Walz Drops Out Of Governor’s Race Amid Somali Fraud Scandal

Update (0950ET):

The Wall Street Journal has confirmed our earlier report that left-wing Minnesota Gov. Tim Walz, embattled by alleged Somali-linked welfare fraud in his state, has ended his bid for a third term.

“As I reflected on this moment with my family and my team over the holidays, I came to the conclusion that I can’t give a political campaign my all.”

“Every minute I spend defending my own political interests would be a minute I can’t spend defending the people of Minnesota against the criminals who prey on our generosity and the cynics who prey on our differences.”

“So I’ve decided to step out of the race and let others worry about the election while I focus on the work.”

Minnesota has to come first – always.

Today, I’m proud of the work we’ve done to make Minnesota the best place to live and raise kids.

I’ve decided to step out of the race and let others worry about the election while I focus on the work. pic.twitter.com/AYbvcOzyPI

— Governor Tim Walz (@GovTimWalz) January 5, 2026

The mere fact that Walz is not seeking a third term is optically damaging for Democrats, as it effectively amounts to an admission that the Somali-linked welfare fraud is very real, despite Democrats labeling anyone who investigated or reported on it as “racists.” This is also terrible news for MSM outlets that attempted to downplay the investigations.

Over the weekend, President Donald Trump and Elon Musk reportedly had a “lovely dinner,” suggesting that Musk could return to government to clean up corruption not just in Washington but also to unleash a new era of DOGE-style efforts focused on state-level fraud.

As we’ve noted, the Somali-linked Minneapolis fraud has shifted the sentiment of Americans to be more receptive towards DOGE-like efforts resurfacing, as fraud schemes being unveiled are absolutely insane, such as the report that some of the taxpayer funds in Minneapolis ended up in the hands of overseas terrorists.

Axios noted, “Democrats have won every statewide office in Minnesota since 2006, and most political forecasts continue to rate next year’s race in their favor.”  

Last month, longtime Trump loyalist and MyPillow CEO Mike Lindell announced that he is running for governor of Minnesota.

“I want you to know that I will stand for you as the next governor of the state of Minnesota,” Lindell said.

Lindell also said, “I will stand for you against the rampant fraud under Governor Walz; I will stand with you against crime that threatens the safety of you and your family… I’ll stand for you against unnecessary regulation that strangles the entrepreneurial spirit.”  

Musk is right. Let’s start with the flag. 

Put the flag of Minnesota back https://t.co/rURLQjJb3l

— Elon Musk (@elonmusk) January 5, 2026

Adios Walz. 

And so we bid adieu or whatever they say in Somali to Traitor Tim https://t.co/TWKzJyUzyH

— Elon Musk (@elonmusk) January 5, 2026

Terrible optics for Democrats. 

*   *   * 

A Minnesota-based political analyst reported late Sunday night on X that embattled Gov. Tim Walz is expected to make a major announcement Monday morning regarding the future of his political career, as national scrutiny intensifies over an alleged multi-billion-dollar Somali-linked welfare fraud scheme involving daycare centers and autism clinics in the state.

“BREAKING: Sources: Gov. Tim Walz will make an announcement about his political future Monday. He’s likely to drop out of the 2026 mngov race,” Minnesota political analyst Blois Olson wrote on X.

BREAKING: Sources: @govtimwalz will make announcement about his political future Mon. He’s likely to drop out of the 2026 #mngov race.

He met w/ @SenAmyKlobuchar on Sun. Full analysis in tmrw https://t.co/4zJJytH4Aw + live on @wccoradio at 6:20AM w/ @vsawkar

— Blois Olson (@bloisolson) January 5, 2026

Olson has been a political analyst and longtime contributor to WCCO Radio in the Twin Cities area, making him a seasoned political observer who appears to have some inside information on Walz’s likely decision later this morning.

Local TV station KARE 11 reports that Walz plans to hold a press briefing at 11:00 a.m. local time. However, the outlet noted that Walz’s office has not confirmed the briefing’s topic.

Hamline University political science professor David Schultz told the outlet that Walz faces a massive uphill battle in winning a third term.

“It’s possible, but it’s going to be very difficult,” Schultz said, adding that no Minnesota governor has managed to secure a third term.

The timing of Walz’s news briefing comes as the nation has been shocked by the alleged Somali-linked welfare fraud that has occurred under leftist Walz and the Democratic Party in the state.

In 2021, Tim Walz awarded Ayan Abukar the “Outstanding Refugee Award.”

In 2023, Abukar was INDICTED for fraud.

And yet, Walz still wants to blame President Trump for the massive fraud scheme in Minnesota. pic.twitter.com/wXmpBRllwx

— Christian Collins (@CollinsforTX) January 2, 2026

Assistant U.S. Attorney Joe Thompson said last month that he believes the total amount defrauded from 14 Medicaid programs in Minnesota could exceed $9 billion.  

“What we see in Minnesota is not a handful of bad actors committing crimes,” Thompson told reporters. “It’s a staggering industrial-scale fraud. It’s swamping Minnesota and calling into question everything we know about our state.”

Recall that Walz, Rep. Ilhan Omar (D-Minn.), and other Democrats attempted to combat welfare fraud accusations with the “racist” card against anyone investigating daycares and autism clinics in the state. That strategy is no longer working. The era in which the Democratic Party could shield itself behind race to deflect corruption is over.

More importantly, as Christopher Rufo’s reporting indicates, the welfare fraud scheme has escalated into a national security concern, given allegations that some of these taxpayer funds ultimately flowed to a terrorist group in Somalia.

Related:

• MN Lawmaker: Walz Team Threatened Whistleblowers With “Racism” & “Islamophobia” Slurs To Hide Somali Fraud

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

• MSM Panics After Nick Shirley Bombshell As CBS Pledges To Start Reporting Real News

• SBA Suspends 7,000 Minnesota Borrowers Over “Suspected Fraudulent Activity”

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

• HHS Freezes Childcare Payments Nationwide After Bombshell Somali-Linked Daycare Fraud Allegations In Minnesota

Furthermore, shame on the corporate media for downplaying and even attempting to discredit Nick Shirley’s reporting. MSM was exposed as acting more like a PR operation than a news organization, with CBS reportedly panicking as the story went viral.