You steal $300 million from hungry children. You get indicted. You await trial.

And you keep getting paid.

That’s what’s happening in Minnesota right now. A defendant in the Feeding Our Future fraud scandal — facing trial next April — continues to receive millions of dollars through the state’s assisted living program. His wife just purchased a fourth home to add to their facility network. The state gave her a license for it in September.

State Rep. Kristin Robbins uncovered this at a committee hearing Wednesday. Her reaction was the same as yours:

“Why this hasn’t caught their attention and why they’re allowing taxpayer money to still go to this guy is unbelievable.”

$49 Million From State Programs — And Counting

Let’s talk about the scale here.

The individual in question has received more than $49 million from various Minnesota state programs between 2019 and 2024.

Forty-nine million dollars.

One of his facilities pulled in $2.3 million through the assisted living program in Fiscal Year 2025 alone. Another property has already collected $132,000 in FY 2026.

He’s been indicted for stealing from children’s nutrition programs. And the money keeps flowing.

The LLC That Was Indicted — Got a New License This Year

Here’s a detail that will make your head explode.

One of the properties tied to this defendant’s facility was purchased through the same LLC that was indicted for money laundering.

That LLC got a new operating license earlier this year.

Indicted for money laundering. New license issued.

What does it take to actually get cut off from the gravy train in Minnesota?

It’s Not Just One Bad Actor

Robbins found this is a pattern, not an exception.

Other individuals continue receiving state payments through assisted living programs despite having reimbursements cut off in separate programs for billing services that weren’t provided.

One example: A real estate agent involved in purchasing assisted living facilities also owned a business in the Integrated Community Supports program. After legislative hearings exposed improper billing, payments to that business were halted.

But the same person keeps getting paid through assisted living programs.

Cut off from one program for fraud? Just collect from another.

“A Web of Individuals With Overlapping Business Relationships”

Robbins described what her committee found as a “web” of individuals with overlapping business relationships and ownership interests.

The same people. The same families. The same networks. Running multiple businesses across multiple state programs.

When one gets flagged, another keeps operating. When one person gets indicted, their spouse opens a new facility. When one LLC gets caught, a different LLC takes over.

The system isn’t designed to catch this. And Tim Walz isn’t interested in fixing it.

45.9% Growth in One Year — Way Above Other Programs

Here’s a red flag the size of Minnesota:

Payments for customized living services in assisted living facilities grew by 45.9% in 2020.

That growth rate “far outpaced” growth in average monthly payments across other waiver programs.

When one program’s payments explode compared to similar programs, that’s a sign something is wrong. Either demand spiked dramatically (it didn’t) or fraud is rampant (it is).

The Department of Human Services just announced a two-year moratorium on new adult day service licenses due to a separate kickback scheme investigation. They found a 43% increase in capacity over the past decade while the number of recipients grew by just 7%.

Supply grew six times faster than demand. That’s not market dynamics. That’s fraud.

No Moratorium on Assisted Living — Despite the Evidence

DHS put a moratorium on adult day services.

They haven’t done the same for assisted living — despite Robbins’ findings that indicted defendants are still collecting millions through that program.

Why not?

Who benefits from keeping those payments flowing?

“Basic Internal Controls” — That Don’t Exist

Robbins made a point that anyone in business would understand:

“If someone’s having a problem in one of their businesses, maybe you go look at all the other associated businesses with that person. It’s a basic internal control.”

Basic. Internal. Control.

The kind of thing any competent organization does automatically.

Minnesota’s welfare system doesn’t do it. You can get indicted for fraud in one program and keep collecting from another. Your wife can open new facilities while you await trial.

There’s no cross-checking. No pattern recognition. No basic internal controls.

It’s almost like the system was designed to be exploited.

The DHS Response Is Insulting

DHS Inspector General James Clark claims they’re on top of it:

“We are not allowing criminally indicted defendants who have already defrauded Minnesota taxpayers to continue to defraud us.”

Really? Because Robbins just documented exactly that happening.

An indicted defendant. Still receiving payments. Through facilities owned by him and his wife. With new licenses issued after the indictment.

Either Clark doesn’t know what’s happening in his own agency, or he’s lying. Neither option is acceptable.

Over $1 Billion in Total Fraud — And Growing

The Feeding Our Future scandal — $300 million stolen from children’s nutrition programs — is just one piece.

Federal prosecutors also allege taxpayer dollars were looted from Housing Stabilization Services and autism treatment programs.

Total potential losses? Past $1 billion.

Over a billion dollars stolen from Minnesota taxpayers. To buy resorts in Kenya, apartments in Nairobi, land in Turkey, culinary school in Ohio, mansions in Minneapolis, and luxury cars.

Your tax dollars. Their lifestyle.

“Tim Walz Has Not Fired Anyone”

Robbins placed blame exactly where it belongs:

“This continues to happen in program after program, and [Walz] has not fired anyone at the agencies. He’s the executive, he’s in charge of these agencies, and he continues to turn a blind eye and not take any action.”

A billion dollars in fraud. Multiple programs compromised. Indicted defendants still collecting payments.

Zero accountability. Zero firings. Zero consequences.

Walz’s office didn’t respond to requests for comment. Of course they didn’t.

“Minnesotans Work Hard for Their Money”

Robbins summed up what every taxpayer feels:

“Minnesotans work hard for their money, and they are furious that their money has been used to buy a resort in Kenya, an apartment in Nairobi, land in Turkey, culinary school in Ohio, mansions in Minneapolis, and luxury cars. People are completely fed up.”

Fed up doesn’t begin to describe it.

You work. You pay taxes. Your government takes your money and hands it to criminals. Those criminals buy mansions while you struggle with grocery bills.

And when they get caught, the payments keep coming anyway.

The Findings Go to the U.S. Attorney Thursday

Robbins said she’s turning her findings over to the U.S. Attorney for further investigation.

Good. Because clearly the state of Minnesota can’t — or won’t — police itself.

Federal investigators already brought the Feeding Our Future indictments. Maybe they need to take over completely.

Minnesota’s welfare system isn’t broken. It’s functioning exactly as designed — to enrich criminals while politicians look the other way.

Tim Walz has made his choice. He’s chosen inaction. He’s chosen to protect the system over the taxpayers.

Now it’s up to federal prosecutors to deliver the accountability Minnesota’s governor refuses to provide.