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Dr. Oz Warns Walz to Address Alleged Somali Medicaid Fraud or Lose Federal Funding: ‘We’ll Stop Paying’

CMS demands weekly anti-fraud updates and provider verifications after Minnesota Medicaid fraud allegedly cost taxpayers over $1 billion, with 60 days given to comply or face federal action.

  • Recently, CMS administrator Dr Mehmet Oz gave Minnesota a 60-day ultimatum to address alleged Medicaid fraud, warning federal intervention and funding cuts if unsatisfied.
  • Allegations focus on exploitation of specific Minnesota Medicaid initiatives, with federal officials saying scammers targeted Housing Stabilization Services and Early Intensive Developmental and Behavioral Intervention, stealing over $1 billion, Oz said.
  • CMS also froze enrollment in several abused programs to halt ongoing fraud, demanding Walz send weekly updates, verify providers, and submit a corrective plan within six months.
  • CMS staff urged investigations of officials 'from the governor on down' and warned these actions risk disrupting services for disabled homeless individuals and families with autistic children.
  • Federal warnings arrive alongside broader investigations and public pressure as President Donald Trump recently targeted Minnesota fraud, which Oz linked to Somali networks and criticized Governor Walz's priorities.
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Twitchy broke the news in United States on Saturday, December 6, 2025.
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