BREAKING: Bessent and Kash Patel Announce Major Fraud Bust in Minnesota, Four Arrested In $41 Million Scheme

The Trump administration is turning up the heat on Minnesota's sprawling fraud problem, and federal investigators are making it clear that the days of treating taxpayer-funded programs like personal ATMs may finally be coming to an end.

Treasury Secretary Scott Bessent and FBI Director Kash Patel announced Friday that federal agents executed 17 search warrants across the Minneapolis area this week, resulting in four arrests tied to a 26-count indictment alleging massive Medicaid and social-services fraud, according to KSMP-TV.

Prosecutors allege the defendants attempted to siphon more than $41 million from programs established to help vulnerable Americans. Investigators estimate the actual losses at approximately $21.65 million.

The raids targeted child care centers, health care providers, and the homes of several business owners, as federal authorities began pulling back the curtain on another alleged multimillion-dollar fraud operation.

Patel identified the four individuals charged:

Feisal Elmi, of Aspen Associates, faces 11 counts of health care fraud and an alleged intended loss of approximately $8 million.

Jama Mohamod, of American Home Health Care, faces six counts of health care fraud involving an alleged $3.27 million intended loss.

Faiza Ahmed, of Home Sweet Home, faces eight counts of health care fraud with an alleged intended loss of $10 million.

Habiba Mohamed, of Smart Therapy, faces one count of conspiracy to defraud the United States involving nearly $20 million in “intended fraud and loss.”

Patel made clear that federal investigators are nowhere near finished. Rumor has it that Ilhan Omar [whatever he real name is] is shaking in her hijab.

“We’re going to continue manhunting fraudsters in every corner of the earth,” Patel declared.

“The FBI is following the money,” he added. “If you steal from the government or American taxpayers, justice will find you.”

Bessent, speaking at the announcement in St. Cloud, took aim at former Minnesota Gov. Tim Walz, whose administration has faced mounting scrutiny over the state's fraud scandals.

Bessent said industrial-scale fraud “shamefully, and perhaps knowingly,” was allowed to flourish under Walz's watch.

The Treasury secretary also highlighted the administration's broader efforts to root out fraud nationwide. Since January 2025, the administration has identified more than $260 billion in suspected fraud and blocked tens of billions of dollars annually from reaching improper recipients.

The Minnesota prosecutions, Bessent explained, are part of a broader “War on Fraud.”

Federal officials also pointed to findings from FinCEN, the Financial Crimes Enforcement Network, which identified more than $8 billion in suspicious foreign-directed wire transfers flowing through U.S. money-services businesses between 2021 and 2025.

In other words, investigators are increasingly finding that money supposedly earmarked for Americans in need was instead allegedly finding its way into private pockets or being shipped overseas.

Minnesota taxpayers have spent years watching one fraud scandal after another emerge from programs designed to help the most vulnerable. Now, with the FBI and Treasury Department pursuing the money trail, the question is how much more remains hidden and who else may eventually be held accountable.

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Trump hails Iraqi prime minister as ‘fantastic guy’ as Iraq seeks sanctions exemption

President Trump shakes hands with Iraqi Prime Minister Ali al-Zaidi as they participate in a bilateral meeting in the Oval Office at the White House in Washington, D.C., on July 14, 2026. (Reuters/Evan Vucci)

NEW YORK — After a brief meeting at the United Nations General Assembly, President Donald Trump officially announced that Iraqi Prime Minister Ali al-Zaidi has achieved the highest honor attainable in modern international diplomacy: being a fantastic guy.

"It went great. He's a fantastic man. He's a friend of mine. I endorsed him, right? I mean, I endorsed him, the Iraqi prime minister, he's a fantastic guy," Trump said Saturday when simply asked how the meeting went.

The glowing endorsement arrived just as the Office of Iraq’s Prime Minister announced Saturday it is in talks with the U.S. Treasury Department to secure an exemption linked to the shutdown of Iranian airlines.

Treasury Secretary Scott Bessent had previously announced that all Iranian airlines will be "shut down" starting Wednesday during the Operation Economic Outcast pressure campaign against the regime in Tehran.

Upon realizing that "shut down" meant actual planes would stop flying, Iraqi officials immediately requested a special pass.

"The Iraqi government is conducting direct dialogue with the American side to exempt some Iraqi airports from these measures, in a manner that allows the resumption of air travel, for humanitarian reasons related to treatment, study, religious visits, and civilian interests," the Iraq Prime Minister’s Office said Saturday.

Middle Eastern diplomats then released a carefully worded statement urging everyone to just calm down and talk it out.

"While the Iraqi government is working to de-escalate the situation in the region, it affirms that the continuation of crises complicates the scene further, and calls on all parties to engage in dialogue and negotiation to reach solutions that end the current crisis and conflicts, in a way that achieves the interests of the region's countries and peoples," it added.

At press time, Treasury officials were reviewing the exemption request while trying to determine if being a "fantastic guy" carries official diplomatic immunity from economic sanctions.

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Trump Grants Iran 60-Day Oil Hall Pass After Regime Promises To Behave This Time

WASHINGTON, D.C. — In a heartwarming display of international trust rarely seen outside kindergarten classrooms, the Trump administration announced Monday that it will temporarily allow Iran to produce and sell oil after the Islamic regime reportedly promised to keep its hands to itself and play nicely in the Strait of Hormuz.

Treasury Secretary Scott Bessent revealed that the administration has issued a 60-day license authorizing Iranian oil sales while negotiators work toward a broader peace agreement. Officials expressed cautious optimism that a government famous for sponsoring terrorism, threatening its neighbors, and chanting "Death to America" may finally be turning over a new leaf.

“In line with the ongoing productive talks in Switzerland, Iran has committed to free and open transit in the Strait of Hormuz and to permit International Atomic Energy Agency (IAEA) inspectors into their country,” Bessent wrote on X.

Diplomats reportedly celebrated the breakthrough after Iran allegedly looked everyone directly in the eye and promised it was being totally serious this time.

“As part of the framework, Treasury has issued a temporary 60-day general license authorizing the production, delivery, and sale of Iranian oil,” he continued.

To ensure the arrangement remains above board, the license specifically prohibits buyers in North Korea, Cuba, and Crimea from purchasing Iranian oil, effectively preventing what experts described as "the world's least trustworthy governments from forming an even more suspicious customer loyalty program."

Vice President JD Vance said the negotiations successfully established a mechanism to keep the Strait of Hormuz open and prevent disagreements from spiraling into a larger conflict.

Administration officials praised the agreement as a significant diplomatic achievement, noting that if all goes well, future negotiations could include additional confidence-building measures such as Iran pinky-swearing not to build nuclear weapons and signing a note promising not to fund terrorist proxies during recess.

At press time, international observers reported that several barrels of Iranian oil had already begun flowing toward global markets while diplomats eagerly waited to see whether the phrase "trust but verify" could survive another encounter with the Iranian regime.

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Bessent's witty remark about Illinois exodus leaves Chicago-area lawmaker fuming on camerap

If there’s one thing congressional Democrats love more than lecturing Americans about economics, it’s yelling at Republicans who actually know something about economics.

Treasury Secretary Scott Bessent found himself on the receiving end of one of Capitol Hill’s trademark Democrat meltdowns this week during a House Ways and Means Committee hearing, when Rep. Brad Schneider of Illinois decided that volume was a substitute for intelligence.

Schneider joined the usual parade of Democrats trying to pin every fluctuation in grocery prices on President Donald Trump, tariffs, Iran, capitalism, weather patterns, and probably Jupiter being in retrograde. Bessent, meanwhile, kept calmly reminding everyone that inflation during the Biden years looked like a Black Friday riot at the Federal Reserve.

Things got spicy after Schneider attempted to corner Bessent over comments regarding the Iran conflict. Schneider dramatically asked whether Bessent wanted to "correct the record" about the conflict being "ended," before rattling off a list of concerns about Iran threatening Israel and U.S. allies.

Bessent, clearly enjoying himself, smiled and asked whether Schneider was suddenly "in agreement" with Trump since the congressman had just repeated the administration’s goals out loud without spontaneously combusting.

"Unless an American life is lost, he does not believe that he will have to restart the kinetic attacks," Bessent replied.

That answer did not soothe Schneider, who immediately shifted into the familiar Democrat setting of Angry Cable News Panelist. As the congressman grew more agitated, he tried tying rising commodity prices to the Iran conflict while blaming Trump and Bessent for everything short of the Cubs bullpen.

Bessent responded with the sort of thing Democrats hate most, actual numbers.

The treasury secretary pointed out that core inflation currently sits at 2.8%, close to the Federal Reserve’s target, before dryly noting that Schneider seemed determined to recite a grocery list of the most expensive items he could find.

"you can list off the most expensive groceries that have had the biggest price increases," Bessent quipped.

Naturally, Schneider accused Bessent of being out of touch, because modern Democrats believe anyone who disagrees with them must either be evil or shopping at the wrong supermarket.

That’s when Bessent delivered the line that probably caused half the Illinois delegation to start stress-eating deep dish pizza.

"Well, you Democrats should know, no wonder so many people are leaving Illinois. Why don't you come see me in South Carolina?"

Ouch.

Schneider, apparently unaware that U-Haul statistics exist, angrily insisted people are not fleeing Illinois.

Bessent couldn’t resist twisting the knife.

"You're saying Illinois doesn't have net outbound migration?"

At that point, somebody in the room probably should’ve checked Schneider’s blood pressure.

The congressman then abruptly changed subjects to Trump’s settlement with the IRS over former contractor Charles Littlejohn leaking tax returns, because nothing says “I’m winning this argument” like bailing out entirely.

Schneider huffed that nobody, including Trump, is "above the law."

Bessent calmly fired back that Trump is not "beneath the law" either, while accusing Democrats of "weaponizing the system."

Schneider then solemnly declared, "His taxes should never be leaked. No taxpayer information should be leaked…"

That setup was just too easy.

"Then, congressman, would you like to apologize to the president right now on behalf [of your party]?"

Somewhere deep in the bowels of Congress, a Democrat communications staffer immediately updated their résumé.

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Democratic Hochul aide under investigation over alleged migrant shelter bribes

Federal prosecutors are investigating whether a New York City council-member and her sister, a top aide to Gov. Kathy Hochul, accepted bribes or kickbacks tied to city funding steered to a migrant shelter provider, according to a search warrant obtained by The Associated Press.

The March 19 warrant seeks evidence of possible criminal conduct involving Council-member Farah Louis, a Brooklyn Democrat, her sister, Debbie Louis, Hochul’s assistant secretary for New York City intergovernmental affairs, and Edu Hermelyn, husband of Assembly member Rodneyse Bichotte Hermelyn, the chair of the Brooklyn Democratic Party.

A spokesperson for Hochul said Debbie Louis was placed on leave last week after the governor became aware of the federal corruption probe. Someone answering a phone number associated with Louis ended the call when asked by the AP about the investigation, and the AP reported messages left for Farah Louis and Hermelyn were not returned.

New York City Council-member Farah Louis is reportedly under federal investigation for an alleged bribery scheme.  According to the warrant, investigators are examining whether the three received benefits in exchange for actions taken on behalf of BHRAGS Home Care Inc., a Brooklyn nonprofit that historically provided in-home care for sick and elderly clients.

As New York City’s migrant influx intensified in 2022, BHRAGS broadened its work to include emergency shelter operations for asylum seekers and other homeless services. Since then, public records show the group has been awarded more than a dozen contracts worth upward of $200 million from the city’s Department of Homeless Services.

"This is political persecution driven by the far-right, targeting immigrants and the leaders who stand with them," a political insider tied to Rodneyse Bichotte Hermelyn told the New York Post on Monday. "There are no charges at this time, and the facts will ultimately lead to this case being dropped on its merits."

An attorney for BHRAGS Executive Director Roberto Samedy declined to comment to the AP.The warrant also seeks records of money transfers and communications involving Edouardo St. Fort, a former New York Police Department sergeant who retired in 2023. That same year, records indicate his firm, Fort NYC Security, secured a $3 million contract from the Department of Homeless Services. AP calls and emails seeking comment from St. Fort were not returned.The warrant’s existence does not mean charges are imminent. It indicates only that federal investigators convinced a judge they had sufficient grounds to search for and seize potential evidence.

The probe lands amid broader scrutiny over how New York City awarded emergency shelter contracts during the migrant crisis, when the arrival of tens of thousands of asylum seekers strained the city’s shelter system and prompted officials under then-Mayor Eric Adams to rapidly expand housing capacity through outside providers.

Some of those arrangements have drawn criticism from watchdogs and political opponents, who questioned the speed, scale and oversight of the contracting process.

The figures named in the warrant are all connected to Brooklyn’s Democratic political establishment, which has been rocked by a series of ethics controversies in recent years. Hermelyn, who once served as a senior adviser to Adams, stepped down after questions were raised about whether his role as a Brooklyn district leader conflicted with rules barring certain dual government positions. He also went on to advise former Gov. Andrew Cuomo during Cuomo’s unsuccessful mayoral campaign.

The Trump administration, led by fraud investigation czar Vice President JD Vance, has prioritized federal law enforcement investigations nationwide.

Just this week, Treasury Secretary Scott Bessent's Treasury Department announced it is offering whistleblowers a major financial incentive to help expose fraud, directing would-be tipsters to the Treasury.gov website, telling Fox News on Monday that the administration has already received more than 700 leads.

The Treasury’s whistleblower page says eligible tipsters can receive between 10 percent and 30 percent of monetary sanctions collected for successful actions.

While Minnesota fraud among the state's Somali community has made headlines thus far thanks to independent journalist Nick Shirley's reporting, Bessent actually praised that state for having some level of transparency that is not permitted in California or New York.

"That's why that young man, Nick Shirley, was able to go to see the scams, because it was: This is the name of the facility, this is the address, this is how much money they got," Bessent said. "Oh look, it's an empty storefront. There's no one here. New York, California are hiding it."

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