Maine suspends funding to Gateway Community Services after fraud allegations surface, with state seeking over $1 million in improper Medicaid payments.

The Department of Health and Human Services said it has frozen federal child care funding for the state of Minnesota, citing viral fraud allegations. Jonah Kaplan has the latest.

The halt comes after a Youtuber alleged nearly a dozen day care centers in Minnesota are receiving public funds but are not actually providing any service.

New York Times writer Mara Gay claimed investigations into Minnesota fraud allegations are politically motivated and "scapegoated" the Somali community.

As reports of a sprawling tax fraud scheme by members of Minnesota's Somali community multiplied in late December 2025, a rumor circulated online that the state's Democratic Gov. Tim Walz had granted $8 billion to a Somali company to investigate fraud in Minnesota.

The Justice Department is investigating DEI initiatives at major companies under a federal law usually used to recover funds lost to fraud.