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DOJ announces major fraud enforcement in Minnesota over $250 million COVID meal scheme

DOJ announces major fraud enforcement in Minnesota over $250 million COVID meal scheme

The Department of Justice is expected to announce a major law enforcement action in Minnesota related to the $250 million COVID meal fraud scheme. A daycare owner who claimed to serve 60,000 children was charged.

Acting Attorney General Todd Blanch is expected to announce a major law enforcement action in Minnesota connected to the massive 250 million dollar COVID-era meal fraud scheme that has become one of the largest pandemic-related fraud cases in American history. The announcement follows the recent sentencing of Amy Bach, identified as the mastermind behind the sprawling criminal enterprise.

Among the latest defendants is a daycare owner who allegedly claimed to serve 60,000 children per month through a federally funded meal programme, receiving approximately four million dollars in fraudulent payments. The individual was charged after attempting to flee the country when investigators closed in, underscoring the lengths to which some participants went to avoid prosecution.

The fraud scheme exploited the Federal Child Nutrition Programme, which was expanded during the pandemic to ensure children from low-income families continued to receive meals while schools were closed. Prosecutors allege that a network of organisations submitted false claims for meals that were never prepared or served, diverting taxpayer funds intended for vulnerable children.

Representative Ilhan Omar, whose congressional district includes much of the area where the fraud occurred, issued a statement denying any knowledge of the scheme and calling the allegations of her involvement flat out false. The case has become politically charged in Minnesota, with both parties seeking to use it to their advantage ahead of the 2026 midterm elections.

Federal investigators have said the Minnesota case represents the tip of the iceberg in pandemic-era fraud, with billions of dollars in fraudulent claims submitted across dozens of federal relief programmes nationwide. The DOJ has established dedicated task forces to pursue these cases, describing the recovery of stolen funds as a top priority for the department.

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