Wednesday, May 16, 2018

Millions of Minnesota taxpayer dollars defrauded every year?


A news report suggests that there's an organized racket in the Muslim immigrant/refugee community in Minnesota to defraud that state's government.

For five months, Fox 9 has been investigating what appears to be rampant fraud in a massive state program.

This fraud is suspected of costing Minnesota taxpayers as much as $100 million a year.

The Fox 9 Investigators reporting is based on public records and nearly a dozen government sources who have direct knowledge of what is happening.

These sources have a deep fear, and there is evidence to support their concerns, that some of that public money is ending up in the hands of terrorists.

SUITCASES FILLED WITH MONEY

This story begins at Minneapolis-St. Paul International Airport, where mysterious suitcases filled with cash have become a common carry-on.

. . .

Sources said last year alone, more than $100 million in cash left MSP in carry-on luggage.

The national, go-to expert on what is behind these mysterious money transfers is Glen Kerns.

“What we were interested in is where it was going,” Kerns said.

He is a former Seattle police detective who spent 15 years on the FBI’s joint terrorism task force, until his retirement.

“It’s an outright crime, it’s unbelievable,” he said.

Kerns tracked millions of dollars in cash that was leaving on flights from Seattle.

It was coming from Hawalas, businesses used to courier money to countries that have no official banking system.

Some immigrant communities rely on Hawalas to send funds to help impoverished relatives back home.

Kerns discovered some of the money was being funneled to a Hawala in the region of Somalia that is controlled by the al Shabaab terrorist group.

“I talked to a couple of sources who had lived in that region and I said, 'If money is going to this Hawala do you think it is going to al Shabaab?'" said Kerns. "And he said, 'Oh definitely, that area is controlled by al Shabaab, and they control the Hawala there.'”

He said when the money arrives, whether it was intended for legitimate purposes or not, al Shabaab or other groups demand a cut.

As Kerns dug deeper, he found that some of the individuals who were sending out tens of thousands of dollars’ worth of remittance payments happened to be on government assistance in this country.

How could they possibly come up with such big bucks to transfer back home?

“We had sources that told us, 'It’s welfare fraud, it’s all about the daycare,'” said Kerns.

FOX 9 REPORTED ON THE FRAUD FIVE YEARS AGO

To better understand the connection between daycare fraud and the surge in carry-on cash, you have to look at the history of this crime.

Five years ago the Fox 9 Investigators were first to report that daycare fraud was on the rise in Minnesota, exposing how some businesses were gaming the system to steal millions in government subsidies meant to help low-income families with their childcare expenses.

“It’s a great way to make some money,” Hennepin County Attorney Mike Freeman said.

In order for the scheme to work, the daycare centers need to sign up low income families that qualify for child care assistance funding.

Surveillance videos from a case prosecuted by Hennepin County show parents checking their kids into a center, only to leave with them a few minutes later. Sometimes, no children would show up.

Either way, the center would bill the state for a full day of childcare.

Video from that same case shows a man handing out envelopes of what are believed to be kickback payments to parents who are in on the fraud.

When asked where the money was going, Freeman said, “I don’t know exactly where it went. But it adds up when you begin to look at how many people were involved."

There's more at the link.

My one question is:  if this has been known for years, why has Minnesota's government not cracked down on it?  Can it be they're letting political correctness and social justice concerns get in the way of enforcing the law and protecting taxpayers' money?  Say it ain't so!




Peter

6 comments:

elegantungulate said...

I would dearly love to tell you "it ain't so" but alas, I cannot. St. Paul needs a thorough cleaning out of morons, imbeciles, idiots, and then the real cleanup work can *begin*.

E.D.M. said...

Think of the grooming scandals in England. They were so afraid to be labeled racist they ignored massive child rape. I have no doubt whites are turning a blind eye to welfare fraud in MN for the very same reasons.

D.J. said...

Off-topic question:

Peter, what book has Eufala, FL in it?

Andrew Wetzel said...

Because Minnesota Politicians and bureaucrats are also getting some love from those payments. That's why.

Follow the money.

Directly into the government officers' pockets that are the same ones that write the regulations and approve the forms.

Here's what you need to do. Announce a forensic accounting of the whole system, from the 'receivers' to all the government employees involved. Everyone must open their bank accounts and provide proof, actual proof, that they are using the services as intended.

A sudden spate of retirements from government service will be seen before the first 'auditor' is off the plane.

Rich in NC said...

ME: Wait!!! What??? There's gambling going on at Rick's Americain??? No! Say it ain't so.
Myself: I'd say it ain't so, but I'd be lying.
I: I try never to lie.

NITZAKHON said...

E.D.M. - IMHO, bingo. I'm sure Andrew Wetzel's comment has truth in it too, but primarily, even if they knew precisely what was going on, nobody wants the risk of the Scarlet "R".