Federal prosecutors filed charges against 15 individuals in Minnesota on Wednesday for allegedly defrauding multiple government social service programs out of more than $90 million in taxpayer money, according to an announcement by federal officials on Thursday, May 21, 2026.
The U. S.
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Department of Justice stated that the alleged schemes targeted seven state-managed Medicaid initiatives, including Minnesota's Housing Stabilization, autism, Integrated Community Support, and Individualized Home Supports programs.
Court documents revealed that one suspect remains at large after jumping from a fourth-story balcony as law enforcement attempted to execute an arrest on Thursday morning.
The multi-agency investigation previously involved the execution of 22 search warrants across Minnesota three weeks ago.
Authorities noted that the federal announcement occurred shortly after Feeding Our Future founder Aimee Bock received a prison sentence of nearly 42 years for federal charges including bribery, tied to a separate $250 million pandemic-related fraud scheme in the state.
Unprecedented Charges
Assistant Attorney General for the National Fraud Enforcement Division Colin McDonald detailed the scope of the state-managed program violations during a news conference in Minneapolis late Thursday morning.
"This is not the end of our work in Minnesota. This is not the end of the beginning of our work in Minnesota.
This is the beginning of our work in Minnesota," said McDonald.
He described the defendants as individuals who systematically pilfered government resources intended for residents in need.
"Make no mistake: today's charges are unprecedented," said McDonald.
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The Assistant Attorney General emphasized that the legal actions underscore a broader federal commitment to uncovering systemic exploitation of public programs within the region.
"The fraud here in Minnesota is shocking," said McDonald.
The charging documents detailed various illicit activities, including allegations that healthcare providers inflated service hours, group home owners misappropriated $1 million for luxury vehicles, and children were falsely diagnosed with autism to secure federal funds.
"This was not a paperwork error," said Health Secretary Robert F. Kennedy Jr.
The Health Secretary further noted that the operation represented the largest autism fraud bust in the history of the United States.
"It was not a technical violation.
This was organized theft that exploited the most vulnerable children in America, deceived families, stole taxpayer dollars meant to help children with autism access legitimate care and support," said Kennedy.
Federal officials expressed sharp criticism regarding the oversight of local public assistance programs during the press conference.
"Minnesota programs got 'out of control'," said Centers for Medicare and Medicaid Services Administrator Dr. Mehmet Oz.
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The multi-agency briefing concluded with an appeal from the FBI requesting the public to submit any relevant information regarding the unidentified fleeing suspect by calling 1-800-CALL-FBI or visiting their online tip portal.
