Daycare scandal deepens as unearthed video shows parents ‘pretending to drop kids off before they all leave just MINUTES later’

The ongoing daycare fraud scandal in Minnesota dates back a decade as an unearthed 2015 video appeared to show parents pretending to drop their children off at an alleged phony center. 

The bombshell footage came to light as FBI Director Kash Patel revealed the bureau is cracking down on potential abuse after one daycare was accused of stealing $4 million in taxpayer’s money.

The video from Hennepin County – Minnesota’s largest county by population – was recorded in March 2015, then uncovered in 2018 and has now resurfaced. It shows parents appearing to bring their kids in, purportedly to spend the day, before they all immediately leave.

When the case was prosecuted by the county, it was discovered that the scam allowed providers to claim reimbursement funds despite never providing any actual care, Fox News reported. 

The center would even claim reimbursement for days when parents didn’t bother to put on a show and fake bringing their kids over.  

A local Fox station in Minnesota even showed footage of an alleged kickback payment given to someone who took part. 

At least four different centers took part in the scheme which stole $1 million out of the government’s coffers. 

‘They were billing too much, they went up to high. It’s hard to imagine they were serving that many people,’ said then-Hennepin County attorney Mike Freeman.

‘Frankly if you’re going to cheat, cheat little, because if you cheat big you’re going to get caught.’ 

Four people were arrested as part of the scheme, with Abdirizak Ahmed Gayre and Ibrahim Awgab Osman pleading guilty to felony theft by swindle pursuant to a plea agreement, Fox9 reported.

As part of the agreement, the state reportedly dismissed other charges against them and agreed not to pursue further charges against other defendants. 

It’s unclear if there’s any connection between the 2010s scandals and the one currently embroiling Minnesota leaders. 

The new alleged daycare fraud reports were the latest in a series of misuses of public money uncovered in Minnesota, including a massive Covid-era scheme involving the federally funded nonprofit group Feeding Our Future.

At least 78 people, 72 of whom are Somali, have been charged in connection with the illicit plot.

In a lengthy X post on Sunday, Patel said the FBI has long been aware of fraud allegations in the state and threatened action against perpetrators.

He vowed to ‘protect the children’ and warned it was as ‘the tip of a very large iceberg’.

His comments came after independent journalist Nick Shirley shared footage of an apparently empty Minnesota daycare, which reportedly received millions in taxpayer funds.

Footage of the facility, featuring a misspelled sign as ‘Quality Learing Center’, sparked outrage among lawmakers and allegations state authorities allowed the ‘largest fraud in US history’ to go unchecked.  

On Monday, the New York Post reported that staff were seen ‘trucking in’ dozens of children, despite locals admitting they thought the facility had been ‘permanently closed’ because they never saw kids being dropped off.

‘We’ve never seen kids go in there until today. That parking lot is empty all the time, and I was under the impression that place is permanently closed,’ one resident who lives nearby said.

As many as 20 young children and toddlers were seen walking into the facility on Monday morning, prompting Ibrahim Ali, the son of the facility’s owner, to hit back at reports it is usually a ghost town.

‘Do you go to a coffee shop at 11 p.m. and say, “Hey, they’re not working?,”‘ Ali said.

He argued that when Shirley arrived and began filming the near-deserted facility, it had simply not yet opened for the day.

On Sunday, Patel announced that the FBI had already ‘surged personnel and investigative resources to Minnesota,’ even before the alleged daycare fraud came to light.

‘The FBI is aware of recent social media reports in Minnesota,’ Patel wrote, claiming that the bureau has moving to ‘dismantle large-scale fraud schemes exploiting federal programs.’

‘Fraud that steals from taxpayers and robs vulnerable children will remain a top FBI priority in Minnesota and nationwide.

In his announcement, Patel emphasized that the FBI has been aggressively targeting a massive fraud network that stole Covid-era food scheme.

‘The FBI has toppled a $250 million fraud network that targeted vulnerable children and exposed a ‘large-scale money laundering’ operation,’ Patel said.

‘The investigation exposed sham vendors, shell companies and large-scale money laundering tied to the Feeding Our Future network,’ he wrote. ‘The case led to 78 indictments and 57 convictions.’

Prosecutors alleged that most of the meals intended for low-income children during the pandemic never existed, and instead, the taxpayer money went to luxury homes, cars, jewelry and real estate abroad. 

Some defendants – including Abdiwahab Ahmed Mohamud, Ahmed Ali, Hussein Farah, Abdullahe Nur Jesow, Asha Farhan Hassan, Ousman Camara and Abdirashid Bixi Dool – faced charges ranging from wire fraud to conspiracy. 

‘These criminals didn’t just engage in historic fraud, but tried to subvert justice as well,’ Patel wrote.

He said Abdimajid Mohamed Nur and others tried to bribe a juror with $120,000, pleaded guilty, and were then sentenced to 10 years in prison and nearly $48 million in restitution in related cases. 

‘The FBI believes this is just the tip of a very large iceberg,’ Patel said. ‘We will continue to follow the money and protect children, and this investigation very much remains ongoing.’

‘Furthermore, many are also being referred to immigrations officials for possible further denaturalization and deportation proceedings where eligible,’ he added. 

Additionally, a campaign staffer for Ilhan Omar, a congresswoman of Somali origin who has represented Minnesota’s 5th district since 2019, claimed he served 5,000 meals a day under fake food site Advance Athletic Development.

He instead pocketed millions and pleaded guilty to fraud in August of this year. 

On Omar’s 2018 and 2020 campaigns, he acted as an ‘enforcer,’ managing a high-intensity voter mobilization effort in Minneapolis’ Somali community. 

Patel’s announcement followed outcry from powerful figures over rampant Minnesota fraud that had seemingly slipped past federal agents without repercussions. 

‘Fraud is easy to find – if you’re willing to look for it,’ Gubernatorial candidate Lisa Demuth said. 

‘Many of these seemingly vacant businesses have been cited by the Walz admin for licensing violations which should have made it easy to catch and stop millions from being stolen.’

Elon Musk also waded into the controversy, saying that once more Americans find out about the alleged fraud, they ‘will be horrified at what your tax money is doing’.

Vice President JD Vance addressed the apparent scandal in Minnesota, though didn’t name the daycare center specifically.

‘What’s happening in Minnesota is a microcosm of the immigration fraud in our system. Politicians like it because they get power. Welfare cheats like it because they get rich,’ Vance wrote in a social media post on Saturday.

‘But it’s a zero sum game, and they’re stealing both money and political power from Minnesotans,’ he added. 

This comes after it was alleged that Minnesota’s government lost at least $1 billion in public funds intended for feeding children, helping the homeless and providing autism therapy. 

Federal prosecutors said so-called providers submitted false invoices for services never delivered.

Over the past five years, people mostly from Somali communities grew rich running companies that charged the state millions for social services that never happened, according to The New York Times.

President Donald Trump criticized Governor Tim Walz for allowing Minnesota to become ‘a hub of fraudulent money laundering activity’.

He said the perpetrators should be ‘sent back to where they came from.’

Later, he said he would be revoking the temporary protected status of the roughly 700 Somali nationals who have it, which prevents them from being deported.

The Minnesota governor claimed he was taking strong action against the alleged fraud.

‘The governor has worked for years to crack down on fraud and ask the state legislature for more authority to take aggressive action,’ a spokesperson for Walz told Fox News. 

‘He has strengthened oversight – including launching investigations into these specific facilities, one of which was already closed.’ 

Walz also ‘hired an outside firm to audit payments to high-risk programs, shut down the Housing Stabilization Services program entirely, announced a new statewide program integrity director, and supported criminal prosecutions.’ 

The governor has been inundated with criticism from concerned Americans questioning how he intends to respond to allegations of widespread fraud within the state. 

As of now, the Quality Learning Center has not been officially accused of wrongdoing by authorities. 

But according to Shirley, a pro-Trump influencer it pocketed $1.9 million from Minnesota’s Child Care Assistance Program (CCAP) in 2025 and $4 million in total. 

Local news station KSTP reached a different conclusion after investigating the facility in January.

The station reported it received $7.8 million in federal dollars since 2019, though it isn’t clear whether this figure includes funding from sources other than CCAP.