1 00:00:01,639 --> 00:00:03,760 Speaker 1: How much money have these childcare senator received? 2 00:00:04,240 --> 00:00:06,720 Speaker 2: One of them received one point three million, and twenty 3 00:00:06,760 --> 00:00:09,240 Speaker 2: twenty one they got nine hundred and eighty seven thousand. 4 00:00:09,720 --> 00:00:12,400 Speaker 2: In twenty twenty two they got seven hundred and fourteen thousand, 5 00:00:12,680 --> 00:00:16,560 Speaker 2: and then the other one one point six zero four million. 6 00:00:16,600 --> 00:00:19,640 Speaker 2: In fiscal year twenty twenty five, fiscal year twenty twenty 7 00:00:19,680 --> 00:00:23,160 Speaker 2: four they got buddy hundred thousand, and twenty fiscal year 8 00:00:23,160 --> 00:00:25,240 Speaker 2: twenty twenty three, they got nine hundred and four thousand 9 00:00:25,239 --> 00:00:26,800 Speaker 2: and fifty nine dollars. 10 00:00:27,040 --> 00:00:29,960 Speaker 3: This place, right here, you're listening to the forty seven 11 00:00:30,040 --> 00:00:32,000 Speaker 3: Morning Update with Ben Ferguson. 12 00:00:32,080 --> 00:00:33,040 Speaker 1: Good Monday morning. 13 00:00:33,320 --> 00:00:35,160 Speaker 4: Nice to have you with us on the forty seven 14 00:00:35,240 --> 00:00:37,040 Speaker 4: Morning Update, and we've got one. 15 00:00:37,080 --> 00:00:38,320 Speaker 1: Big story for you. 16 00:00:38,680 --> 00:00:44,640 Speaker 4: Minnesota's Somali fraud scandal has exploded over the weekend. Cashpittel, 17 00:00:44,680 --> 00:00:48,640 Speaker 4: the FBI director, is now threatening the Somali scammers with 18 00:00:48,760 --> 00:00:54,480 Speaker 4: not only denaturalization and deportation over the uncovered Minnesota fraud, 19 00:00:54,880 --> 00:00:58,840 Speaker 4: but he calls it the tip of a very large iceberg. 20 00:00:59,120 --> 00:01:00,000 Speaker 4: What's happening now? 21 00:01:00,000 --> 00:01:00,120 Speaker 5: Now? 22 00:01:00,360 --> 00:01:01,800 Speaker 1: I break it all down for you. 23 00:01:02,040 --> 00:01:05,319 Speaker 4: It's the forty seven Morning Update, and it starts right now. 24 00:01:05,480 --> 00:01:06,959 Speaker 3: Story number one. 25 00:01:06,800 --> 00:01:12,480 Speaker 4: Minnesota's Somali fraud scandal has exploded, and now the FBI 26 00:01:12,600 --> 00:01:17,520 Speaker 4: Director Cash Ptel is confirming that the FBI has surged 27 00:01:17,760 --> 00:01:23,479 Speaker 4: personnel and investigative resources to Minnesota to dismantle the large 28 00:01:23,480 --> 00:01:29,319 Speaker 4: scale fraud schemes exploiting federal programs, describing the current events 29 00:01:29,360 --> 00:01:33,640 Speaker 4: as just a tip of a very large iceberg. The 30 00:01:33,720 --> 00:01:38,640 Speaker 4: new claim is hundreds of millions in fake daycares, your 31 00:01:38,680 --> 00:01:42,559 Speaker 4: tax dollars going to these centers, all of this being 32 00:01:42,600 --> 00:01:46,240 Speaker 4: exposed by a twenty three year old YouTuber who did 33 00:01:46,319 --> 00:01:49,160 Speaker 4: the job that no one in the media was willing 34 00:01:49,160 --> 00:01:52,520 Speaker 4: to do. Now, the Bureau says that it has identified 35 00:01:53,560 --> 00:01:58,400 Speaker 4: and dismantled a two hundred and fifty million dollar fraud 36 00:01:58,440 --> 00:02:04,000 Speaker 4: scheme tied to federal food aid programs, leading to seventy 37 00:02:04,040 --> 00:02:10,639 Speaker 4: eight indictments and fifty seven convictions. Caspertel also stated that 38 00:02:10,919 --> 00:02:17,000 Speaker 4: some convicted fraudsters are being referred for denaturalization and deportation 39 00:02:17,160 --> 00:02:23,840 Speaker 4: proceedings where eligible, signaling serious legal consequences beyond prison sentences, 40 00:02:24,280 --> 00:02:28,000 Speaker 4: and the broader scope of the fraud is now being exposed. 41 00:02:28,440 --> 00:02:33,560 Speaker 4: Federal prosecutors are now estimating the fraud across multiple programs 42 00:02:33,560 --> 00:02:38,480 Speaker 4: in Minnesota alone will total into the billions of dollars, 43 00:02:38,919 --> 00:02:43,680 Speaker 4: with part of the spotlight falling on social services, childcare assistance, 44 00:02:44,120 --> 00:02:49,480 Speaker 4: healthcare billing, and nutrition programs. In other words, if there 45 00:02:49,560 --> 00:02:54,399 Speaker 4: was a government program, it was being abused by the fraudsters. 46 00:02:54,880 --> 00:02:59,239 Speaker 4: Now the FBI is continuing, they say, an ongoing investigation, 47 00:02:59,800 --> 00:03:04,520 Speaker 4: and their expectations for more prosecutions and potential recoveries of 48 00:03:04,560 --> 00:03:09,760 Speaker 4: misused taxpayer funds. National figures including Elon Musk and political 49 00:03:09,840 --> 00:03:13,880 Speaker 4: leaders such as JD Vance and Representative Tom Emmer have 50 00:03:14,160 --> 00:03:19,079 Speaker 4: amplified the incredible undercover video that exposed all of this, 51 00:03:19,639 --> 00:03:24,000 Speaker 4: pushing for accountability and broader investigations into alleged misuse of 52 00:03:24,040 --> 00:03:27,960 Speaker 4: taxpayer funds. And it may not just be Minnesota where 53 00:03:27,960 --> 00:03:31,560 Speaker 4: the corruption is. Now we're saying that others are coming 54 00:03:31,600 --> 00:03:35,320 Speaker 4: forward and saying it could be happening in other states. Now, 55 00:03:35,360 --> 00:03:39,800 Speaker 4: how did we get to this point? Well, an independent journalist, 56 00:03:40,040 --> 00:03:43,600 Speaker 4: a hero by the name of Nick Shirley posted a 57 00:03:43,800 --> 00:03:49,160 Speaker 4: forty two minute investigative video on social media showing visits 58 00:03:49,200 --> 00:03:54,760 Speaker 4: to multiple licensed childcare centers that allegedly received millions and 59 00:03:54,840 --> 00:03:59,120 Speaker 4: millions of dollars in public funding, meaning taxpayer dollars, but 60 00:03:59,160 --> 00:04:02,920 Speaker 4: we're empty or inactive, or wouldn't even answer a question 61 00:04:03,040 --> 00:04:06,920 Speaker 4: on how he could enroll his son in daycare, including 62 00:04:07,120 --> 00:04:12,280 Speaker 4: the Minneapolis Quality Learning Center and one lightly shared scene, 63 00:04:12,720 --> 00:04:16,360 Speaker 4: Shirley highlighted that one center received roughly one point nine 64 00:04:16,400 --> 00:04:20,320 Speaker 4: million alone in twenty twenty five from the Minnesota Childcare 65 00:04:20,360 --> 00:04:25,839 Speaker 4: Assistants program, despite no children or activity being a parent 66 00:04:25,920 --> 00:04:31,280 Speaker 4: at the site during daytime visits. Shirley's video claims that 67 00:04:31,360 --> 00:04:34,360 Speaker 4: over one hundred and ten million in questionable payments were 68 00:04:34,400 --> 00:04:37,919 Speaker 4: documented in a single day of investigating, and that is 69 00:04:37,960 --> 00:04:41,920 Speaker 4: where the video went viral, garnering tens of millions of 70 00:04:42,040 --> 00:04:48,000 Speaker 4: views and sparking national outrage, particularly among conservatives and political 71 00:04:48,000 --> 00:04:52,520 Speaker 4: figures who share this footage saying it's time to clean house, 72 00:04:53,000 --> 00:04:56,839 Speaker 4: which brings us to cash PTEL. Now, when something like 73 00:04:56,880 --> 00:04:59,920 Speaker 4: this gets exposed, we're learning very quickly that the Trump 74 00:05:00,040 --> 00:05:03,839 Speaker 4: administration is willing to do what others were unwilling to 75 00:05:03,839 --> 00:05:08,279 Speaker 4: do in the Biden administration and what Democrats are unwilling 76 00:05:08,320 --> 00:05:11,640 Speaker 4: to do on their own in Minnesota. Here's more of 77 00:05:11,680 --> 00:05:14,200 Speaker 4: how Fox News covered it earlier and. 78 00:05:14,320 --> 00:05:17,640 Speaker 5: Welcome back everybody. FAI Director Cash Mattel responding to a 79 00:05:17,720 --> 00:05:20,919 Speaker 5: viral video that has raised even more concerns about Minnesota's 80 00:05:21,120 --> 00:05:25,719 Speaker 5: massive fraud scandal. The video showing misspelled signs, locked doors, 81 00:05:25,839 --> 00:05:29,240 Speaker 5: empty classrooms even at a Minneapolis daycare center. Now the 82 00:05:29,320 --> 00:05:33,040 Speaker 5: state allegedly is also given the center millions in funding. 83 00:05:33,400 --> 00:05:35,520 Speaker 5: Connor Hansen Live in New York City was the latest 84 00:05:35,520 --> 00:05:36,960 Speaker 5: on that for us Hey, Connor. 85 00:05:37,080 --> 00:05:40,480 Speaker 6: Hi Kevin Well. Four years now there have been allegations 86 00:05:40,520 --> 00:05:45,000 Speaker 6: of widespread fraud and investigations in Minnesota, but now there's 87 00:05:45,000 --> 00:05:48,839 Speaker 6: even more scrutiny following a new video that's gone viral 88 00:05:48,920 --> 00:05:52,560 Speaker 6: coming from an independent journalist visiting daycare centers in the 89 00:05:52,560 --> 00:05:56,320 Speaker 6: state that are receiving millions, apparently in tax dollars, with 90 00:05:56,520 --> 00:05:58,279 Speaker 6: no signs of children there. 91 00:05:58,400 --> 00:06:01,280 Speaker 1: Take a look. Put my son into daycare here? 92 00:06:01,800 --> 00:06:02,680 Speaker 2: No, no, no, I don't know. 93 00:06:02,800 --> 00:06:05,120 Speaker 1: Can I speak to someone I don't know? No? 94 00:06:05,600 --> 00:06:07,039 Speaker 6: Yeah, I would like to see if I can put 95 00:06:07,040 --> 00:06:09,839 Speaker 6: my son Joey here now. Twenty three year old journalist 96 00:06:09,960 --> 00:06:13,200 Speaker 6: Nick Shirley visited one business that couldn't even spell its 97 00:06:13,320 --> 00:06:17,159 Speaker 6: name correctly, with a sign saying leering center instead of learning. 98 00:06:17,560 --> 00:06:20,680 Speaker 6: Some had blacked out windows and most had no signs 99 00:06:20,760 --> 00:06:24,279 Speaker 6: of children there on a weekday. The viral video sparking 100 00:06:24,320 --> 00:06:27,920 Speaker 6: a strong reaction from Vice President jd Vance, who wrote, 101 00:06:28,040 --> 00:06:31,599 Speaker 6: politicians like it because they get power. Welfare cheats like 102 00:06:31,640 --> 00:06:32,840 Speaker 6: it because they get rich. 103 00:06:33,040 --> 00:06:34,120 Speaker 1: But it's a zero. 104 00:06:33,920 --> 00:06:37,279 Speaker 6: Sum game and they're stealing both money and political power 105 00:06:37,480 --> 00:06:42,200 Speaker 6: from Minnesota's Earlier this month, Minnesota's assistant US Attorney said 106 00:06:42,240 --> 00:06:47,719 Speaker 6: fraud involving Medicaid services likely reached more than nine billion dollars. 107 00:06:48,320 --> 00:06:53,520 Speaker 1: Fraud is not small, It isn't isolated. The magnitude cannot 108 00:06:53,520 --> 00:06:58,000 Speaker 1: be overstated. It's a staggering, industrial scale fraud. 109 00:06:58,600 --> 00:07:01,200 Speaker 6: The eye director of Cash Pattel just posted on x 110 00:07:01,400 --> 00:07:04,440 Speaker 6: saying that might just be the tip of the iceberg. 111 00:07:04,720 --> 00:07:07,640 Speaker 6: Despite mounting criticism aimed at him from the White House 112 00:07:07,680 --> 00:07:11,320 Speaker 6: and others, Governor Tim Walls has blamed Republicans for the 113 00:07:11,400 --> 00:07:12,280 Speaker 6: lack of a solution. 114 00:07:13,120 --> 00:07:16,440 Speaker 7: Nobody in the legislature on the Republican side is interested 115 00:07:16,440 --> 00:07:18,400 Speaker 7: in solving this. Mike God, it would be the worst 116 00:07:18,440 --> 00:07:20,080 Speaker 7: thing in the world for them if this is solved 117 00:07:20,120 --> 00:07:22,640 Speaker 7: like we're doing it here early this year, because then 118 00:07:22,640 --> 00:07:23,560 Speaker 7: what are they going to run on? 119 00:07:24,200 --> 00:07:26,840 Speaker 6: And we've reached down to Governor Wallace for comment on 120 00:07:26,880 --> 00:07:30,800 Speaker 6: that video, no response so far. Cash Battel also warning 121 00:07:30,840 --> 00:07:36,160 Speaker 6: that possible denaturalization and deportation proceedings could come from this. 122 00:07:36,640 --> 00:07:39,560 Speaker 4: And this is exactly why the FBI Director cash Battel 123 00:07:39,920 --> 00:07:42,800 Speaker 4: not only came out but recognize that the ongoing fraud 124 00:07:42,880 --> 00:07:47,840 Speaker 4: scandal and folding in Minnesota involving these childcare centers, saying 125 00:07:48,080 --> 00:07:52,880 Speaker 4: it is a top priority of the FBI. This video 126 00:07:53,240 --> 00:07:57,560 Speaker 4: all from a journalist on YouTube, Nick Shirley, going viral 127 00:07:57,680 --> 00:08:01,360 Speaker 4: over the weekend because he did what the media refused 128 00:08:01,400 --> 00:08:04,280 Speaker 4: to do, which is the second part of this story 129 00:08:04,320 --> 00:08:07,720 Speaker 4: that everyone should be asking questions about. How is it 130 00:08:07,760 --> 00:08:11,800 Speaker 4: that a twenty something who has a YouTube channel did 131 00:08:11,880 --> 00:08:17,000 Speaker 4: more reporting on this fraud than the entire media conglomerate 132 00:08:17,440 --> 00:08:21,640 Speaker 4: of the United States of America combined. How is it 133 00:08:21,680 --> 00:08:24,960 Speaker 4: that he was able to go and confront employees at 134 00:08:25,000 --> 00:08:29,640 Speaker 4: these alleged learning centers in Minnesota receiving millions of dollars 135 00:08:29,680 --> 00:08:35,080 Speaker 4: in aid despite showing no signs of operational activity. How 136 00:08:35,200 --> 00:08:38,760 Speaker 4: is it that four million dollars of hard earned tax 137 00:08:38,800 --> 00:08:43,120 Speaker 4: dollars went to one center where they couldn't even spell 138 00:08:43,280 --> 00:08:47,720 Speaker 4: the word learning correctly? And how did the media not 139 00:08:47,880 --> 00:08:52,520 Speaker 4: do their job. The FBI Caspertel posted on x is 140 00:08:52,559 --> 00:08:57,400 Speaker 4: aware of the recent social media report in Minnesota. However, 141 00:08:57,679 --> 00:09:02,880 Speaker 4: even before the public conversation escalated online, the FBI had 142 00:09:02,960 --> 00:09:07,720 Speaker 4: surged personnel and investigative resources to Minnesota to dismantle the 143 00:09:07,840 --> 00:09:13,640 Speaker 4: large scale fraud schemes exploiting federal programs, fraud that steals 144 00:09:13,640 --> 00:09:16,880 Speaker 4: from taxpayers. The FBI director goes on to say, and 145 00:09:17,120 --> 00:09:21,200 Speaker 4: Rob's vulnerable children will remain a top FBI priority in 146 00:09:21,240 --> 00:09:27,280 Speaker 4: Minnesota and nationwide. Bettel then noted that the FBI dismantled 147 00:09:27,600 --> 00:09:30,320 Speaker 4: a two hundred and fifty million dollar fraud scheme that 148 00:09:30,360 --> 00:09:35,959 Speaker 4: stole federal food aid meant for vulnerable children during COVID say. 149 00:09:36,080 --> 00:09:41,320 Speaker 4: The investigation exposed sham vendors, shell companies, and large scale 150 00:09:41,360 --> 00:09:45,679 Speaker 4: money laundering tied to the Feeding Our Future network. The 151 00:09:45,720 --> 00:09:49,800 Speaker 4: case led to seventy eight indictments and fifty seven convictions. 152 00:09:50,160 --> 00:09:55,520 Speaker 4: Defendants included high level and high named individuals, each of 153 00:09:55,559 --> 00:09:58,640 Speaker 4: them charged for their roles ranging from wirefraud to money 154 00:09:58,679 --> 00:10:03,720 Speaker 4: laundering to conspiracy. Patel concluded that these schemes quote are 155 00:10:04,120 --> 00:10:08,360 Speaker 4: just the tip of the very large ice berg. The 156 00:10:08,400 --> 00:10:12,400 Speaker 4: assistant US attorney. By the way, Joseph Thompson also revealed 157 00:10:12,440 --> 00:10:16,120 Speaker 4: earlier this month at half of the eighteen billion in 158 00:10:16,200 --> 00:10:21,640 Speaker 4: federal welfare funds which support fourteen Minnesota run programs since 159 00:10:21,640 --> 00:10:27,880 Speaker 4: twenty eighteen, have been lost to fraud. Quote, Minnesota has 160 00:10:27,920 --> 00:10:31,480 Speaker 4: become a magnet for fraud, so much so that we 161 00:10:31,520 --> 00:10:35,320 Speaker 4: have developed a fraud tourism industry, people coming to our 162 00:10:35,360 --> 00:10:40,239 Speaker 4: state purely to exploit and defraud its programs. Thompson said, 163 00:10:40,440 --> 00:10:44,439 Speaker 4: this is deeply unsettling and a reality that all Minnesotans 164 00:10:44,520 --> 00:10:48,840 Speaker 4: should understand. So you go back to the big question, 165 00:10:49,520 --> 00:10:51,800 Speaker 4: how is it that one man was able to do 166 00:10:51,960 --> 00:10:54,640 Speaker 4: so much good? And how was it that the media 167 00:10:54,720 --> 00:10:58,800 Speaker 4: and the Democratic Party did nothing to stop it? Well, 168 00:10:59,040 --> 00:11:01,760 Speaker 4: it could be for two reasons. One, the media was 169 00:11:01,880 --> 00:11:04,600 Speaker 4: in on it. They knew there was reports of fraud, 170 00:11:04,920 --> 00:11:08,000 Speaker 4: and they deliberately chose to look the other way. Why 171 00:11:08,080 --> 00:11:11,800 Speaker 4: because much of that money was coming back to support 172 00:11:12,000 --> 00:11:16,319 Speaker 4: Democrats who were running for office and who had been elected. 173 00:11:17,000 --> 00:11:20,560 Speaker 4: There's also the other question, how much to Governor Waltz, 174 00:11:20,600 --> 00:11:24,080 Speaker 4: the former man who could have been one heartbeat away 175 00:11:24,120 --> 00:11:27,240 Speaker 4: from the presidency. What did he know and when did 176 00:11:27,280 --> 00:11:29,880 Speaker 4: he know it? And how involved was he and why 177 00:11:29,960 --> 00:11:32,760 Speaker 4: is he not doing more? You have to remember all 178 00:11:32,760 --> 00:11:35,960 Speaker 4: he's saying now is somehow this is the Republican's fault, 179 00:11:36,120 --> 00:11:39,600 Speaker 4: even though Democrats are in charge of every aspect of 180 00:11:39,600 --> 00:11:42,800 Speaker 4: the state of Minnesota. And he doesn't answer the question, 181 00:11:43,080 --> 00:11:45,680 Speaker 4: and he also doesn't seem to be angry at all. 182 00:11:46,240 --> 00:11:49,480 Speaker 4: He doesn't seem to care about the fraud, which brings 183 00:11:49,559 --> 00:11:53,240 Speaker 4: us back to exactly what Casptel said. Not only is 184 00:11:53,240 --> 00:11:56,480 Speaker 4: the FBI aware of the recent social media reports, but 185 00:11:56,600 --> 00:12:00,840 Speaker 4: we are dismantling large scale frauds and it's only the 186 00:12:00,920 --> 00:12:02,640 Speaker 4: tip of the iceberg. 187 00:12:03,400 --> 00:12:05,520 Speaker 1: That's why Donald Trump put him in charge. 188 00:12:05,800 --> 00:12:08,640 Speaker 4: And one thing's for sure, the President is honed in 189 00:12:08,679 --> 00:12:11,360 Speaker 4: on this fraud and gonna do everything he can to 190 00:12:11,480 --> 00:12:11,960 Speaker 4: stop it. 191 00:12:12,040 --> 00:12:14,680 Speaker 3: Thank you for listening to the forty seven Morning Update 192 00:12:14,840 --> 00:12:18,920 Speaker 3: with Ben Ferguson. Please make sure you hit subscribe wherever 193 00:12:18,960 --> 00:12:22,000 Speaker 3: you're listening to this podcast right now and for more 194 00:12:22,040 --> 00:12:25,800 Speaker 3: in depth news, also subscribe to the Ben Ferguson podcast 195 00:12:26,040 --> 00:12:26,160 Speaker 3: and 196 00:12:26,240 --> 00:12:27,840 Speaker 1: We will see you back here tomorrow.