Fraud in Minnesota’s social services system has reached $9 billion under Democrat Tim Walz

As details of the widespread fraud in Minnesota’s social services flooded social media over the Christmas holidays, it was hard to miss the difference between the reactions of Republicans and Democrats. While Republicans are outraged, Democrats are downplaying and denying the existence of a problem.

With each new revelation of systemic fraud against the American taxpayer, we see the same amount. Fraud protection has been deliberately bypassed in pursuit of progressive political agendas. Whether through incompetence or design, democratic policies have turned the treasury into a mindless bank for fraudsters.

American taxpayers have been the target of obesity. But the industry-wide level of fraud uncovered in the past year comes from schemes clearly designed with obvious harm that appear to be designed to be exploited.

The magnitude of the theft is staggering. In Minnesota’s Medicaid and social services programs under Democratic Gov. Tim Walz, an estimated $9 billion or more has been stolen — possibly a fraction of the $18 billion that was administered. Politicians have abandoned audits, ignored the bad guys and relaxed certification rules in favor of share-based distributions, effectively inviting “fake tourists” from outside the country to set up shell companies.

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Minnesota’s Feeding Our Future scam alone saw $250 million disappear into fake food programs for non-existent children, with money earned overseas or distributed on luxury items. That’s one situation.

At the federal level, the COVID-19 relief bonanza under former President Joe Biden’s $1.9 trillion America’s Rescue Plan fueled fraud at obscene levels, with an estimated $420 million in waste, fraud and improper payments — far surpassing Trump-era emissions. Programs such as expanded unemployment insurance and PPP loans saw billions claimed by dead people, duplicate filers or fake businesses, as ID verification was waived and expedited issuance framed as equity measures for urban and minority voters.

Democrats in Congress rejected the protections proposed by Republicans, saying they would delay aid to those who need it – effectively creating a trillion-dollar honeypot that attracts global fraudsters.

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Nowhere is the Democratic playbook for promoting fraud more evident than the Biden-Harris administration’s immigration policies, which have dismantled core protections and turned the asylum system into a magnet for fraudulent claims and criminal exploitation.

By rolling back Trump-era measures like the Stay in Mexico policy and expanding catch-and-release procedures, Democrats are effectively reducing vetting requirements, allowing millions to enter without vetting — often just a notice that will emerge years later amid massive backlogs. This creates a perverse incentive: economic migrants and groups can play the game with stories of false persecution, knowing that weak credible fear levels and abandoned biometric tests can speed up their release to the US, where they can work illegally or disappear.

The result? Asylum grant rates fell from 51% in early 2024 to 19% in August 2025 as fraud filled the courts, with critics pointing to deliberate design flaws that prioritized speedy entry over security to appease progressive bases and increase voter turnout.

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Democrats seem to see fraud as a cost of doing business. As Minnesota Democratic state representative Steve Elkins explained during a 2025 hearing on fraud prevention, “It’s really impossible to eliminate all fraud unless you spend more money trying to eliminate fraud than there is fraud. …

While corruption and waste have long been common sins in Washington, the scale and innovation of looting under Democratic leadership — especially in the post-2020 era — is unprecedented.

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Democrats in Congress rejected the protections proposed by Republicans, saying they would delay aid to those who need it – effectively creating a trillion-dollar honeypot that attracts global fraudsters.

Walz’s administration ignored naysayers and resisted reform, turning what was supposed to be targeted aid into an open invitation to organized crime — much of it linked to the immigrant networks that make up Democratic voting blocs. This “innovation” in promoting fraud has extended beyond COVID, affecting autism services and home health billing, with new charges still emerging. It’s no coincidence that Walz avoided re-election in the fall; the real culprits are the policy makers who created the system so contemptuously that they asked to be robbed.

Republicans are not to blame, but the data shows that this was not “both sides” equally – the Democratic-led expansion of welfare, aid and fundraising created gaps on a scale that exceeds historical examples.

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The innovation here lies in scale and design: Democratic policies equip residual priorities like equity and speed to create workable systems, looting billions while building voter loyalty through unchecked spending. Extensive analysis, including OIG reports and heritage databases, shows increased fraud and Democratic expansion of welfare and aid, not equally across groups.

The real crimes are not just fraudsters; they are the architects in Washington who build these waste machines. As the DOGE dismantled counterfeit networks and reversed funds, the lesson was stark: Real reform means designing fraud-proof systems from the start, not as an afterthought. Until then, the treasury remains a target – not from both parties equally, but from those who invent new ways to raid it under the guise of good intentions.

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