The Trump administration has cut $129 million in federal benefit payments to Minnesota. Ledgers even claims that this decision has led to a multi-million dollar political battle royale over the claims of fraud in the state’s welfare programs. This decision comes on the heels of heightened detection and enforcement against such actions by federal prosecutors. The FBI has increased its focus on prosecuting mass fraud schemes that are allegedly defrauding federal programs in Minnesota.
Rollins, a top official in the Trump administration, went out on a limb with that recent request. He called on Minnesota Governor Tim Walz and Minneapolis Mayor Jacob Frey to explain how every federal dollar spent from January 20, 2025 to present within the next 30 days. This directive draws attention to a major concern with how federal money is awarded and spent. It first and foremost arrives in response to years of unfolding fraud investigations.
FBI Director Kash Patel announced in December 2025 that the bureau would deploy additional investigative and personnel resources to dismantle fraud schemes linked to Minnesota. This significant commitment extends the precedent we have set with prior investments. Once, we shut down a $250 million fraud scheme that diverted federal food assistance for at-risk kids during the COVID-19 pandemic. That specific case led to 78 indictments and 57 convictions—the make-believe crime was no joke!
To take another example, the Trump administration has targeted Minnesota’s Somali community. These attorneys general claim that it is these communities, rather than the industry, which are engaged in systemic fraudulent behavior. To show you how audacious former President Trump was, take a look at this clip of him expressing his views at an official cabinet meeting. He called Somali migrants “garbage” and asserted that “BILLIONS of Dollars are missing.” Local leaders and advocates have denounced his comments in blistering terms. They claim that this sort of rhetoric does nothing but inflame racial and ethnic divisions.
Action in Minnesota Governor Walz has been public about calling out Trump’s tactics. He fears that the president and his political accomplices are using the present calamity to deeper fracture the state. He even called their actions part of an effort to, in his words, make Minnesota a “colder, meaner place.” In light of the political fallout surrounding these allegations, Walz announced that he would not seek a third term as governor.
Minnesota Attorney General Keith Ellison responded forcefully to Rollins’ request on X, asserting, “I will not allow you to take from Minnesotans in need.” His remarks come amidst growing pushback from state officials. They feel that the “feds” are being unfairly punitive.
Up until now, the Trump administration has pursued an aggressive, enforcement-heavy approach to immigration. As of November 2025, it has ended legal protections against discrimination for Somali migrants in Minnesota. The one-time president alleged that Somali gangs are prowling the streets and bringing further chaos to the state’s urban areas. Many local leaders argue that these statements perpetuate harmful stereotypes and do not reflect the reality of the communities involved.
According to federal prosecutors, it is estimated that as much as $9 billion has been stolen in these schemes. These schemes are supposedly tied to Minnesota’s Somali community. This eye-popping number is an unfortunate reminder of the magnitude of fraud worries that have led to heightened federal oversight.
As the legal investigations continue and political backlash builds, Minnesota stands at an important moment. The state’s leadership is rising to the challenges of these destructive federal actions. In doing so, they face overwhelming accusations that threaten to erode public perception and trust in local governance.