The U.S. Treasury Department has launched a high-stakes investigation into the fraud that happened under the watch of Gov. Walz and the Biden administration.
Treasury Secretary Scott Bessent saying they are taking quick action to prevent American taxes from bankrolling global jihad.
“The Treasury Department is investigating allegations that under the feckless mismanagement of the Biden Administration and Governor Tim Walz, hardworking Minnesotans’ tax dollars may have been diverted to the t*rrorist organization Al-Shabaab”
The investigation, directed by President Donald Trump, focuses on whether Gov. Walz knew about, and allowed fraud rings –that are tied to Minnesota’s Somali migrant community.
These fraud rings siphoned funds from child nutrition initiatives, Medicaid housing services, and other state programs, with millions allegedly remitted back to Somalia and to Al-Shabaab.
Minnesota’s DHS has publicly accused Walz of knowing about, ignoring and encouraging the fraud in the state.
Meanwhile, the House Oversight Committee opened its own investigation into Walz’s handling of the scandal.
Rep. James Comer (R-Ky.) also accused the governor of ignoring early fraud warnings, saying,
“Minnesota Governor Walz was warned about massive fraud in a pandemic food-aid program for children, yet he failed to act. Instead, whistleblowers who raised concerns faced retaliation.”
The committee’s investigation could lead to subpoenas and potential criminal referrals to the Department of Justice.
The investigations stem from a November report by the Manhattan Institute’s City Journal, which detailed how federal counterterrorism sources confirmed
“Millions of dollars in stolen funds have been sent back to Somalia, where they ultimately landed in the hands of the terror group Al-Shabaab.”
One anonymous source said,
“The largest funder of Al-Shabaab is the Minnesota taxpayer” highlighting a network of informal “hawala” money traders that allegedly laundered the cash overseas.
