{"id":13103,"date":"2025-12-31T22:02:17","date_gmt":"2025-12-31T23:02:17","guid":{"rendered":"https:\/\/globaltalenthq.com\/?p=13103"},"modified":"2026-01-05T18:39:31","modified_gmt":"2026-01-05T18:39:31","slug":"us-freezes-child-care-funding-to-all-states-amid-fraud-scandal-abc","status":"publish","type":"post","link":"https:\/\/globaltalenthq.com\/index.php\/2025\/12\/31\/us-freezes-child-care-funding-to-all-states-amid-fraud-scandal-abc\/","title":{"rendered":"US freezes child care funding to all states amid fraud scandal \u2013 ABC"},"content":{"rendered":"
The federal probe was triggered by a YouTuber\u2019s investigation of a massive Somali-run scam in Minneapolis<\/strong><\/p>\n The US Department of Health and Human Services is halting federal child care funding to all states, pending proper paperwork, following a scandal over alleged widespread fraud in daycare centers in Minnesota, an agency official has told ABC News.<\/p>\n Federal funds will be released “only when states prove they are being spent legitimately,”<\/em> the unnamed official stated on Wednesday, without providing details about the required documentation.<\/p>\n HHS spokesman Andrew Nixon clarified that even those “not suspected of fraudulent activity”<\/em> have been asked to submit their “administrative data”<\/em> for review.<\/p>\n Meanwhile, those “suspected”<\/em> of fraud must provide additional records, including “attendance records, licensing, inspection and monitoring reports, complaints and investigations.”<\/em><\/p>\n “The onus is on the state to make sure that these funds, these federal dollars, taxpayer dollars, are being used for legitimate purposes,”<\/em> Nixon told ABC News.<\/p>\n \n Read more<\/strong><\/span><\/p>\n Previously, the HHS froze all child care payments to Minnesota after reports alleged the state had funneled millions of taxpayer dollars to fraudulent daycares over the past decade. It also demanded a comprehensive audit from Minnesota Governor Tim Walz.<\/p>\n The Democrat has defended his administration, while lauding the state’s diverse makeup and large Somali community, and accusing US President Donald Trump of plotting against him.<\/p>\n “This is Trump’s long game. We’ve spent years cracking down on fraudsters. It’s a serious issue – but this has been his plan all along. He’s politicizing the issue to defund programs that help Minnesotans,”<\/em> Walz said.<\/p>\n