Minnesota Gov. Tim Walz (D) said Tuesday that state agencies played a key role in facilitating FBI raids on more than 20 businesses in the Minneapolis area as part of an expanding federal anti-fraud investigation targeting daycare facilities and related businesses.
The raids, which targeted businesses linked to Minnesota's large Somali community, included the now-infamous Quality "Learing" Center, whose misspelled sign became a focal point of the state's fraud controversy beginning in late December. Federal agents were photographed taking photos and moving documents inside locations in South Minneapolis.
What the Left Is Saying
Walz posted on social media Tuesday that his administration deserves credit for the law enforcement action, saying state agencies identified irregular behavior and reported it to federal partners.
"If you commit fraud in Minnesota you're going to get caught — and that's exactly what we saw today," Walz wrote. "We catch criminals when state and federal agencies share information. Joint investigations work, and securing justice depends on it."
Progressive supporters of Walz have argued that the governor's administration has been actively working to address fraud problems within state programs for years. They note that Walz testified before Congress earlier this year acknowledging fraud issues while emphasizing his administration's efforts to investigate and prosecute bad actors.
Democrats have also pointed to Walz's recent call for federal investigations into the January killings of Minneapolis residents Renee Good and Alex Pretti by federal immigration agents as evidence he remains focused on holding all parties accountable under the law.
What the Right Is Saying
FBI Director Kash Patel directly challenged Walz's characterization of events in a post on X, saying federal officials obtained and executed all search warrants without state assistance.
"Come again? This FBI and DOJ with our DHS partners drafted and executed every search warrant today," Patel wrote. "But go ahead and take credit for our work while we smoke out the fraud plaguing Minnesota under your governorship."
Republican critics have noted that Walz previously refused to cooperate with federal agents during Operation Metro Surge, which included investigations into suspected fraud. They argue his current cooperation represents a shift motivated by political pressure rather than genuine commitment to combating fraud.
Conservatives also point to statements Walz made in late December when he accused President Donald Trump of "politicizing" the fraud issue after the president moved to freeze federal child care payments to Minnesota over ongoing fraud concerns. "He's exploiting this for political purposes," Walz said at the time, adding that Trump's actions were part of a coordinated effort to defund programs helping Minnesotans.
What the Numbers Show
At least 22 businesses were targeted in Tuesday's raids across the Minneapolis area, according to reports from multiple news outlets covering the operation.
Fraud in Minnesota state-run programs has escalated significantly since 2018 under Walz's administration. The most prominent case involves Feeding Our Future, a federally funded nonprofit that executed a massive fraud scheme during the COVID-19 pandemic.
Dozens of individuals, many from Minnesota's Somali community, have been arrested and charged with defrauding various state social programs in recent years. The scope of these frauds has drawn repeated scrutiny from federal investigators and congressional oversight committees.
CBS News reported that federal agents were seen at daycare locations Tuesday morning photographing evidence and removing portable file cases as part of the document collection process.
The Bottom Line
The dispute over credit for the raids highlights ongoing tensions between Minnesota's Democratic administration and the Trump administration's approach to fraud enforcement in the state. Walz announced in January that he would not seek a third term as governor, citing the growing fraud scandal as a factor affecting his political future.
Federal investigators have signaled that the anti-fraud operation is expected to continue expanding as they review documents seized during Tuesday's raids. Both state and federal officials have indicated additional charges could follow as the investigation progresses. Walz has called for joint cooperation on other matters, including requesting a joint investigation into the January deaths of two Minneapolis residents.
What happens next: Courts will begin reviewing evidence gathered from the searches, and prosecutors will determine whether to file formal charges against any of the businesses or individuals targeted in Tuesday's raids.