{"id":2690763,"date":"2026-10-24T09:23:54","date_gmt":"2026-10-24T13:23:54","guid":{"rendered":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/minnesota-plays-the-victim-card-as-trump-admin-poises-to-turn-off-medicaid-spigot-over-fraud\/"},"modified":"2026-10-24T09:23:54","modified_gmt":"2026-10-24T13:23:54","slug":"minnesota-plays-the-victim-card-as-trump-admin-poises-to-turn-off-medicaid-spigot-over-fraud","status":"publish","type":"post","link":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/minnesota-plays-the-victim-card-as-trump-admin-poises-to-turn-off-medicaid-spigot-over-fraud\/","title":{"rendered":"Minnesota Plays the Victim Card as Trump Admin Poises to Turn Off Medicaid Spigot Over Fraud"},"content":{"rendered":"<aside class=\"mashsb-container mashsb-main mashsb-stretched\"><div class=\"mashsb-box\"><div class=\"mashsb-count mash-medium\" style=\"&quot;\"><div class=\"counts mashsbcount\">32<\/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%2Fminnesota-plays-the-victim-card-as-trump-admin-poises-to-turn-off-medicaid-spigot-over-fraud%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=2690763&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 class=\"readmore\">\n    <button onclick=\"showReadMore()\" id=\"readmorebtn\">Read more&#8230;<\/button>\n<\/p>\n<hr id=\"line\">\n<span id=\"more\"><br \/>\n<!DOCTYPE html PUBLIC \"-\/\/W3C\/\/DTD HTML 4.0 Transitional\/\/EN\" \"http:\/\/www.w3.org\/TR\/REC-html40\/loose.dtd\"><br \/>\n<?xml encoding=\"utf-8\" ?><?xml encoding=\"utf-8\" ?><?xml encoding=\"utf-8\" ?><?xml encoding=\"utf-8\" ?><?xml encoding=\"utf-8\" ?><?xml encoding=\"utf-8\" ?><?xml encoding=\"utf-8\" ?><?xml encoding=\"utf-8\" ?><?xml encoding=\"utf-8\" ?><?xml encoding=\"utf-8\" ?><?xml encoding=\"utf-8\" ?><?xml encoding=\"utf-8\" ?><?xml encoding=\"utf-8\" ?><?xml encoding=\"utf-8\" ?><?xml encoding=\"utf-8\" ?><?xml encoding=\"utf-8\" ?><?xml encoding=\"utf-8\" ?><html><body><\/p>\n<section> \t\t\t\t<script>console.log(\"ad slot (AC1)\")<\/script><script>console.log(\"ad slot (IC1)\")<\/script><script>console.log(\"ad slot (IC2)\")<\/script><script>console.log(\"ad slot (IC3)\")<\/script><script>console.log(\"ad slot (IC4)\")<\/script><script>console.log(\"ad slot (REP_0)\")<\/script><script>console.log(\"ad slot (REP_1)\")<\/script><\/p>\n<p>Minnesota public officials are preparing for the Trump administration to pull hundreds of millions in federal funding from the state which has been marred by a massive healthcare fraud scandal in recent months.<\/p>\n<p class=\"LexicalEditorTheme__paragraph\">A government official appointed by Democratic Minnesota Gov. Tim Walz expressed his concern with the Center of Medicare &#038; Medicaid Services (CMS) and Health &#038; Human Services (HHS) for freezing $550 million in federal funding in 2026,<b> <\/b>claiming the state\u2019s Medicaid program is being unfairly targeted in fraud implications, the Washington Sun <a class=\"LexicalEditorTheme__link\" href=\"https:\/\/www.washingtonsun.com\/healthcare\/minnesota-prepares-trump-cut-medicaid-payments-fraud?utm_source=NOTUS+Newsletter+Audience&#038;utm_campaign=1855b5b7f6-Newsletter_2026_1008_AM&#038;utm_medium=&#038;utm_term=0_-1855b5b7f6-745547873&#038;mc_cid=1855b5b7f6&#038;mc_eid=dad35b0248\" target=\"_blank\" rel=\"noopener\">reported<\/a>.<\/p>\n<p class=\"LexicalEditorTheme__paragraph\">The Trump administration froze the funding due to allegations of widespread fraud in the state that first broke in late 2025.<\/p>\n<p class=\"LexicalEditorTheme__paragraph\">While members of Walz\u2019s administration concede there is some level of fraud present in the Medicaid program, they claim the exact scope of the problem is difficult to calculate, and are seeking clarification from the Trump administration on what grounds they have for deterring funds, the outlet reported.<\/p>\n<p class=\"LexicalEditorTheme__paragraph\">Walz <a class=\"LexicalEditorTheme__link\" href=\"https:\/\/www.mprnews.org\/story\/2026\/05\/05\/new-human-services-commissioner-out-on-medical-leave-with-timing-of-pick-under-scrutiny\" target=\"_blank\" rel=\"noopener\">appointed<\/a> John Connolly as Minnesota Department of Human Services\u2019 (MN DHS) temporary<b> <\/b>commissioner and state Medicaid director in May.<\/p>\n<p class=\"LexicalEditorTheme__paragraph\">Connolly said his department is ready to act on any \u201ccredible allegations of fraud,\u201d but that the pressures put on by the Trump administration \u201cfeel increasingly like a war on Medicaid, not a war on fraud,\u201d according to the Sun.<\/p>\n<p class=\"LexicalEditorTheme__paragraph\">\u201cWe are deeply concerned that this would be another step in a retribution campaign for Minnesota that was promised very publicly,\u201d Connolly according to the outlet.<\/p>\n<p class=\"LexicalEditorTheme__paragraph\">Connolly sent a five-page letter to CMS administrator Dr. Mehmet Oz on Oct. 2, seeking for federal funding to be resumed, claiming the state\u2019s DHS had sufficiently met its fraud reporting requirements by identifying 14 \u201chigh risk\u201d Medicaid service providers, and thereby sufficiently complying with CMS.<\/p>\n<p class=\"LexicalEditorTheme__paragraph\">\u201cMinnesota has repeatedly asked CMS and federal law enforcement to provide evidence supporting public claims of of fraud in Minnesota\u2019s Medicaid programs so the Department of Human Services can stop payments where warranted,\u201d Connolly\u2019s letter read.<\/p>\n<p class=\"LexicalEditorTheme__paragraph\">\u201cTo date, no such evidence has been d with the Department of Human Services. Nor has CMS requested that the Minnesota Department of Human Services impose a payment withhold on any provider.\u201d<\/p>\n<p class=\"LexicalEditorTheme__paragraph\">\u201cThe Minnesota Department of Human Services is acting aggressively to detect and prevent fraud and shuts off money to providers when credible allegations of fraud come to light,\u201d the MN DHS said in a statement to the Daily Caller News Foundation. \u201cWe do this work in close partnership with other state agencies and law enforcement.\u201d<\/p>\n<p class=\"LexicalEditorTheme__paragraph\">The Department did not appear to address what specifically it is doing to mitigate fraud in the state when asked by the DCNF.<\/p>\n<p class=\"LexicalEditorTheme__paragraph\">According to <a class=\"LexicalEditorTheme__link\" href=\"https:\/\/files.kff.org\/attachment\/fact-sheet-medicaid-state-MN\" target=\"_blank\" rel=\"noopener\">analysis<\/a> conducted by independent health policy organization <a class=\"LexicalEditorTheme__link\" href=\"https:\/\/www.kff.org\/\" target=\"_blank\" rel=\"noopener\">KFF<\/a>, federal funding makes up 64 percent of Minnesota\u2019s total Medicaid spending with the state receiving $11.8 billion annually from the federal government.<\/p>\n<p class=\"LexicalEditorTheme__paragraph\">CMS has deferred $550 million in payments to Minnesota since the beginning of 2026 and threatened to withhold up to $2 billion over alleged fraud, according to the MN DHS\u2019 <a class=\"LexicalEditorTheme__link\" href=\"https:\/\/mn.gov\/dhs\/program-integrity\/factcheck\/\" target=\"_blank\" rel=\"noopener\">website<\/a>.<\/p>\n<p class=\"LexicalEditorTheme__paragraph\">Minnesota\u2019s massive fraud scandal involved COVID-19 pandemic relief, daycare, autism services and home care support programs and the vast majority of people charged in connection to it were of Somali descent.<\/p>\n<p class=\"LexicalEditorTheme__paragraph\">An Obama-era CMS official decried the steps taken by Trump administration\u2019s iteration of the agency against the blue state amid the ongoing fraud probe.<\/p>\n<p class=\"LexicalEditorTheme__paragraph\">\u201cThey have done to Minnesota what CMS has never done to any other state. It\u2019s all uncharted territory,\u201d former CMS senior advisor Andy Schneider said, as reported by the Sun.<\/p>\n<p class=\"LexicalEditorTheme__paragraph\">In June the Department of Health and Human Services announced it was deferring $1 billion from both Minnesota and California for their Medicaid and social services fraud.<\/p>\n<p class=\"LexicalEditorTheme__paragraph\">CMS initially deferred $259 million dollars in Medicaid payments from the state, alleging this accounted for $243.8 million worth of state expenditures for unsupported or potentially fraudulent Medicaid claims and $15.4 million related to claims involving illegal immigrants, according to its February <a class=\"LexicalEditorTheme__link\" href=\"https:\/\/www.cms.gov\/newsroom\/press-releases\/trump-administration-prioritizes-affordability-announcing-major-crackdown-health-care-fraud\" target=\"_blank\" rel=\"noopener\">press release<\/a>.<\/p>\n<p class=\"LexicalEditorTheme__paragraph\">In March, then MN DHS commissioner Shireen Gandhi and Attorney General Keith Ellison filed <a class=\"LexicalEditorTheme__link\" href=\"https:\/\/www.ag.state.mn.us\/Office\/Communications\/2026\/docs\/01701_Oz_Complaint.pdf\" target=\"_blank\" rel=\"noopener\">a lawsuit<\/a> against CMS claiming the department was illegally withholding funds from the state, however the case was denied a preliminary injunction by the court.<\/p>\n<p class=\"LexicalEditorTheme__paragraph\">He has filed over 73 different lawsuits against the Trump administration <a class=\"LexicalEditorTheme__link\" href=\"https:\/\/www.cbsnews.com\/minnesota\/news\/keith-ellison-defends-fraud-record-trump-lawsuits-in-tight-minnesota-attorney-general-race\/\" target=\"_blank\" rel=\"noopener\">per<\/a> CBS.<\/p>\n<p class=\"LexicalEditorTheme__paragraph\">The DCNF reached out to both Walz\u2019s and Ellison\u2019s offices but did not receive a comment from either in time for publication.<\/p>\n<p class=\"LexicalEditorTheme__paragraph\">\u201cCMS is committed to safeguarding Medicaid by strengthening program integrity, protecting taxpayer dollars, and ensuring benefits are reserved for those who are eligible under the law,\u201d a spokesperson from CMS told the DCNF. \u201cThe agency does not comment further on matters in pending litigation.\u201d<\/p>\n<p class=\"LexicalEditorTheme__paragraph\">In June<b><strong class=\"LexicalEditorTheme__textBold\">,<\/strong><\/b> Vice President JD Vance announced on <a class=\"LexicalEditorTheme__link\" href=\"https:\/\/x.com\/JDVance\/status\/2064146608518746499\" target=\"_blank\" rel=\"noopener\">X<\/a> that he referred Walz and Ellison to the Justice Department for a criminal fraud investigation.<\/p>\n<p class=\"LexicalEditorTheme__paragraph\">Walz issued a response the same day, saying the move had \u201cnothing to do with fraud,\u201d calling it a \u201ccampaign of retribution,\u201d NBC News <a class=\"LexicalEditorTheme__link\" href=\"https:\/\/www.nbcnews.com\/politics\/trump-administration\/vance-refers-gov-tim-walz-minnesota-attorney-general-doj-fraud-investi-rcna349125\" target=\"_blank\" rel=\"noopener\">reported<\/a>.<\/p>\n<p class=\"LexicalEditorTheme__paragraph\">Connolly\u2019s letter and the Sun report both claimed that Minnesota had \u201crevalidated\u201d thousands of Medicaid providers in an effort to mitigate fraud.<\/p>\n<p class=\"LexicalEditorTheme__paragraph\">In 2023, Ellison <a class=\"LexicalEditorTheme__link\" href=\"https:\/\/www.ag.state.mn.us\/Office\/Communications\/2023\/12\/07_MedicaidFraud.asp\" target=\"_blank\" rel=\"noopener\">boasted<\/a> that his office undertook the \u201clargest-ever Medicaid fraud prosecution\u201d by a state attorney general \u2014 charging three defendants with 24 counts and a total of $11 million in fraud.<\/p>\n<p class=\"LexicalEditorTheme__paragraph\">However, the Department of Justice <a class=\"LexicalEditorTheme__link\" href=\"https:\/\/www.justice.gov\/opa\/pr\/minnesota-health-care-fraud-takedown-results-charges-against-15-defendants-over-90m-fraud\" target=\"_blank\" rel=\"noopener\">announced<\/a> in May that it had charged 15 defendants in Minnesota for over $90 million in fraud.<\/p>\n<div class=\"disclaimer\">\n<p>All content created by the Daily Caller News Foundation, an independent and nonpartisan newswire service, is available without charge to any legitimate news publisher that can provide a large audience. 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A government official appointed by Democratic Minnesota Gov. Tim Walz expressed his concern with the Center of Medicare &amp; Medicaid Services (CMS)<\/p>\n","protected":false},"author":1,"featured_media":2690764,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_mo_disable_npp":"","fifu_image_url":"https:\/\/www.westernjournal.com\/wp-content\/uploads\/2026\/10\/IMG_4227.jpeg","fifu_image_alt":"","footnotes":""},"categories":[33651],"tags":[],"class_list":["post-2690763","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-the-western-journal"],"fifu_image_url":"https:\/\/www.westernjournal.com\/wp-content\/uploads\/2026\/10\/IMG_4227.jpeg","_links":{"self":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/2690763","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\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/comments?post=2690763"}],"version-history":[{"count":0,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/2690763\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media\/2690764"}],"wp:attachment":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media?parent=2690763"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/categories?post=2690763"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/tags?post=2690763"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}