Fraud Freeze: Trump's Child Care Funds Halt in Minnesota Amid Scandal

The Trump administration has frozen child care funds to Minnesota due to widespread fraud. This decision follows investigations revealing large-scale schemes, including a $300 million fraud case tied to the nonprofit Feeding Our Future. Efforts are underway to enhance accountability and prevent future fraud.

The Trump administration has taken decisive action by halting child care funds to Minnesota, citing rampant fraud schemes in recent years. The decision, announced by the acting CDC director Jim O'Neill, signals a crackdown on falsified claims and distribution channels.

Payments through the Administration for Children and Families will now require strict verification, including receipts or photographic evidence. A hotline and email have been launched for reporting fraud. These measures follow a sweeping investigation into a $300 million fraud case connected to the nonprofit Feeding Our Future, marking one of the largest COVID-19-related scams in the nation.

Minnesota Governor Tim Walz has pledged zero tolerance for fraud, cooperative action with federal entities, and preemptive strategies against further deceit. Current investigations suggest that up to half of federal funds since 2018 might have been misappropriated. Meanwhile, Rep. Ilhan Omar urges distinguishing individuals' actions from communal blame.

(With inputs from agencies.)