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For years now, there have been whispers coming out of Minnesota about massive fraud hiding in plain sight. Not small-time scams. Not paperwork errors. We’re talking about an entire ecosystem built around public money, weak oversight, and political protection.
A recent investigative report from Nick Shirley blew the lid off just how deep this all goes. At the center of it all is a web of nonprofits, shell organizations, and state-funded programs that were supposed to help low-income families, but instead, they became a money-printing operation. And one of the biggest engines driving that machine is something most people would never suspect…
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Daycares.
Watch:
MUST WATCH:
Sweet Angel Child Care which receives $1.26M in CCAP funding, their phone numbe goes DIRECTLY to the office of Tim Walz.Prosecute Tim Walz and the fraudsters
pic.twitter.com/O57Lz8e0uq— Nick shirley (@nickshirleyy) December 29, 2025
At this point, it’s fair to say that Nick Shirley, a 23-year-old YouTuber, has done more to blow the lid off the massive Somali daycare fraud in Minnesota than any elected official, mainstream journalist, or law enforcement agency to date. While politicians sat around with their thumbs up their butts and the media tiptoed around the story, Shirley actually went on the ground, followed the money, and exposed what so many people were afraid to say out loud.
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Because of his amazing, mega-viral work, Shirley recently appeared on Fox News to discuss his explosive investigation and respond to Tim Walz, who has brushed off concerns about fraud by accusing critics of racism. What Shirley said next sliced and diced through that typical, lazy left-wing deflection and explained why so many Minnesotans and Americans are so angry.
HOLY CRAP! Nick Shirley just DROPPED THE MIC on Tim Walz after he called anyone “racist” for pointing out Somali fraud
“You’re going to call a white person ‘RACIST’ for calling out FACTS?” 🔥
“Tim wants VOTES. There are entire apartment complexes where white people have been pushed out of these apartment complexes because Somalis have taken over and they’re inside of these towns like Minneapolis – where they can go and go get votes from these people!”
“And if you have 100,000 people that will vote for you because you’re going to enable and let this stuff happen and because you’re going to call white person racist for calling out facts, this is what’s going to happen to a state like Minnesota.”
“Minnesotans, they say Minnesota nice, but they are very upset. And I fully understand why they’re upset because they don’t have a governor who’s actually working for them, that he’s actually working against them!”
🚨 HOLY CRAP! Nick Shirley just DROPPED THE MIC on Tim Walz after he called anyone “racist” for pointing out Somali fraud
“You’re going to call a white person ‘RACIST’ for calling out FACTS?” 🔥
“Tim wants VOTES. There are entire apartment complexes where white people have been… pic.twitter.com/7Tn2fV8UJc
— Eric Daugherty (@EricLDaugh) December 28, 2025
You can watch Nick’s entire bombshell investigative report here:
🚨 Here is the full 42 minutes of my crew and I exposing Minnesota fraud, this might be my most important work yet. We uncovered over $110,000,000 in ONE day. Like it and share it around like wildfire! Its time to hold these corrupt politicians and fraudsters accountable
We ALL work way too hard and pay too much in taxes for this to be happening, the fraud must be stopped.
🚨 Here is the full 42 minutes of my crew and I exposing Minnesota fraud, this might be my most important work yet. We uncovered over $110,000,000 in ONE day. Like it and share it around like wildfire! Its time to hold these corrupt politicians and fraudsters accountable
We ALL… pic.twitter.com/E3Penx2o7a
— Nick shirley (@nickshirleyy) December 26, 2025
A lot of people think Nick deserves an award for this kind of reporting, especially when you remember that mainstream outlets were handed Pulitzers for pushing the now-debunked Russia hoax.
This meme says it all:
Nick Shirley deserves a Pulitzer Prize pic.twitter.com/qmgA0REFVh
— End Wokeness (@EndWokeness) December 27, 2025
The bottom line is this: if you import pirates, you can’t act shocked when you get plundered.
You import 100,000 people from a nation built on piracy and then act surprised when $9 billion is plundered.
— Eric Matheny 🎙️ (@ericmmatheny) December 29, 2025
But sadly, things got even worse.
As far back as 2018, people were already sounding the alarm, saying these so-called “daycare centers” weren’t really about childcare but had become licenses to print money. They talked openly about shares being bought and sold, about public subsidies pouring in, and about everyone knowing exactly what was going on… but nothing happened.
Dems stayed in power, and the fraud exploded.
This was in 2018……
“Sources in the Somali community told Fox 9 it is an open secret that starting a daycare center is a license to make money.”
“The fraud is so widespread they said, that people buy shares of daycare businesses to get a cut of the huge public subsidies that are pouring in.”
NOTHING HAPPENED.
Democrats remained in power. The fraud has gotten worse.
This was in 2018……
“Sources in the Somali community told Fox 9 it is an open secret that starting a daycare center is a license to make money.”
“The fraud is so widespread they said, that people buy shares of daycare businesses to get a cut of the huge public subsidies that…
— Liberty4All (@LibertyUSA37) December 28, 2025
Those alarm bells and warnings should have triggered investigations, audits, and everything else under the sun. But instead, it was brushed aside. And while politicians looked the other way, the fraud morphed into something way more serious and dangerous.
Kristen Mag:
There are 539 childcare centers in Washington state that list Somali as the primary language. Most don’t even give a street address.
I don’t know how many of these are submitting fraudulent claims for state grants and subsidies, but I have a strong hunch the number is not zero.
There are 539 childcare centers in Washington state that list Somali as the primary language. Most don’t even give a street address.
I don’t know how many of these are submitting fraudulent claims for state grants and subsidies, but I have a strong hunch the number is not zero. pic.twitter.com/FoUQiFNqM6
— Kristen Mag (@kristenmag) December 28, 2025
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That’s where Fox 9’s reporting comes into play and backs up Nick’s bombshell investigation.
After months of digging through public records and speaking with government sources who were afraid to go on the record, Fox 9 investigators also uncovered evidence pointing to a staggering amount of fraud inside Minnesota’s childcare assistance programs.
According to their reporting, the suspected “plunder” could be as high as $100 million a year. What’s worse is that sources said that some of the money was likely funneled out of the country to terrorist groups.
For five months, Fox 9 has been investigating what appears to be rampant fraud in a massive state program. This fraud is suspected of costing Minnesota taxpayers as much as $100 million a year. The Fox 9 Investigators reporting is based on public records and nearly a dozen government sources who have direct knowledge of what is happening.
These sources have a deep fear, and there is evidence to support their concerns, that some of that public money is ending up in the hands of terrorists. This story begins at Minneapolis-St. Paul International Airport, where mysterious suitcases filled with cash have become a common carry-on.
On the morning of March 15, Fox 9 chased a tip about a man who was leaving the country. Sources said he took a carry-on bag through security that was packed with $1 million in cash. Travelers can do that, as long as they fill out the proper government forms. Fox 9 learned that these cloak-and-dagger scenarios now happen almost weekly at MSP. The money is usually headed to the Middle East, Dubai and points beyond. Sources said last year alone, more than $100 million in cash left MSP in carry-on luggage.
The national, go-to expert on what is behind these mysterious money transfers is Glen Kerns. “What we were interested in is where it was going,” Kerns said. He is a former Seattle police detective who spent 15 years on the FBI’s joint terrorism task force, until his retirement. “It’s an outright crime, it’s unbelievable,” he said. Kerns tracked millions of dollars in cash that was leaving on flights from Seattle.
It was coming from Hawalas, businesses used to courier money to countries that have no official banking system. Some immigrant communities rely on Hawalas to send funds to help impoverished relatives back home. Kerns discovered some of the money was being funneled to a Hawala in the region of Somalia that is controlled by the al Shabaab terrorist group.
This reads like something out of a crime thriller, but sadly, it’s all too real. As investigators followed the trail, they kept hearing the same explanation over and over again… it all came back to daycare fraud.
When investigators started asking how people on government assistance could afford to move tens of thousands of dollars overseas, the answer they got was simple: welfare fraud and daycare fraud. Oh, and a system that was so easy to exploit, and as a bonus, nobody got punished.
And to make matters worse, Fox 9 reported on this exact problem years earlier. The schemes were already there for everybody to see: fake enrollments, and children checked in and out within minutes. There were entire days billed to the state for kids who never even showed up.
The Fox 9 piece goes on:
“I talked to a couple of sources who had lived in that region and I said, ‘If money is going to this Hawala do you think it is going to al Shabaab?'” said Kerns. “And he said, ‘Oh definitely, that area is controlled by al Shabaab, and they control the Hawala there.’”
He said when the money arrives, whether it was intended for legitimate purposes or not, al Shabaab or other groups demand a cut. As Kerns dug deeper, he found that some of the individuals who were sending out tens of thousands of dollars’ worth of remittance payments happened to be on government assistance in this country. How could they possibly come up with such big bucks to transfer back home?
“We had sources that told us, ‘It’s welfare fraud, it’s all about the daycare,’” said Kerns.
To better understand the connection between daycare fraud and the surge in carry-on cash, you have to look at the history of this crime. Five years ago the Fox 9 Investigators were first to report that daycare fraud was on the rise in Minnesota, exposing how some businesses were gaming the system to steal millions in government subsidies meant to help low-income families with their childcare expenses.
It’s a great way to make some money,” Hennepin County Attorney Mike Freeman said. In order for the scheme to work, the daycare centers need to sign up low income families that qualify for child care assistance funding. Surveillance videos from a case prosecuted by Hennepin County show parents checking their kids into a center, only to leave with them a few minutes later. Sometimes, no children would show up. Either way, the center would bill the state for a full day of childcare.
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It’s pretty clear the system was left wide open and was barely being watched for a reason. Why?
Who else was getting rich off this scam?
These two, perhaps?
SJames Woods summed this entire Somali scam up best.
Yes, they took us for $100 billion (or more), and thanks to spineless Republicans, nothing will be done about it.
And they will laugh all the way to the bank without any repercussions from the eunuchs of the Republican Party. https://t.co/vNJtRLhaWd
— James Woods (@RealJamesWoods) December 28, 2025
Yeah, maybe the Republicans weren’t “eunuchs” after all. Maybe they were in on the fraud too:
But don’t think this is just a Minnesota problem. Filmmaker and independent journalist Mike Cernovich has been digging into daycare fraud in Ohio, and he says what he’s finding there may be even worse.
I'm down the rabbit hole of Ohio childcare centers in Columbus, Ohio, and it's worse than Minnesota. This stuff is everywhere.
— Cernovich (@Cernovich) December 28, 2025
And it’s not just daycares. People are now starting to expose Somali scams involving home healthcare fraud too in Minnesota.
SOMALI SCAMS: Realtors in Minnesota are BLOWING THE WHISTLE on a Somali Scam where they buy up single family homes promising to convert them into “Home Health Care Centers”. There is no oversight or auditing of these scams. WHY ARE SOMALIS ALLOWED TO TAKE THESE HOMES FROM AMERICANS?
🚨 SOMALI SCAMS: Realtors in Minnesota are BLOWING THE WHISTLE on a Somali Scam where they buy up single family homes promising to convert them into “Home Health Care Centers”.
There is no oversight or auditing of these scams.
WHY ARE SOMALIS ALLOWED TO TAKE THESE HOMES FROM… pic.twitter.com/z310ySeWeb
— Publius (@OcrazioCornPop) December 23, 2025
There’s definitely much more to come on this and other explosive Somali fraud stories. Stay tuned.
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