Conservative analyst says Minnesota government fraud might exceed $600M

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Fighting fraud

Researcher Bill Glahn, with the Center of the American Experiment, told a Minnesota House committee on Monday there’s been an estimated $611 million in government fraud and waste since 2019.

“$611 million dollars. So, $611 million is the total, and I have 27 incidents that I have cataloged,” said Glahn.

Speaking to the Fraud Prevention and State Agency Oversight Policy Committee, Glahn pointed to the recent $250 million dollar child nutrition fraud case involving the non-profit Feeding Our Future, where 70 people have been charged by the U.S. Attorney’s Office, as an example of fraud that could be higher than first realized. In that case, two other non-profits were kicked out of the meal program, but no one from those organizations was charged with a crime.

“I think the total number for the food fraud is probably double that — around $500 million, in the Feeding Our Future case,” said Glahn. “If I leave here with one message behind this morning, is the key mission should be to stop the money going out the door to begin with.”

Glahn told the committee he favored the establishment of an independent Inspector General who has the authority to investigate fraud and waste in every state agency in the state.

Rep. Dave Pinto(DFL-St. Paul), the DFL leader of the committee, criticized The Center of the American Experiment as a partisan, conservative non-profit.

“He then provided statistics that have been debunked and cherrypicked, in order to achieve a political agenda,” Pinto said of Glahn.

“Preventing and fighting fraud requires the use of real facts and real information,” Pinto added. “Today the committee gave a platform to deceptive information given a Republican-aligned outfit for political gain. That’s the definition of fraud.”

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There are a couple of bills in the legislature right now that create an Office of Inspector General, but no votes have been taken yet on those proposals.