INDUSTRIAL SCALE FRAUD: $400 Million Minnesota Medicaid Scheme Operating Out of Single Building

Another massive Medicaid fraud operation has been uncovered in Minnesota, centered on the Griggs Midway building – a former linen factory allegedly converted into a hub for fraudulent billing. Roughly 400 Medicaid “businesses” operated out of the building, generating about $380 million in taxpayer-funded claims—an average of nearly $1 million per entity—despite the site’s implausible industrial setting. The revelations, made during a visit to Minneapolis, come amid the Trump administration’s broader crackdown on welfare fraud and have triggered fresh congressional scrutiny over how state oversight failed to flag an operation of this scale.

Massive Democrat fraud is standard operating procedure.

BREAKING: Dr. Oz and Jim O’Neill said they discovered a former linen factory in Minnesota that was converted into 400 Medicaid businesses, generating nearly half a billion dollars.

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— Breaking911 (@Breaking911) January 23, 2026

Dr Mehmet Oz flags alleged Minnesota Medicaid fraud as former factory housed 400 businesses

Dr Mehmet Oz said about 400 Medicaid businesses operated there for years generating roughly $380 million in taxpayer funded Medicaid billing

By: Rishab Rathi, MEAWW, January 24, 2026:

MINNEAPOLIS, MINNESOTA: Administrator of the Centers for Medicare & Medicaid Services (CMS) Dr Mehmet Oz, and Jim O’Neill, Deputy Secretary of Health and Human Services, have allegedly uncovered a new massive Medicaid fraud in Minnesota.

The focus is the Griggs Midway building, a former linen factory reportedly converted into hundreds of businesses billing Medicaid. The announcement comes amid the Trump administration’s large-scale crackdown on welfare fraud and has sparked congressional scrutiny over the misuse of taxpayer funds in the state.

HOLLYWOOD, CALIFORNIA – FEBRUARY 11: Dr. Mehmet Oz receives a star on the Hollywood Walk of Fame on
Dr Mehmet Oz receives a star on the Hollywood Walk of Fame on February 11, 2022 in Hollywood, California (JC Olivera/Getty Images)
Dr Mehmet Oz raise allegations of welfare fraud

Dr Oz detailed the unusual nature of the operation, “Behind me is the Griggs Midway building. It looks like a factory because it was a factory. They made cloth back there, converted it to an office building. You’ll notice all those little signs there, and there’s tons of little businesses inside.”

He reported that “roughly 400 Medicaid businesses were started in the building behind me over the last several years. They generated about $380 million of billing that you, the taxpayer, were putting up. That means roughly each business had a million dollars of billing.”

Dr Oz questioned how the businesses could exist in an industrial area, “It’s just not a hospitable place. The question is, how is it possible 400 businesses, billing almost $400 million, were able to thrive here? What did the owner of the business, this building, think was happening inside? Why did no one in the state figure out this was a concern?”

Continued….

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