‘Putting an N to Learing about Fraud Act’: Senator hopes to prevent future Somali-type chicanery
For weeks now, multiple federal agencies have been investigating fraud in social service programs being run mostly in the Somali immigrant community in Minnesota.
Some were so simple the perpetrators apparently said they had a daycare operating at a certain address and billed the government millions of dollars for services to children. But no children ever were there and no services ever were provided.
The cost to taxpayers is estimated to be in the billions.
Now Congress is responding, with a plan from Sen. Joni Ernst, R-Iowa.
She wants to create an early warning system and force agencies to claw back funds that are paid improperly.
A report at Fox News explains Ernst’s legislation includes tripwires to flag suspected scams.
“It’s absolutely unacceptable that the fraud running rampant in Minnesota could end up costing taxpayers more than $9 billion,” Ernst said in an interview with Fox News Digital. “My Putting an N to Learing about Fraud Act will ensure this never happens again by putting more safeguards in place to detect scams early and require the recovery of any money ripped off from taxpayers.”
Her reference to “Learing” was because one of the suspected fraud cases in Minnesota had posted a sign advertising a “Learing” center for children.
Her plan would require state plans linked to federal childcare dollars to pay providers based on actual attendance that would have to be documented, not on “enrollment.”
It also would create alerts for programs when there are “surges” in costs.
There also would be audits of programs for up to seven years after payments are made.
Swindlers would be targeted with clawback provisions.
Fox reported, “The legislation follows the sweeping fraud scandal that continues to plague Minnesota. Dozens of arrests have been made, most of whom are from the state’s large Somali population, as investigators uncover hundreds of millions of dollars in alleged fraud swindled from taxpayers through welfare and social services programs.”
Fox also reported Ernst is naming Minnesota Gov. Tim Walz the January recipient of her office’s “Squeal Award” for “failing to stop the runaway fraud in his own backyard.”