Minnesota’s sprawling Somali-linked fraud networks may be far larger and more deeply embedded than the public was ever told. What was originally reported as a $250 million “Feeding Our Future” scandal and later acknowledged as a $1 billion fraud may now exceed $8 BILLION, according to whistleblowers and new federal investigations.
In an explosive announcement on X, U.S. Small Business Administrator Kelly Loeffler revealed that numerous individuals and nonprofits indicted in the Minnesota COVID-relief scandal also received SBA PPP loans and other federal payouts, suggesting a coordinated, multi-agency exploitation of pandemic programs.
“Numerous individuals and nonprofits indicted in the $1 billion Minnesota COVID fraud scandal, including Feeding Our Future, received SBA PPP loans in addition to other state and federal funding,” Loeffler wrote on X Tuesday.
“I have ordered an investigation into the network of Somali organizations and executives implicated in these schemes. Despite Governor Walz’s best efforts to obstruct, SBA continues to work to expose abuse and hold perpetrators accountable, full stop.”
Numerous individuals and nonprofits indicted in the $1 billion Minnesota COVID fraud scandal, including Feeding Our Future, received SBA PPP loans in addition to other state and federal funding. Today, I have ordered an investigation into the network of Somali organizations and… https://t.co/J4FLoH1S0s
— Kelly Loeffler (@SBA_Kelly) December 2, 2025
An SBA spokesperson confirmed to Fox News Digital that the agency is now investigating every individual and organization indicted in Minnesota’s broader COVID-fraud scandal:
“The agency is investigating all individuals and organizations indicted as part of the $1 billion Minnesota COVID fraud scheme to identify any that may have also fraudulently obtained PPP loans—evaluating their citizenship status, the legitimacy of their nonprofit work, and other requirements for eligibility.”
SBA spokesperson Maggie Clemmons added:
“The agency will provide additional details as the scope of fraud across these Somali networks are uncovered—and remains committed to clawing back all funding that was illegally obtained on behalf of American taxpayers.”
Loeffler followed up Thursday with another bombshell:
“In just the last two days, SBA has uncovered at least $1 million in PPP and EIDL loans that were granted to individuals indicted as part of the broader billion-dollar pandemic fraud scheme in Minnesota. We continue to investigate these organizations and executives to determine their citizenship status, the legitimacy of their nonprofit work, and other requirements for loan eligibility.
The fraud in this state runs deeper than was ever previously reported. SBA is working around the clock to get answers and make taxpayers whole.”
In just the last two days, SBA has uncovered at least $1 million in PPP and EIDL loans that were granted to individuals indicted as part of the broader billion-dollar pandemic fraud scheme in Minnesota.
We continue to investigate these organizations and executives to determine…
— Kelly Loeffler (@SBA_Kelly) December 4, 2025
During a Friday report, Fox News correspondent Garrett Tenney confirmed that federal investigators now believe the total scope of the Minnesota fraud could be eight times larger than reported:
Garrett Tenney:
“Fraud investigators are finding in Minnesota is growing by the day. Kelly Loeffler, who leads the Small Business Administration, says that in the two days her agency has been investigating the state, they’ve uncovered at least a million dollars in PPP fraud — just two days in. Several of the whistleblowers in Minnesota have also told lawmakers they believe the total amount of fraud could reach more than $8 billion.Governor Tim Walz, who is up for re-election, is under fire for all of this happening under his watch. But he says they have paused these programs, brought in outside auditors to get an idea of how far-reaching this fraud was, and are taking steps to keep it from happening again. He is defending his management of the state while also taking shots at Republicans and the President.
[…]
Yeah, and Minnesota is also now home to the single largest pandemic fraud scheme in the country. Republicans argue that Walz and other Democrats opened the door to this.”
WATCH:
BREAKING: Minnesota’s Somali fraud may reach $8 BILLION, not just $1 billion as first reported.
pic.twitter.com/dfiqKw4uCF— Jack (@jackunheard) December 5, 2025
The post SHOCKING: Minnesota’s Somali Fraud May Reach $8 BILLION — EIGHT TIMES Larger Than Originally Reported appeared first on The Gateway Pundit.