Two Minnesota women stand accused of pulling off one of the state’s most outrageous welfare scams in years, pocketing over $21 million meant for children with autism.
Homeland Security agents arrested Shamso Ahmed Hassan, 55, and Hanaan Mursal Yusuf, 25, both of Brooklyn Park, after investigators said they masterminded [1] a multi‑year scheme to bleed dry Minnesota’s Medicaid‑funded autism program.
NEW | MINNESOTA FRAUD UPDATE: Two Somali women in MN, Shamso Ahmed Hassan, 55, and Hanaan Mursal Yusuf, 25, have been charged with fraudulently diverting $21 million in aid intended for children with autism.
Prosecutors allege the pair fabricated services, paid parents to… pic.twitter.com/R22voytHPN [2]
— Brandon Tatum (@TheOfficerTatum) May 28, 2026 [3]
Federal prosecutors allege the pair filed nearly $47 million in bogus claims under the state’s Early Intensive Developmental and Behavioral Intervention program, known as EIDBI.
The women allegedly raked in $21.1 million in real money from fake services that were never provided to actual children.
A Department of Homeland Security statement made the scope of the crime crystal clear.
“These Minnesota residents have been accused of stealing more than $21 million from the American taxpayer,” said Acting Assistant Secretary Lauren Bis.
She added the women face conspiracy charges, eight counts of health care fraud, and two counts of money laundering.
The scam began during the pandemic and lasted for years before agents finally shut it down.
Both women are now in federal custody. Hassan is a naturalized citizen from Somalia, while Yusuf was born in the United States.
They have entered not guilty pleas, but investigators say the evidence is overwhelming, including records of payments, shell company transfers, and funds wired overseas.
Hassan reportedly operated as a hidden owner of two clinics, Smart Therapy Center and Star Autism Center.
Minnesota law requires ownership disclosures for Medicaid providers, but Hassan concealed her role to continue submitting claims under the radar.
Yusuf was her trusted associate, working at the clinics, submitting fraudulent paperwork, and handling operations on the ground.
The indictment describes a wide web of kickbacks and deceptions.
The women paid parents to enroll their children under the program, even if those children had no autism diagnosis, and billed for sessions that never occurred.
Prosecutors say they disguised these kickbacks through payments to relatives and employees, making it appear the money was legitimate clinic expenses.
Some of the stolen cash was routed to overseas accounts.
This latest case appears to be part of an entrenched pattern of Medicaid and welfare fraud that has plagued Minnesota’s Somali community under Democrat rule.
The state’s lax oversight and Democrat-friendly social service expansion have created an environment ripe for abuse.
Fraudulent daycare operations, inflated housing subsidies, and the infamous Feeding Our Future scandal have collectively siphoned hundreds of millions of taxpayer dollars.
Last year, Asha Farhan Hassan, a relative of one of the current defendants, pleaded guilty to stealing $14 million from the same EIDBI autism program.
She was also tied to the Feeding Our Future corruption network, which looted more than $250 million earmarked for child nutrition programs.
It is all starting to look less like isolated incidents and more like an organized system of theft that thrives under weak state enforcement.
While state officials and Democrat politicians offer empty promises to investigate, the federal government has had to step in repeatedly to clean up the mess.
Homeland Security has expanded its focus on Minnesota after discovering widespread Medicaid fraud between 2020 and 2024, an era when social support programs ballooned under pandemic relief spending.
The result has been a national embarrassment for the state.
Governor Tim Walz somehow finds a way to blame ‘White men’ instead of the Somali community.
WATCH:
Critics argue that Minnesota’s welfare programs have long been treated as a personal ATM for politically protected networks.
The failures of oversight boards, combined with a politically correct fear of holding anyone accountable, have cost taxpayers billions while harming families genuinely in need.
What is most tragic is that vulnerable children have been robbed of vital developmental services.
The EIDBI program exists to help autistic children gain basic life skills and independence.
Every fraudulent claim drains the lifeblood from the program and leaves legitimate children on waiting lists without the help they deserve.
Federal prosecutors said the DHS and ICE task forces are pursuing every dollar stolen.
The investigation is ongoing, and agents believe additional individuals connected to the network may soon face charges.
With evidence showing payments to relatives, multiple unregistered companies, and overseas money transfers, investigators describe the operation as extensive and deliberate.
Veteran law enforcement officials familiar with the case call it an example of how pandemic-era welfare expansions opened the door to large-scale fraud that persists today.
Future accountability will depend on whether Minnesota’s government finally takes its fiscal responsibilities seriously or continues to allow radical spending with virtually no safeguards.
As for Hassan and Yusuf, their attempt to exploit the system might finally bring long-overdue scrutiny to a state bureaucracy that has played fast and loose with other people’s money.
The American taxpayer deserves better, and those who steal from children should face every consequence the law allows.