Tim Walz let Minnesota become the fraud capital of America.
Now Trump's team is pulling back the curtain on just how deep the rot goes.
Dr. Oz stood outside a St. Paul factory and revealed something that should send every criminal in that building straight to federal prison.
The Griggs-Midway Building Minnesota Medicaid Fraud Scheme
The Griggs-Midway building looks exactly like what it used to be – a linen factory in an industrial area with trucks rumbling past and machinery noise echoing off concrete walls.
Nobody brings their autistic child here for therapy.
Yet roughly 400 Medicaid businesses registered at this address over the last several years and billed taxpayers $380 million – nearly a million dollars per business.
Oz walked the exterior with acting CDC Director Jim O'Neill and laid out the impossible math.
Inside, huge sections sit completely abandoned – empty floors with "open space" banners advertising vacancies.
The Minnesota Department of Human Services opened approximately 40 investigations into providers connected to this single building after FBI raids exposed the scheme.
Tim Walz Fraud Scandal: Feeding Our Future Started The Pattern
Minnesota already became infamous for hosting the nation's largest COVID-era fraud.
Feeding Our Future stole at least $250 million meant to feed hungry children during the pandemic.
The nonprofit claimed to serve 125 million meals from more than 250 sites across Minnesota.
FBI surveillance showed sites claiming 6,000 meals per day actually served around 40 people.
One roster used names copied from listofrandomnames.com.
Defendants bought luxury cars, coastal properties, and took honeymoons to private villas in the Maldives with stolen taxpayer money.
Aimee Bock, the ringleader, was convicted in March 2025 along with co-conspirator Salim Said.
More than 50 other defendants have pleaded guilty.
Federal prosecutors say the Griggs-Midway building fraud followed the exact same playbook – shell companies, fake rosters, phantom services, and millions flowing to criminals while vulnerable populations got nothing.
Walz Minnesota Welfare Fraud: Whistleblowers Silenced For Years
The most damning part isn't just that the fraud happened.
Republican State Representative Kristin Robbins testified before Congress that Walz and his administration "willfully turned a blind eye to crime, in the face of countless whistleblower and Auditor reports."
Whistleblowers came forward for years trying to warn Walz and Attorney General Keith Ellison.
House Oversight Committee Chairman James Comer said state employees documented the fraud but got threatened with losing their jobs whenever they reported it.
The Minnesota Office of the Legislative Auditor found that fears of being accused of racism had a "chilling effect" on oversight.
Feeding Our Future's leader Aimee Bock successfully sued the state in 2021 to force continued payments despite obvious red flags.
A judge ordered Minnesota to keep the money flowing.
By the time FBI raids shut it down in 2022, the damage was done.
The Housing Stabilization Services program that funded the Griggs-Midway fraud was supposed to cost $2.6 million annually.
Instead it exploded to over $104 million by 2024 as fraudsters created 1,600 shell companies to milk the system.
Twenty-two businesses at the Griggs-Midway location alone billed $8 million between January 2024 and May 2025.
One company, Brilliant Minds Services, submitted over $2.3 million in fraudulent claims – making it one of the state's highest-billing providers despite operating from an abandoned factory floor.
Federal prosecutors say total fraud across Minnesota's social services could exceed $9 billion out of $18 billion in spending since 2018.
Walz dropped his re-election bid in January 2026 after the scandal destroyed his political future.
Trump Administration Minnesota Fraud Crackdown Now Underway
The Trump administration froze $185 million in federal child care funding to Minnesota until the state proves the money is being spent legitimately.
Dr. Oz's Centers for Medicare & Medicaid Services is now auditing Minnesota's entire Medicaid program.
The administration froze provider enrollment and deferred payments for 14 programs that collectively cost taxpayers $3.7 billion annually.
House Oversight Republicans called Walz and Attorney General Ellison to testify on February 10, 2026.
Representative James Comer said Walz and Ellison "have either been asleep at the wheel or complicit in these crimes."
The entire Senate Republican Conference demanded accountability from Walz for "negligent management of federal funds."
Acting U.S. Attorney Joseph Thompson said investigators are finding more red flags than legitimate claims.
Oz pointed out during his Griggs-Midway visit that people in cars were already watching and taking pictures of the federal team – proof that criminals know the hammer is coming.
This is what happens when Democrats prioritize political correctness over protecting taxpayers.
Walz let criminals steal billions because he was more afraid of being called racist than doing his job.
Now Trump's team is doing what Walz refused to do – following the money, shutting down the fraud, and prosecuting every single person who stole from the American people.
Sources:
- Fox News, "Inside Minnesota's $1B fraud: fake offices, phony firms and a scandal hiding in plain sight," December 13, 2025.
- KARE 11, "Federal agents raid homes & businesses seizing evidence in housing fraud investigation," July 16, 2025.
- U.S. Department of Justice, "Defendants Charged in First Wave of Housing Stabilization Fraud Cases," September 18, 2025.
- FBI, "Dozens Charged in $250 Million COVID Fraud Scheme," September 20, 2022.
- House Committee on Oversight and Government Reform, "Hearing Wrap Up: Minnesota Governor Walz and Attorney General Ellison Ignored Rampant Taxpayer Fraud and Silenced State Whistleblowers," January 2026.
- Fox News, "Gov Tim Walz drops third term bid amid welfare fraud controversy in Minnesota," January 5, 2026.
