Nick Shirley Exposes $9 BILLION Somali-Minnesota Fraud
A 23-year-old independent YouTuber and self-described journalist named Nick Shirley released a 42-minute video that quickly went viral, amassing tens of millions of views on platforms like YouTube and X (formerly Twitter). The video, titled something along the lines of “I Investigated Minnesota’s Billion Dollar Fraud Scandal”, purported to uncover widespread fraud in Minnesota’s child care assistance programs, particularly involving centers run by members of the state’s large Somali-American community.
Shirley, often aligned with conservative and MAGA viewpoints, traveled to Minneapolis with an associate (referred to as “David”) and visited several licensed child care facilities during business hours. In the footage, many centers appeared empty—no children visible, locked doors, or staff reluctant to allow entry. Shirley highlighted one facility with a misspelled sign (“Learing Center” instead of “Learning”), empty parking lots, and high reported enrollments despite the apparent lack of activity. He claimed these sites were collecting millions in taxpayer-funded subsidies through Minnesota’s Child Care Assistance Program (CCAP) without providing legitimate services, estimating his own findings uncovered around $110 million in potential fraud.
The video struck a nerve by tying the allegations to broader federal investigations into Minnesota’s social services programs. Federal prosecutors, led by First Assistant U.S. Attorney Joe Thompson, had stated earlier in December 2025 that $9 billion or more in federal funds supporting 14 state-run programs since 2018 (including COVID-era relief) may have been misappropriated. Of the roughly 92-98 defendants charged so far in related cases, Somali Americans reportedly made up about 89% (82-85 individuals, depending on the source).
Shirley’s reporting amplified existing scandals, such as the notorious Feeding Our Future nonprofit case, where federal authorities described the largest COVID-19 relief fraud scheme in U.S. history—initially pegged at $250 million for child nutrition programs that allegedly fed non-existent children, with funds used for luxury purchases, kickbacks, and even potential overseas transfers. Dozens have been convicted, with many defendants of Somali descent.
The impact was immediate and explosive. The video was reposted by high-profile figures including Vice President JD Vance (who praised it as superior to Pulitzer-winning journalism), Elon Musk, and others in conservative circles. It prompted responses from the FBI (Director Kash Patel noted increased resources already dedicated to Minnesota fraud schemes) and the Trump administration, which announced a freeze on federal child care funding to the state (roughly $185-300 million annually). Homeland Security agents conducted door-to-door visits at suspected sites, and some Republicans called for deportations or denaturalization of those involved.
Shirley himself framed the issue dramatically, noting the scale of the alleged fraud could rival Somalia’s entire GDP (estimated at around $12 billion). He defended his work against accusations of bias, insisting fraud is fraud regardless of ethnicity and that people hesitate to speak out due to fears of being labeled racist or Islamophobic.
However, the story is far from one-sided. Critics argue Shirley’s video is selective, sensationalized, and potentially misleading. State officials, including Governor Tim Walz (a Democrat), disputed the $9 billion figure as inflated, acknowledging billions in potential losses but emphasizing ongoing crackdowns. Some facilities Shirley visited had been inspected recently with no fraud found; one shared security footage showing children being dropped off the same day. Others were closed or cited for unrelated safety issues, not fraud. Immigrant rights advocates expressed concern that the narrative demonizes the entire Somali community (Minnesota hosts the largest in the U.S., centered in the Twin Cities), fueling xenophobia amid broader immigration crackdowns. Reports emerged of threats, vandalism, and harassment against Somali-run providers following the video’s spread.
The scandal highlights deep political divisions: Republicans portray it as evidence of lax Democratic oversight under Walz, while Democrats accuse the Trump administration of politicizing fraud probes to target immigrants and defund social programs. Federal investigations continue across nutrition, housing, behavioral health, and other areas, with the Treasury even examining possible links to overseas terror groups like al-Shabaab.
As of early 2026, the full scope remains under scrutiny, but Nick Shirley’s viral investigation undeniably thrust Minnesota’s long-brewing fraud issues into the national spotlight—sparking outrage, investigations, and fierce debate over accountability, immigration, and taxpayer dollars. Whether the $9 billion figure holds or proves exaggerated, the case underscores the challenges of safeguarding public funds in complex social service systems.