{"id":2611418,"date":"2026-06-06T10:05:01","date_gmt":"2026-06-06T14:05:01","guid":{"rendered":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/house-report-details-how-minnesota-retaliated-against-fraud-whistleblowers\/"},"modified":"2026-06-06T10:10:52","modified_gmt":"2026-06-06T14:10:52","slug":"house-report-details-how-minnesota-retaliated-against-fraud-whistleblowers","status":"publish","type":"post","link":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/house-report-details-how-minnesota-retaliated-against-fraud-whistleblowers\/","title":{"rendered":"House report details how Minnesota retaliated against fraud whistleblowers"},"content":{"rendered":"<aside class=\"mashsb-container mashsb-main mashsb-stretched\"><div class=\"mashsb-box\"><div class=\"mashsb-count mash-medium\" style=\"float:left\"><div class=\"counts mashsbcount\">18<\/div><span class=\"mashsb-sharetext\">SHARES<\/span><\/div><div class=\"mashsb-buttons\"><a class=\"mashicon-facebook mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/www.facebook.com\/sharer.php?u=https%3A%2F%2Fwww.conservativenewsdaily.net%2Fbreaking-news%2Fhouse-report-details-how-minnesota-retaliated-against-fraud-whistleblowers%2F\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Facebook<\/span><\/a><a class=\"mashicon-twitter mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/twitter.com\/intent\/tweet?text=&amp;url=https:\/\/www.conservativenewsdaily.net\/breaking-news\/?p=2611418&amp;via=ConservNewsDly\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Twitter<\/span><\/a><a class=\"mashicon-subscribe mash-medium mash-nomargin mashsb-noshadow\" href=\"#\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Subscribe<\/span><\/a><div class=\"onoffswitch2 mash-medium mashsb-noshadow\" style=\"display:none\"><\/div><\/div>\n            <\/div>\n                <div style=\"clear:both\"><\/div><\/aside>\n            <!-- Share buttons by mashshare.net - Version: 4.0.47--><p>A House oversight committee majority report says Minnesota Department of Human Services (under gov. Tim Walz) retaliated against employees who raised concerns about fraud and misuse of federal social-service funds.The report alleges DHS relied on outside private investigators and law firms, used intimidation and surveillance tactics, and in at least one case involved an employee purportedly trying to use \u201cmilitary intelligence connections\u201d to locate whistleblowers.<\/p>\n<p>The examination describes leadership behavior it says discouraged reporting, including regular \u201ccheck-ins\u201d with fraud-reporting employees and an internal fraud hotline that allegedly became \u201cdeanonymized\u201d after 2022-prompting some whistleblowers to move to external email and eventually social media.Committee staff also cite testimony from current and former DHS officials, including former temporary commissioner Shireen Gandhi. the report further argues state leaders failed to act on credible warnings despite knowledge of fraud risks, sending taxpayer dollars to entities later tied to major fraud schemes.<\/p>\n<p>Republican committee chair james Comer says the findings show a major oversight failure and urges broader federal follow-up, including a request to the White House anti-fraud task force to review Minnesota\u2019s controls and anti-fraud practices. Walz and Attorney General Keith Ellison have disputed prior claims of knowingly allowing fraud to continue and have said they where not aware of some alleged whistleblower concerns.  <\/p>\n<p class=\"readmore\">\n    <button onclick=\"showReadMore()\" id=\"readmorebtn\">Read more&#8230;<\/button>\n<\/p>\n<hr id=\"line\">\n<span id=\"more\"><\/p>\n<article class=\"fn-body\">\n<p class=\"wp-block-paragraph\"><a target=\"_blank\" rel=\"noopener noreferrer\" href=\"https:\/\/www.washingtonexaminer.com\/tag\/minnesota\/\">Minnesota<\/a> officials under Democratic Gov. <a target=\"_blank\" rel=\"noopener noreferrer\" href=\"https:\/\/www.washingtonexaminer.com\/tag\/tim-walz\/\">Tim Walz<\/a> retaliated against state employees who raised concerns about <a target=\"_blank\" rel=\"noopener noreferrer\" href=\"https:\/\/www.washingtonexaminer.com\/tag\/fraud\/\" type=\"post_tag\" id=\"3188\">fraud<\/a> and the state\u2019s management of <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/doj-charges-largest-autism-fraud-tied-to-90m-mn-medicaid-theft\/\" title=\"DOJ charges &#039;largest autism ...&#039; tied to M MN Medicaid theft\">taxpayer-funded social service programs<\/a>, including by hiring investigators outside of the agency to scrutinize whistleblowers and monitor workers who reported suspected abuse, a new <a target=\"_blank\" rel=\"noopener noreferrer\" href=\"https:\/\/www.washingtonexaminer.com\/tag\/house-oversight-committee\/\">House oversight committee<\/a> majority staff report alleged.<\/p>\n<p class=\"wp-block-paragraph\">The 205-page report released on Monday alleged Minnesota Department of Human Services (DHS) officials retaliated against whistleblowers using the help of outside private investigators and law firms, intimidation tactics, and surveillance efforts, including one instance where a DHS manager allegedly proposed using military connections to determine the locations of employees raising concerns about <a target=\"_blank\" rel=\"noopener noreferrer\" href=\"https:\/\/www.washingtonexaminer.com\/tag\/fraud\/\">fraud<\/a>. The investigation marks the most comprehensive overview of leadership deterioration contributing to fears of speaking out against Minnesota\u2019s federal funding mismanagement for more than half a decade<\/p>\n<section class=\"explore-more-section\" id=\"wex-recommended-widget\">\n<div class=\"magazine-container single\">\n<h1 class=\"magazine-title mt-2\">Recommended Stories<\/h1>\n<p>             <i class=\"fa-solid fa-play icon\"><\/i>         <\/div>\n<div class=\"explore-grid\">\n<div class=\"explore-card\">                         <a href=\"https:\/\/www.washingtonexaminer.com\/news\/justice\/4596573\/dc-circuit-grills-doj-white-house-bid-continue-building-ballroom\/?itm_source=parsely-api\">                             <\/p>\n<div class=\"explore-thumb-wrap\">                                                                                                                                  <\/div>\n<h3>DC Circuit grills DOJ over White House bid to continue building ballroom<\/h3>\n<p>                         <\/a>                     <\/div>\n<div class=\"explore-card\">                         <a href=\"https:\/\/www.washingtonexaminer.com\/news\/justice\/4596794\/ex-cia-officer-gold-bar-scheme-to-remain-jailed\/?itm_source=parsely-api\">                             <\/p>\n<div class=\"explore-thumb-wrap\">                                                                                                                                  <\/div>\n<h3>Ex-CIA officer accused of stealing $40 million in gold bars to remain jailed<\/h3>\n<p>                         <\/a>                     <\/div>\n<div class=\"explore-card\">                         <a href=\"https:\/\/www.washingtonexaminer.com\/news\/white-house\/4595866\/dc-planning-commission-trump-arch-height\/?itm_source=parsely-api\">                             <\/p>\n<div class=\"explore-thumb-wrap\">                                                                                                                                  <\/div>\n<h3>DC planning commission chair defends Trump arch against criticism that it violates height law<\/h3>\n<p>                         <\/a>                     <\/div>\n<\/p><\/div>\n<\/section>\n<figure class=\"wp-block-image size-large\"><figcaption class=\"wp-element-caption\">Gov. Tim Walz, D-Minn., listens during a House Committee on Oversight and Government Reform hearing on oversight of fraud and misuse of Federal funds in Minnesota, Wed., March 4, 2026, on Capitol Hill in Washington. (AP Photo\/Rod Lamkey, Jr.)<\/figcaption><\/figure>\n<p class=\"wp-block-paragraph\">\u201cMinnesota Governor Tim Walz and Attorney General <a target=\"_blank\" rel=\"noopener noreferrer\" href=\"https:\/\/www.washingtonexaminer.com\/tag\/keith-ellison\/\">Keith Ellison<\/a> are responsible for one of the most stunning oversight failures this Committee has ever examined,\u201d House oversight committee Chairman <a target=\"_blank\" rel=\"noopener noreferrer\" href=\"https:\/\/www.washingtonexaminer.com\/tag\/james-comer\/\">James Comer<\/a> (R-KY) said in a statement on the investigation, which the Republican-majority on the committee formally initiated on Dec. 3.<\/p>\n<div class=\"article-paywall\">\n<p class=\"wp-block-paragraph\">Investigators interviewed nine current and former government officials and concluded DHS intimidated and harassed staff who raised fraud concerns under the Walz administration. The conclusions rely in part on testimony from Shireen Gandhi, a temporary DHS commissioner whom <a target=\"_blank\" rel=\"noopener noreferrer\" href=\"https:\/\/www.mprnews.org\/story\/2026\/05\/04\/gov-walz-boots-shireen-gandhi-as-dept-human-services-commissioner\">Walz fired<\/a> last month, just days before she was due to face a confirmation hearing before the Minnesota Senate Health and Human Services Committee.<\/p>\n<figure class=\"wp-block-image size-full\"><figcaption class=\"wp-element-caption\">Shireen Gandhi, then-temporary commissioner of the Minnesota Department of Human Services, testifies before the House Oversight Committee during a transcribed interview on Feb. 17, 2026, as lawmakers investigate fraud in Minnesota\u2019s social service programs and allegations of retaliation against whistleblowers. (House Oversight Committee)<\/figcaption><\/figure>\n<h2 id=\"h-dhs-would-regularly-check-in-with-fraud-reporting-employees\" class=\"wp-block-heading\">DHS would regularly \u2018check-in\u2019 with fraud-reporting employees<\/h2>\n<p class=\"wp-block-paragraph\">\u201cGandhi confirmed in her testimony whistleblower reports that DHS upper management would regularly meet, or \u2018check-in,\u2019 with employees who have reported fraud concerns,\u201d the committee report states on page 108, citing her Feb. 17 taped interview with committee staffers. <\/p>\n<p class=\"wp-block-paragraph\">Ghandi said she continued regular check-ins with whistleblower Faye Bernstein, who was <a target=\"_blank\" rel=\"noopener noreferrer\" href=\"https:\/\/www.fox9.com\/news\/minnesota-dhs-whistleblower-says-she-faces-retaliation-was-told-to-seek-therapy\">placed on investigatory leave<\/a> after flagging contract irregularities in November 2019, for another \u201cyear or two\u201d following Bernstein\u2019s leave. She maintained that Bernstein was \u201cdisruptive,\u201d but later admitted not having much first-hand knowledge of Bernstein\u2019s conduct.<\/p>\n<p class=\"wp-block-paragraph\">Meanwhile, former DHS commissioner Jodi Harpstead conceded in a Feb. 23 interview that she was aware of the agency hiring outside Human Resources personnel to \u201cadd to our capacity to do investigations,\u201d but was unsure if any outside law firms were hired.<\/p>\n<p class=\"wp-block-paragraph\">When Gandhi was asked the same question in her interview, she too acknowledged DHS hiring external personnel for internal investigations, but was unsure if law firms were commissioned for help.<\/p>\n<p class=\"wp-block-paragraph\">\u201cThey may be. I don\u2019t know,\u201d she told committee staff members.<\/p>\n<p class=\"wp-block-paragraph\">The report details shocking allegations from whistleblowers who claimed agency investigators photographed their homes and vehicles, monitored their phones and computers, sought information about their children\u2019s schools, and denied them promotion opportunities after they reported suspected fraud. But when Gandhi was asked about one alleged retaliation incident, she said people are generally \u201csensitive\u201d when making retaliation claims and <a target=\"_blank\" rel=\"noopener noreferrer\" href=\"https:\/\/www.youtube.com\/watch?v=WBWCeKoIVIs\">\u201canything can be perceived as retaliation.\u201d<\/a><\/p>\n<p class=\"wp-block-paragraph\">One of the most striking allegations surrounds Emmanuel Nwala, a U.S. Army veteran and former interim manager at DHS, who allegedly<a target=\"_blank\" rel=\"noopener noreferrer\" href=\"https:\/\/x.com\/Minnesota_DHS\/status\/1723085447524454535\"> sought to leverage his \u201cmilitary intelligence connections\u201d<\/a> to identify the locations of whistleblowers who were critical of department leadership\u2019s handling of fraud reports, according to an email corroborated by former DHS assistant commissioner Eric Grumdahl.<\/p>\n<p class=\"wp-block-paragraph\">Despite Grumdahl\u2019s confirmation of Nwala\u2019s communications, Walz repeatedly said \u201cI am not\u201d when asked whether he was aware of the email.<\/p>\n<figure class=\"wp-block-embed is-type-rich is-provider-x wp-block-embed-x\">\n<div class=\"wp-block-embed__wrapper\">\n<blockquote class=\"twitter-tweet\" data-width=\"550\" data-dnt=\"true\">\n<p lang=\"en\" dir=\"ltr\">This DHS &#8220;manager&#8221; has been promoted to a &#8220;leadership&#8221; role. Emmanuel Nwala has threatened employees with <a href=\"https:\/\/amzn.to\/3YuVZYV\" >military surveillance &#038; made numerous staff uncomfortable<\/a> with his intimidation &#038; behavior. See the email that was obtained through a PUBLIC DATA REQUEST. <a target=\"_blank\" rel=\"noopener noreferrer\" href=\"https:\/\/x.com\/hashtag\/Menace?src=hash&#038;ref_src=twsrc%5Etfw\">#Menace<\/a> <a target=\"_blank\" rel=\"noopener noreferrer\" href=\"https:\/\/x.com\/hashtag\/Disgusting?src=hash&#038;ref_src=twsrc%5Etfw\">#Disgusting<\/a> <a target=\"_blank\" rel=\"noopener noreferrer\" href=\"https:\/\/t.co\/Z6yPGVZfyd\">pic.twitter.com\/Z6yPGVZfyd<\/a><\/p>\n<p>\u2014 Minnesota Staff Fraud Reporting Commentary (@Minnesota_DHS) <a target=\"_blank\" rel=\"noopener noreferrer\" href=\"https:\/\/x.com\/Minnesota_DHS\/status\/1723085447524454535?ref_src=twsrc%5Etfw\">November 10, 2023<\/a><\/p><\/blockquote>\n<p><script data-cfasync=\"false\" src=\"http:\/\/www.washingtonexaminer.com\/cdn-cgi\/scripts\/5c5dd728\/cloudflare-static\/email-decode.min.js\"><\/script><script async src=\"https:\/\/platform.x.com\/widgets.js\" charset=\"utf-8\"><\/script> <\/div>\n<\/figure>\n<p class=\"wp-block-paragraph\">Grumdahl told House investigators that Nwala had been the target of anonymous messages against him, but that \u201cthat was not helpful or appropriate\u201d and said he hoped he wouldn\u2019t \u201cbe doing that in the future.\u201d<\/p>\n<h2 id=\"h-an-internal-fraud-hotline-deanonymized-reports\" class=\"wp-block-heading\">An internal fraud hotline \u2018deanonymized\u2019 reports<\/h2>\n<p class=\"wp-block-paragraph\">Committee investigators further highlighted that a DHS fraud hotline intended to provide anonymous reporting became effectively \u201cdeanonymized\u201d sometime after 2022 and before April 2023, causing whistleblowing employees to fear their complaints would be routed to management and human resources officials. <\/p>\n<p class=\"wp-block-paragraph\">Whistleblowers eventually resorted to using an external email account and later moved their communications to the <a target=\"_blank\" rel=\"noopener noreferrer\" href=\"https:\/\/x.com\/Minnesota_DHS\">more public social media venue X<\/a> around April 2023 after their external email channel was allegedly blocked by DHS servers.<\/p>\n<p class=\"wp-block-paragraph\">The Republican majority behind the report concluded that Walz and the <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/nevada-trump-campaign-says-clark-county-registrar-joe-gloria-hiding-from-subpoena-service\/\" title=\"Nevada: Trump Campaign Says Clark County Registrar Joe Gloria Hiding From Subpoena Service\">state attorney general<\/a> were aware of credible fraud concerns for years, yet ultimately failed to use their authority to halt payments or remove questionable providers from government programs.<\/p>\n<p class=\"wp-block-paragraph\">Even Walz\u2019s former chief of staff, Chris Schmitter, said he was aware of then-U.S. Attorney Andrew Luger\u2019s warnings to state officials early last year regarding concerns that frontline employees did not feel comfortable flagging fraud-related issues, according to the transcribed interview on page 117 of the report.<\/p>\n<figure class=\"wp-block-image size-large\"><figcaption class=\"wp-element-caption\">Former Walz Chief of Staff Chris Schmitter participates in a transcribed interview with House Oversight Committee investigators on Feb. 27, 2026. During the interview, Schmitter recalled then-U.S. Attorney Andrew Luger advising Minnesota officials in early 2025 to ensure frontline state employees felt empowered to report fraud concerns. (House Oversight Committee)<\/figcaption><\/figure>\n<p class=\"wp-block-paragraph\">Luger, an appointee by the <a target=\"_blank\" rel=\"noopener noreferrer\" href=\"https:\/\/www.washingtonexaminer.com\/tag\/biden-administration\/\">Biden administration<\/a>, stepped down in January last year and was succeeded by Daniel Rosen, whom President Donald Trump had nominated.<\/p>\n<p class=\"wp-block-paragraph\">Despite these repeated warnings, Minnesota agencies continued directing taxpayer funds to entities later implicated in fraud schemes, including <a target=\"_blank\" rel=\"noopener noreferrer\" href=\"https:\/\/www.washingtonexaminer.com\/news\/investigations\/4578089\/feeding-our-future-ringleader-aimee-bock-sentenced-41-years\/\">Feeding Our Future<\/a>, the nonprofit at the center of a massive federal child nutrition fraud case. The fraud from this scheme alone has been estimated to have cost roughly $300 million in federal child nutrition funding, with a total of nearly $9 billion in Medicaid-related funds may have been lost or placed at serious risk.<\/p>\n<p class=\"wp-block-paragraph\">Comer also sent a letter on Monday to Vice President <a target=\"_blank\" rel=\"noopener noreferrer\" href=\"https:\/\/www.washingtonexaminer.com\/tag\/jd-vance\/\">JD Vance<\/a>, urging the White House Task Force to Eliminate Fraud to conduct a comprehensive review of Minnesota\u2019s social service programs and anti-fraud controls.<\/p>\n<figure class=\"wp-block-image size-large\"><figcaption class=\"wp-element-caption\">Vice President JD Vance speaks with reporters upon arriving on Air Force Two at Joint Base Andrews, Md., Thursday, May 28, 2026. (AP Photo\/Matt Rourke, Pool)<br \/><\/figcaption><\/figure>\n<p class=\"wp-block-paragraph\">\u201cBillions of dollars were stolen because Minnesota state leaders turned a blind eye to rampant fraud and retaliated against state employees who dared to raise concerns,\u201d Comer said, adding he will continue to support the Trump administration\u2019s anti-fraud initiatives to have the \u201cbacks of hardworking Americans.\u201d<\/p>\n<p class=\"wp-block-paragraph\"><strong><a target=\"_blank\" rel=\"noopener noreferrer\" href=\"https:\/\/www.washingtonexaminer.com\/news\/house\/4596860\/vance-angie-craig-minnesota-fraud-record-hide-data\/\">VANCE GOES AFTER CRAIG FOR MINNESOTA\u2019S FRAUD RECORDS: \u2018FIGHTING SO HARD TO HIDE THE DATA\u2019<\/a><\/strong><\/p>\n<p class=\"wp-block-paragraph\">Walz and Ellison have previously disputed Republican allegations that state officials knowingly allowed fraud to continue. During prior congressional testimony, Walz said he was unaware of some whistleblower allegations and <a target=\"_blank\" rel=\"noopener noreferrer\" href=\"https:\/\/oversight.house.gov\/hearing\/oversight-of-fraud-and-misuse-of-federal-funds-in-minnesota-part-ii\/\">agreed that intimidation of employees would be inappropriate<\/a> if it occurred. Walz, who was eyeing a third term as governor, <a target=\"_blank\" rel=\"noopener noreferrer\" href=\"https:\/\/www.washingtonexaminer.com\/news\/campaigns\/state\/4406501\/tim-walz-drops-reelection-bid-minnesota-governor\/\">ended his campaign<\/a> on Jan. 5, compounding scrutiny over his state\u2019s fraud management failures.<\/p>\n<p class=\"wp-block-paragraph\">The report comes as House Republicans prepare to advance a package of anti-fraud legislation this week aimed at strengthening oversight of federal programs. The Government Accountability Office <a target=\"_blank\" rel=\"noopener noreferrer\" href=\"https:\/\/www.congress.gov\/crs-product\/R48296#:~:text=Act%20(PIIA%3B%20P.L.-,116%2D117).,to%20%24521%20billion%20each%20year.&#038;text=The%20total%20amount%20of%20improper%20payments%20therefore,substantially%20higher%20than%20current%20estimates.&#038;text=Source%3A%20PaymentAccuracy.gov.\">estimates<\/a> that fraud costs the federal government between $233 billion and $521 billion annually.<\/p>\n<\/div>\n<\/article>\n<p><\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>A new House oversight report alleges Minnesota officials under Gov. Tim Walz retaliated against employees who raised fraud concerns, hiring outside investigators and surveilling whistleblowers<\/p>\n","protected":false},"author":2633,"featured_media":2611419,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_mo_disable_npp":"","fifu_image_url":"https:\/\/www.washingtonexaminer.com\/wp-content\/uploads\/2026\/05\/AP26118526449085.jpg?w=696","fifu_image_alt":"","footnotes":""},"categories":[33651],"tags":[32908,5698,50644],"class_list":["post-2611418","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-the-western-journal","tag-house-report","tag-minnesota","tag-whistleblowers-2"],"fifu_image_url":"https:\/\/www.washingtonexaminer.com\/wp-content\/uploads\/2026\/05\/AP26118526449085.jpg?w=696","_links":{"self":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/2611418","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/users\/2633"}],"replies":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/comments?post=2611418"}],"version-history":[{"count":3,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/2611418\/revisions"}],"predecessor-version":[{"id":2611427,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/2611418\/revisions\/2611427"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media\/2611419"}],"wp:attachment":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media?parent=2611418"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/categories?post=2611418"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/tags?post=2611418"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}