of Inspector General audited states and found tens of millions of dollars were being erroneously paid out to child care centers.

The consequences of Biden’s lax rules are playing out most dramatically in Minnesota, where allegations have surfaced that daycare providers collected hundreds of millions of dollars for children who never showed up or didn’t exist at all.

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“More to Come” – HHS Deputy Secretary Hints Something Big Is Coming as Questions Swirl Around Somali UN Ambassador’s Ties to Ohio Health Agency Convicted of Medicaid Fraud

The Trump administration’s Department of Health and Human Services (HHS) is signaling that major revelations are imminent involving Somalia’s sitting ambassador to the United Nations, a man who now presides over the UN Security Council while allegedly tied to an Ohio healthcare company convicted of Medicaid fraud.

The Gateway Pundit previously reported on troubling new evidence showing that Abukar Dahir Osman, Somalia’s Permanent Representative to the United Nations, once worked deep inside Ohio’s Medicaid bureaucracy and later ran — or was formally associated with — an Ohio home healthcare company now appearing on a federal fraud exclusion list.

Osman, often referred to by the nickname “Baale,” has served as Somalia’s UN ambassador since 2017. As of this month, he holds one of the most powerful rotating posts in global diplomacy: President of the UN Security Council.

In that role, Osman:

  • Oversees Security Council meetings
  • Sets the Council’s agenda
  • Manages resolutions and presidential statements
  • Speaks for the A3+ bloc (African nations plus Caribbean representation) on major global conflicts, including Afghanistan and Yemen

But long before wielding global authority in New York, Osman built his career inside Ohio’s taxpayer-funded welfare and Medicaid system.

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BEYOND PARODY: Craigslist Ad From a Daycare Center in Minneapolis Seeks to Hire 20 Child Actors

This is just too funny to be real. A post on Craigslist in the city of Minneapolis is supposedly from a daycare center that is looking to hire up to twenty child actors.

Since anyone can post something on the marketplace/message board website, it could be from anyone, but given the intellect of the Minneapolis fraudsters we have seen in recent weeks, it may very well be real.

In their defense, they are at least offering good money for the actors they seek to hire.

PJ Media reported:

Is a Minneapolis ‘Daycare’ Trying to Hire Child Actors on Craigslist?

Either a Minneapolis fake daycare is actually trying to hire child actors to restart taxpayer funding or someone is playing a truly extraordinary practical joke on Craigslist users.

A listing posted several days ago on Craigslist from “Help Us Daycare” actually advertises a desire to hire “child actors for 3 day contract (Ventura Village).”. The listing claims the daycare lost state funding due to “white supremacy” and asserts that it needs to hire 20 child actors for a few days to show up to the fake daycare because the “ENTIRE client base has already found new daycare services.” So when the state investigators arrive, the listing explains, kids need to be on site. The listing seems too insane to be sincere. On the other hand, when you consider the craziness uncovered in the Minnesota Somali daycare fraud investigation, perhaps this entry warrants a little government scrutiny…

The Craigslist listing rambles, “Due to this insane poor decision clear in white supremacy, we had to close our doors immediately. We must prove we are a function day care to get the funding back. The issue is, the ENTIRE client base has already found new daycare services so we need to find new clients base quickly.” I would feel more confidence in the alleged functionality of the daycare if the person composing this could actually write English.

The crazy listing continues, “To help hurry this state vetting processes, we are looking to hire 20 child actors for 3 days, while state is present on site. We pay up to $1500 actor, per day. If you are interest, please send your child’s age and a note of what makes your child a special actor. Submit phone number as well, as we will be doing quick phone interviews as part of hire process.” The tone is certainly rather desperate.

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Mary Moriarty threatens prosecutions over ‘hateful’ messages to Somali community

Amid national attention on fraud in Minnesota, Hennepin County Attorney Mary Moriarty has warned that people who send “hateful” messages to the Somali community could face prosecution.

Meanwhile, it was recently revealed that a Somali national who pleaded guilty in two separate sexual assault cases avoided prison under a plea deal negotiated by Moriarty’s office.

Last year, Abdimahat Mohamed received a three-year prison sentence that was stayed and served no time in prison after pleading guilty in two separate sexual assault cases — one involving the rape of a 15-year-old girl in 2017 and another involving an adult woman in 2024.

In both cases, the most serious criminal sexual conduct charges were dropped. Moriarty’s office defended the plea deal after national attention followed, saying it had lost key witnesses and that the case was “substantially weakened.”

According to a later FBI affidavit tied to federal kidnapping charges, Moriarty’s office also agreed not to charge Mohamed for a third sexual assault from 2018 as part of the plea agreement.

Now, Moriarty has issued a public statement warning that her office is receiving “a large number of reports” of members of the Somali community being sent “hateful, threatening, and disturbing messages.”

The statement blamed “far-right propagandists” for “demonizing an entire group of people” and urged the public to report such messages to law enforcement so cases could be reviewed for prosecution.

Moriarty’s statement included contact information for advocacy organizations and pledged the office would “do everything in our power to keep each other safe.”

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HHS: Biden-Era Loophole “Invited Abuse,” Funneled Billions to Childcare Centers Without Verifying Attendance

President Donald Trump’s Department of Health and Human Services (HHS) announced on Monday that it is closing a Biden-era loophole that required states to pay childcare centers before verifying attendance. 

The department is initiating the change as fallout from allegations of widespread fraud at Minnesota Somali-run daycare centers continues. According to HHS, the Biden administration’s rule required states to base payments to childcare centers on enrollment instead of verified attendance, and payment was provided in advance of services. 

“Paying providers upfront based on paper enrollment instead of actual attendance invites abuse,” HHS Deputy Secretary Jim O’Neill said in a statement. “In Minnesota, we’ve seen credible and widespread allegations of fraudulent daycare providers who were not caring for children at all. The reforms we are enacting will make fraud harder to perpetrate.”

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Tampon Tim Walz DROPS OUT of Minnesota Governor’s Race Following Massive Somali Fraud Scandal

The ongiong Somali fraud scandal has brought an end to Givenror Tim Walz’s political carrer in Minnesota.

He has announced he will not seek a third term this morning.

Here is Walz’s full statement via KTTC:

In September, I announced that I would run for a historic third term as Minnesota’s Governor. And I have every confidence that, if I gave it my all, I would succeed in that effort.

But as I reflected on this moment with my family and my team over the holidays, I came to the conclusion that I can’t give a political campaign my all. Every minute I spend defending my own political interests would be a minute I can’t spend defending the people of Minnesota against the criminals who prey on our generosity and the cynics who prey on our differences.

So I’ve decided to step out of the race and let others worry about the election while I focus on the work.

I know this news may come as a surprise. But I’m passing on the race with zero sadness and zero regret. After all, I didn’t run for this job so I could have this job. I ran for this job so I could do this job. Minnesota faces an enormous challenge this year. And I refuse to spend even one minute of 2026 doing anything other than rising to meet the moment. Minnesota has to come first – always.

Axios reports that Senator Amy Klobuchar and Attorney General Keith Ellison could now jump in the race.

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Somali fraudsters got luxury digs, beachside resort, rented Rolls Royce and Lamborghini with stolen funds

These are the lifestyles of the rich and shameless.

The Somali fraudsters convicted in the Feeding Our Future scandal flaunted government-funded lifestyles and robust real estate portfolios with the millions of dollars they bilked from the federal government.

Brazen scammers stole hundreds of millions of dollars of federal COVID relief funds — spending their loot on tony condos, expensive cars, and real estate projects in Kenya — including a four-story apartment building and luxury resort, according to court documents.

Minny insiders marveled this week to The Post at their sheer chutzpah.

Liban Yasin Alishire, 43, who pleaded guilty in 2023 to wire fraud and money laundering, spent $350,000 from his pilfered payouts on a luxury resort.

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Son of Minnesota Attorney General Keith Ellison Accused Of Collecting Six-Figure City Salary Despite Harvard Fellowship In Massachusetts

Minnesota city council member and son of radical AG Keith Ellison is accused of “accepting a full time accepting a full-time fellowship at Harvard University while continuing to collect his six-figure taxpayer salary.”

This was recently reported by Campus Reform.

Minnesota, sadly, seems to be a focus of corruption right now.

Jeremiah “Ellison, the son of Minnesota Attorney General Keith Ellison, told The Minnesota Star Tribune that he is splitting time between Minneapolis and Cambridge, Massachusetts, during the final months of his term.”

“The fellowship requires him to be in Massachusetts, meaning Ellison has already stepped back from the Business, Housing, and Zoning Committee and the Public Health and Safety Committee.”

Minneapolis city council members like Ellison are given a salary of close to $110,000.

Ellison was first elected in 2017, representing North Minneapolis.

“Council Member LaTrisha Vetaw, the only other member representing the North Side, blasted the move, calling it unacceptable that her constituents will now have “zero” representation in the city’s most consequential committees.”

Ellison argues he can attend virtually the city’s year-end budget vote.

Minneapolis rules do not allow council members to vote remotely, raising questions about how effective his virtual participation will be.”

“Council President Elliott Payne admitted that the arrangement was largely made on the advice of the city clerk and said the full council will revisit the issue in the coming weeks.”

Some other members are already calling for Ellison’s seat to be filled.

A council member named Jamal Osman is calling for a replacement during the transition.

“Concerns about the arrangement have been dismissed by Ellison, who told KSTP-TV that he “will be present for most full city council meetings,” and that nothing remarkable is actually happening.”

Fortunately for his city, Ellison will not be running for reelection.

His father is previously known for his pro Antifa and support of CAIR, the Muslim Brotherhood-affiliated group.

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ANOTHER state is embroiled in fraud scandal with ‘$77MILLION of taxpayers’ money going missing’… and WWE stars are at the center

Mississippi has joined the list of states embroiled in major fraud scandals, as a welfare scheme trial centered around WWE stars is set to kick off this week. 

The embezzlement scheme saw at least $77 million of taxpayers’ hard-earned money go toward frivolous things instead of helping those in need in America’s poorest state, according to authorities.

Instead of helping the less fortunate, cash was splurged on a lavish home in Jackson, cars, paying off a non-profit leader’s speeding ticket, and funding a new $5 million volleyball stadium at Mississippi University, among other items, authorities said. 

A total of seven people have pleaded guilty to state or federal charges related to the fraud case, but one person, former pro wrestler Ted DiBiase Jr., has decided to plead not guilty and stand trial. 

His brother, Brett DiBiase, 37, was also charged in the welfare-fraud scandal. Brett, who also wrestled professionally, pleaded guilty to state and federal charges. 

Meanwhile, his older brother, who received the Million Dollar Championship title in 2010 from their wrestler father, Ted DiBiase Sr., is the only person indicted after he chose to fight money laundering, wire fraud, theft, and conspiracy charges. 

The trial, which is set to begin Tuesday, will detail how DiBiase, 43, allegedly pocketed around $4 million in welfare dollars that he used for himself. 

The fraud in Mississippi comes as similar allegations continue to sweep across Minnesota that suggest alleged scammers, most of Somali descent, are said to have spent millions meant to feed hungry children on flashy cars and swanky travels, according to court evidence obtained by CBS. 

According to prosecutors, DiBiase allegedly concealed money through phony contracts with non-profit organizations, including the Mississippi Community Education Center, in a conspiracy to steal funds from welfare programs, including Temporary Assistance for Needy Families (TANF).

Prosecutors said DiBiase embezzled around $1.1 million and used the cash to buy luxurious items, including a boat and a vehicle. 

Per the contracts, two companies owned by DiBiase were allegedly supposed to look into the need for emergency food aid, provide leadership outreach to the community, and help inner-city children.

But, according to the indictment reviewed by The Wall Street Journal, the married father-of-two ‘did not provide and did not intend to provide’ those assistance programs to Mississippians. 

Meanwhile, DiBiase said he has brought forward ‘significant evidence that he did perform work under the relevant contracts,’ according to a November court filing obtained by the outlet. 

The only person involved in the scandal who has been sentenced for his crimes is former Department of Human Services Head John Davis. 

A judge decided Davis, the highest-ranking official embroiled in the conspiracy, will spend 32 years in prison for state charges. He has not yet been sentenced for his federal crimes, WLBT reported. 

He was found guilty of having tens of millions of dollars go toward specific non-profits before he took the money for his own personal use.

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Leftist Nonprofit Cashed in at Taxpayers’ Expense in the Waning Days of the Biden Administration

One of the things that President Donald Trump is focused on in his second term is eliminating waste, fraud, and abuse within the federal government. Elon Musk and DOGE went a long way to revealing just how large the scope of ridiculous things Americans’ tax dollars were being spent on. Currently, in Minnesota, even more fraud and squandering of tax dollars is being revealed. But now we are learning more about how little regard the Biden administration had for hard-working Americans’ tax dollars, and where that money went in the year before Donald Trump returned to the White House.

The Tides Center is a social justice fiscal sponsor of and is associated with the Tides Foundation. In 2024, tax records show that the Tides Center received a total of $37,810,397 of taxpayer money. It is the largest amount of government funding in a decade (up from $13,030,345 in 2014). The money came largely in the form of government grants, and because it was doled out during the Biden administration, you can guess the left-wing causes it went to.

During Joe Biden’s last year in office, the Tides Center gave money to groups that worked on issues like expanding access to abortion, affirmative action, and helping illegal immigrants get out of detention facilities. They have also lent a fiscal hand to a group called the “Anti-Police Terror Project,” and provided information on sex-change procedures. However, a big chunk of those taxpayer dollars, $21.9 million, went to the Tides Foundation, and something called Tides Advocacy, which describes itself as a 501(c)(4) “social welfare organization.” Tides Advocacy claims its mission is to provide:

“fiscal sponsorship and essential services, including financial, legal and personnel services, to nonprofit organizations that promote shared prosperity and social justice.”

They also claim to manage roughly “140 projects and activities.” 

So, what other areas of “social justice” has the Tides Center felt it important to donate funds to in 2024? There was the $25,000 donated to the Alliance for Global Justice (AFGJ). In 2021, Discover Card cut ties with the AFGJ after it was learned that they had ties to a Marxist terrorist group called the Popular Front for the Liberation of Palestine (PFLP). AFGJ also fiscally sponsored a pro-Iran activist whom the Treasury Department sanctioned in October of 2024 for fundraising for PFLP terrorists.

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