Front Companies? Bombshell Report Exposes Network Of Somali-Linked “Empty” Daycares Across Minnesota

Left-wing Governor Tim Walz, under intensifying federal pressure, faces a widening Somali-linked fraud scandal in Minnesota. Federal prosecutors state that the scheme currently totals at least $9 billion, with the final figure potentially much higher. Recent reporting by Ryan Thorpe and Christopher F. Rufo alleges that some welfare funds were funneled into an overseas terrorist organization. Now, a bombshell video from a citizen journalist suggests the fraud extends beyond Medicaid into the state’s daycare system.

A 42-minute bombshell video by journalist Nick Shirley and a local private investigator documents an on-the-ground investigation in Minneapolis that alleges massive, ongoing fraud in government-funded social services. The main focus is on Somali-owned businesses in child daycare, adult/autism care, home healthcare, and non-emergency medical transportation programs that draw from the taxpayer-funded Child Care Assistance Program.

Shirley claims his team uncovered more than $110 million in questionable payments to Somali-owned businesses on just the first day of their investigation, as part of a broader welfare fraud scandal totaling upwards of $9 billion.

Shirley and the investigator visited several childcare facilities that had no visible children, toys, or activities during peak hours. Staff could not answer basic questions about rates or licenses. Both were denied entry to the reception areas of these facilities:

• Quality Learing Center: Licensed for 99 children; received $4 million over two years. Sign misspells “learning” as “learing”; no children visible, doors locked, no playground.

• Future Leaders Early Learning Center: Licensed for 90 children; received $6.67 million over two years. Facility empty; staff evasive when asked about child numbers.

• Mako Child Care and Mini Child Care Center (combined): Licensed for 120 children; received $1.3M (2020), $987K (2021), $714K (2022), $1.6M (2025). No children observed.

• ABC Learning Center: Licensed for 40 children; nearly $3 million over three years. Blacked-out windows, no activity.

• Sweet Angel Child Care: Licensed for 74 children; $1.26 million in 2025 alone.

Millions of taxpayer dollars went to one daycare company that could not even spell “learning” correctly…

4 million dollars of hard earned tax dollars going to and an education center that can’t even spell learning correctly.

Care to explain this one, @tim_walz? https://t.co/mGhS5IP4km

— Tom Emmer (@tomemmer) December 26, 2025

Shirley, accompanied by an investigator, also conducted site visits to adult day care and autism centers, identifying indicators consistent with the use of front companies.

If accurate, Shirley’s findings indicate a possible coordinated network of Somali-owned front companies structured to maximize extraction from taxpayer programs while minimizing detection, accountability, and the recovery of funds as exposure increases.

Maybe this is why they fought DOGE so hard? https://t.co/f6dHP1Vbyq

— Shaun Maguire (@shaunmmaguire) December 27, 2025

Diving into the corporate records of Future Leaders Early Learning Center reveals a familiar pattern. Fahima Mahamud is listed as an officer of the learning center and of multiple other companies, including assisted living and autism centers. The childcare center is also linked to Sharmarke Ali, who is connected to another childcare center as well as a home healthcare company.

The citizen journalist is doing more journalism than MSNBC, CNN, and 60 Minutes combined have done in years, as those outlets often operate more like PR firms than news organizations.

Watch 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… pic.twitter.com/E3Penx2o7a

— Nick shirley (@nickshirleyy) December 26, 2025

Read more… 

• Minnesota Gets New Fraud Czar Amid Somali Welfare Scandal 

• “It’s Unbelievable”: Taxpayers’ Money Still Flowing To Indicted Fraud Suspect: Minnesota Lawmaker

• “Clean Up Your Act”: Nearly 100 Minnesota Mayors Speak Out Against ‘Fraud, Unchecked Spending’

• Trump Ends TPS For Somalis In Minnesota After Explosive Report Reveals Welfare Fraud Network Funding Overseas Terror

Where is all this taxpayer money going? Perhaps Rufo is correct.