Treasury Secretary Scott Bessent and FBI Director Kash Patel announced Friday that federal agents served 17 search warrants across the Minneapolis area during the week, marking a broad enforcement action focused on suspected Medicaid and social services fraud.

The raids produced four arrests connected to a 26-count indictment, according to a report from KSMP-TV. The federal case centers on allegations that millions of dollars intended for vulnerable people were targeted by fraudulent operations.

Prosecutors said the defendants attempted to siphon more than $41 million from programs established to help people in need. Investigators calculated the actual losses at approximately $21.65 million, a staggering sum diverted from its intended purposes.

Federal agents targeted child care centers, health care providers, and residences belonging to some of the owners. The scope of the warrants placed businesses and private properties under scrutiny as investigators followed the movement of program funds.

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Patel made clear that federal investigators do not intend to ease up after the arrests. “We’re going to continue manhunting fraudsters in every corner of the earth,” Patel declared.

“The FBI is following the money,” he added. “If you steal from the government or American taxpayers, justice will find you.”

The fraudsters thought they could steal from American taxpayers and get away with it. Not anymore.

Yesterday, FBI Minneapolis conducted an operation and arrested 4 alleged Medicaid fraudsters tied to over $41 MILLION in intended fraud and $21.65 MILLION in actual losses. And we’re just getting started. Under @POTUS and @VP, this FBI has delivered in just 21 months: 2,811+ arrests 2,749 indictments $2.3 BILLION+ seized — UP 71% Our Feeding Our Future investigation has resulted in 81 charged, 70 convicted, and over $533 MILLION in combined restitution. And our first-ever Most Wanted Fraudsters List has helped bring 6 fugitives responsible for approximately $2 BILLION in combined losses back to face justice. Thanks to @VP, @SecScottBessent, @TheJusticeDept our agents, forensic accountants, and law enforcement partners. DKP — FBI Director Kash Patel (@FBIDirectorKash) October 30, 2026

Bessent delivered the announcement in St. Cloud and directed sharp criticism at former Minnesota Gov. Tim Walz. He said industrial-scale fraud “shamefully, and perhaps knowingly,” was permitted to expand during Walz’s administration.

The Treasury secretary placed the Minnesota enforcement action within a much larger federal campaign. Bessent said the current administration has identified more than $260 billion in fraud nationwide since January 2025.

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According to Bessent, the administration has also blocked tens of billions of dollars each year from being sent to improper recipients. He described the cases unfolding in Minnesota as part of a broader federal “War on Fraud.”

JUST NOW: Treasury Sec. Scott Bessent just confirmed $175 million in fraud payments STOPPED, over $100M RETURNED to US victims of overseas fraud, and $9B in Treasury contracts have been audited

Over $260 BILLION in total fraud uncovered. We voted for this! The Trump admin is DOGEing at historic rates, keep it going — Eric Daugherty (@EricLDaugh) October 30, 2026

Officials also cited findings from the Financial Crimes Enforcement Network, commonly known as FinCEN. The agency identified more than $8 billion in suspicious foreign-directed wire transfers moving through United States money services businesses between 2021 and 2025.

According to officials, money that had been intended for people requiring care instead flowed into private pockets or left the country. That finding added an international financial dimension to the alleged misuse of domestic assistance programs.

Feisal Elmi of Aspen Associates faces 11 counts of health care fraud. Authorities allege an intended loss of approximately $8 million in the case connected to Elmi and the company.

Jama Mohamod of American Home Health Care faces six counts of health care fraud. The allegations involving Mohamod carry an intended loss totaling $3.27 million.

Faiza Ahmed of Home Sweet Home faces eight counts of health care fraud. Authorities placed the intended loss connected to those allegations at $10 million.

Habiba Mohamed of Smart Therapy faces one count of conspiracy to defraud the United States. That charge is connected to nearly $20 million in alleged “intended fraud and loss.”

The individual allegations describe different defendants, businesses, and claimed losses, but all fall within the 26-count indictment tied to the four arrests. Prosecutors maintain that the combined effort sought to extract more than $41 million from public programs.

Investigators distinguished between the amount allegedly targeted and the amount actually lost. While the intended fraud exceeded $41 million, officials placed the real losses at roughly $21.65 million.

The Minneapolis area searches, four arrests, and detailed fraud counts represent the Minnesota front of the administration’s broader campaign. Patel’s message was blunt: federal investigators are tracing public money and promising consequences for those accused of stealing it.

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