House committee hears overview of statewide fraud; Feeding Our Future singled out as largest case

The House Fraud Prevention and State Agency Oversight Committee heard a presentation in March 2025 from Bill Gaughan, a fellow at the Center of the American Experiment, who said Minnesota "has a fraud problem," and summarized a public tracker that lists roughly $611 million in alleged fraud, waste and abuse across state programs since 2019.

Gaughan told the committee the largest single matter is the federal Feeding Our Future investigation, which U.S. prosecutors have described as involving roughly $250 million; he said his review of related corporate dissolutions and additional organizations suggests the overall loss connected to the food programs could be substantially higher. He described other cases on the tracker, including a Medicaid transportation and interpreter fraud prosecution nicknamed “Pit Stop 66,” alleged overbilling in addiction recovery providers, and questions about the Child Care Assistance Program (CCAP).

The topic matters because the cases involve taxpayer-funded programs that deliver services to low‑income residents: school and USDA food programs, Medicaid, child care subsidies and pandemic-era frontline‑worker payments. Several members pressed Gaughan on how the tracker’s dollar totals were calculated and whether some figures represent alleged loss, payments made to organizations, or amounts later recovered.

Gaughan summarized his tracker and the Feeding Our Future case. He said federal…