Things get worse.
Minneapolis and Governor Tim Walz is once again making national headlines—this time over a staggering fraud scandal that experts warn could ultimately cost American taxpayers well over $1 billion. Some estimates suggest the final total could climb even higher, raising serious questions about government oversight and accountability.
The controversy has drawn renewed attention to how emergency COVID-era programs were managed—and mismanaged—at the state level.
Former federal prosecutor Joe Teirab, who spent nearly four years with the U.S. Attorney’s Office in Minneapolis and worked briefly on the high-profile Feeding Our Future case, says many Americans still don’t grasp just how extensive the problem became.
“Most people assume their government is acting in good faith and protecting taxpayer dollars,” Teirab told Fox News Digital. “That trust was badly misplaced.”
A Fraud Scheme That Grew at Record Speed
According to Teirab, the scale of the fraud expanded rapidly, fueled by weak controls and minimal verification.
“The speed was shocking,” he said. “Within a couple of years, Minnesota may have lost more than a billion dollars. Other prosecutors believe the total could exceed $2 billion. That’s not a rounding error—that’s a massive failure.”
The best-known case involves Feeding Our Future, a nonprofit accused of improperly diverting approximately $250 million in federal pandemic food aid. Prosecutors allege the organization submitted inflated claims for meals that were never served.
But Teirab cautions that the problem went far beyond one nonprofit.
‘It Was Shockingly Easy’ to Exploit the System
Teirab says what disturbed him most was how simple it was to manipulate the reimbursement process.
“Claims were submitted using basic spreadsheets and documents that were never properly verified,” he said. “There were few safeguards in place.”
Under the program, sponsor organizations were supposed to oversee food distribution sites serving children in need. Instead, investigators allege that oversight broke down entirely.
“They claimed thousands of meals were served each day when, in some cases, there may have been little to no activity at all,” Teirab explained.
Oversight Failures and Political Accountability
As investigators unraveled the scheme, more than 70 individuals were charged. However, Teirab argues responsibility doesn’t end there.
“State leadership appointed the officials who allowed these payments to go out unchecked,” he said. “Once warning signs appeared, more should have been done—much sooner.”
Governor Tim Walz’s office has defended the administration’s actions, stating that combating fraud is a top priority. Officials point to new audits, additional investigators, and a specialized fraud unit as evidence that reforms are underway.
Still, Teirab remains skeptical.
“This wasn’t a sudden surprise,” he said. “Concerns were being raised years ago.”
Growing Frustration Among Taxpayers
Teirab, who ran for Congress in 2024, says voters are right to feel frustrated—especially older Americans who spent decades paying into the system.
“When leaders downplay what happened or claim they were fully on top of it, people see through that,” he said. “Taxpayers deserve honesty and accountability.”
For many conservatives, the scandal has become a symbol of what happens when large government programs expand without proper checks and balances.
“At the end of the day, this money belonged to the American people,” Teirab said. “And once it’s gone, you don’t just get it back.”
