Minnesota Governor Tim Walz, considered a potential running mate for Vice President Kamala Harris, faces renewed scrutiny over a $250 million COVID-19 fraud scandal that has led to 70 charges. Critics argue that the scandal falls under Walz's responsibility as governor, raising concerns about his handling of taxpayer funds.
Minnesota Governor Tim Walz is facing renewed criticism over a $250 million COVID-19 fraud scandal that has sparked concerns about his leadership and oversight. Between 2022 and 2024, 70 people have been charged in connection with the scheme, resulting in a significant loss from a federally funded meal assistance program.
Minnesota Governor Walz's COVID-19 Fraud Scandal Raises Concerns over $250 Million Loss
Billy Glahn, an adjunct policy fellow with the Center of the American Experiment, highlights the alarming scope of the fraud: "At least a quarter billion dollars was stolen by fraudsters." He questions how the state Department of Education (MDE) allowed such a massive amount of funds to be misappropriated.
An OLA report titled "Minnesota Department of Education: Oversight of Feeding Our Future" has raised concerns about MDE's handling of the fraud. Despite MDE officials claiming to have acted promptly, the report suggests that they could have done more to prevent the significant loss. The report cites warning signs that were ignored prior to the pandemic and the onset of the alleged fraud.
Minnesota Governor Walz's COVID-19 Fraud Scandal Raises Concerns over $250 Million Loss
Critics, such as Glahn, argue that the failures highlighted in the OLA report point to systemic issues within MDE and a lack of preparedness for oversight. He places the responsibility ultimately on Walz: "The buck has to stop somewhere," emphasizing Walz's role in appointing key officials at MDE and his accountability for their actions.
The fraud scheme involved misappropriated funds being spent on various items, including luxury goods, travel, and real estate. Glahn expresses concern over the potential political connections involved, noting that some of those indicted and their associates have donated to Democratic candidates.
Minnesota Governor Walz's COVID-19 Fraud Scandal Raises Concerns over $250 Million Loss
In a statement to the Star Tribune, a spokesperson for the governor acknowledged the OLA's work but emphasized that the agency's "suggestions don’t apply because the audits come out years after we’ve resolved an issue" or evaluate programs that no longer exist.
Republican congressional candidate Joe Teirab has criticized Walz's handling of the fraud, highlighting that the total amount lost under his administration exceeds half a billion dollars. He expresses concern over potential nationwide implications if fraud occurred on a similar scale.
Minnesota Governor Walz's COVID-19 Fraud Scandal Raises Concerns over $250 Million Loss
Critics have also noted an $18 billion surplus in Walz's $72 billion budget that was initially intended for taxpayer relief but was diverted to other initiatives. House Minority Leader Lisa Demuth raises concerns about the unsustainable growth of government spending.
Walz's office did not immediately respond to an inquiry from Fox News Digital, but the Star Tribune reported that a spokesperson for the governor expressed appreciation for the OLA's work while acknowledging that "state agencies sometimes have expertise and knowledge that the OLA does not."
