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Walz, Minnesota Officials Question U.S. Attorney’s Office Claim that Fraud Could Reach $9 Billion

Federal prosecutors say up to half of $18 billion billed in 14 Medicaid programs since 2018 may be fraudulent, while state officials dispute the $9 billion estimate.

  • At a Thursday news conference, federal prosecutors said some $9 billion of Minnesota Medicaid claims since 2018 may be fraudulent, tied to 14 "high-risk" programs that billed $18 billion.
  • Investigators say rapid program growth and red flags explain the probe, citing explosive payment growth, shell-provider companies and fraud tourism, while building on the Feeding Our Future fraud investigation.
  • On Friday, Gov. Tim Walz, Governor of Minnesota, and Minnesota Department of Human Services officials said they lack evidence for $9 billion fraud and see only tens of millions confirmed.
  • Federal prosecutors followed with new indictments and defendants as the U.S. Attorney's Office expanded probes, while U.S. House Oversight Committee Chair Rep. James Comer sent Dec. 22 letters requesting briefings and records.
  • Amid partisan fights, officials noted that Gov. Tim Walz, Governor of Minnesota called the $9 billion figure "speculation" while agreeing in July that fraud could exceed $1 billion and ordering third-party audits and a director of program integrity.
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Fox News broke the news in New York, United States on Thursday, December 18, 2025.
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