Episode Overview
Title: Live from the Pentagon: NYT Finally Reports on Minnesota Fraud Scandal Under Tim Walz
Podcast: Human Events Daily with Jack Posobiec
Host: Jack Posobiec
Guest: Liz Collin (Alpha News)
Date: December 2, 2025
This episode centers on the recent national attention brought to Minnesota's extensive social services fraud scandal—previously uncovered and reported by local journalists but now acknowledged by major national outlets, including The New York Times. The discussion dives deep into the scope and historical timeline of the fraud, the complicity or inaction of state leadership (particularly Governor Tim Walz), the repercussions on Minnesota’s political landscape, and the alleged connections between fraud proceeds and overseas terrorist financing. The episode features investigative journalist Liz Collin, who provides inside context and details from years of reporting on fraud in Minnesota.
Key Discussion Points & Insights
1. Mainstream Media's Delayed Reporting and Political Implications
- [03:12] Liz Collin: Reflects on the "whirlwind" as the New York Times finally covers the Minnesota fraud scandal, which has been ongoing for years. She points out that local reporters and state employees flagged these issues long ago, yet state leadership and local media, notably the Star Tribune, largely ignored them.
- The role of national media: National coverage is finally sparking federal action, including investigations from the DOJ and the US Treasury, and raising questions about Governor Tim Walz’s leadership as he seeks a third term.
“You have originally the New York Times finally acknowledging…this rampant extent of fraud in Minnesota over the weekend. Again, we're talking multi, billions of dollars in fraud through multiple social programs in the state at this point.”
— Liz Collin [03:12]
2. Minnesota Department of Human Services (DHS) Employees Sound the Alarm
- An X (formerly Twitter) account operated by hundreds of Minnesota DHS employees publicly blamed Governor Walz for ignoring their warnings about fraud. After this, the account was deactivated briefly, drawing national attention.
- [03:12] These employees reportedly approached the governor years ago to stop seen fraud but were dismissed.
“These Department of Human Services employees...brought this forward. And it sounds like their concerns were ignored according to what they're posting on this X account.”
— Liz Collin [03:12]
3. The Feeding Our Future Fraud Scheme and Jury Tampering
- Minnesota’s largest COVID funding fraud: Over $250 million stolen under the guise of feeding needy children. As of this episode, the 78th defendant has been charged.
- Jury bribery episode:
- One juror received a $120,000 cash bribe left at her doorstep in a Hallmark bag. The woman who delivered the bribe has a criminal history, including insurance fraud and leaving the scene of a DWI.
- The bribed juror reported the bribe, was removed from the case, and all verdicts have been guilty.
"You had $120,000 cash, Jack, left on a juror's doorstep in that trial, left in, like, a Hallmark bag...she was picked up finally, I think, after it was a couple of years...now she's out again. Many people are just saying, this is enough."
— Liz Collin [07:39]
4. Cultural and Racial Dynamics in Prosecuting the Fraud
- Weaponization of race:
- Reporting and prosecuting Somali perpetrators of fraud was suppressed out of fear of being seen as racist.
- A defendant justified bribery as part of "our culture," highlighting the cultural sensitivities entangled in the case.
“This woman...has taken the stand in her trial to say, this is our culture? Those were her words...As if some way to excuse this bribe. And it's really made a mockery, I think, of the Minnesota justice system as well.”
— Liz Collin [09:00]
- Response to Trump’s crackdown:
- Minneapolis city leaders, led by Councilmember Jamal Osman, held a press conference condemning President Trump's response as racist and xenophobic. The same Osman was connected to nonprofits implicated in the fraud.
5. Allegations of Terrorism Financing
- The US Treasury is investigating whether fraud proceeds were funneled to Al Shabaab, a Somali terrorist group (based on reporting by Chris Rufo for City Journal).
- The US government is treating the fraud not just as crime but as potential terror financing, thus unlocking more powerful investigative and prosecutorial tools.
“US treasury is investigating allegations that ...Minnesotans tax dollars have been diverted to the terrorist organization Al Shabaab.”
— Jack Posobiec [13:10]
- Fraudsters’ methods:
- Money often sent to Somalia/Kenya; perpetrators expect to serve prison time, knowing the funds cannot be recovered and may benefit them after release.
"We've heard before and reported before how this money has been funneled to Somalia, has been funneled to Kenya, and you know, it's long gone by the time that some of these investigators have caught up to the fraud."
— Liz Collin [14:35]
6. Governor Tim Walz’s Knowledge and Response
- Governor Walz claims to have cracked down on fraud, but reporting suggests it was federal, not state, prosecutors leading the efforts.
- Walz allegedly avoided creating an independent oversight position, preferring an office under his control. The tangible results of his anti-fraud efforts remain questionable.
"He had the power in the legislature to...create sort of this separate position, but it was clear that he did not want someone to take a look at that that he would not control…"
— Liz Collin [16:56]
7. Grassroots and Local Investigative Efforts
- Alpha News and citizen action:
- Local residents are now conducting their own surveillance and sharing tips on suspected fraud.
- Alpha News has compiled years of reporting and is willing to assist federal investigators.
"There is not a day that goes by that we do not receive a tip...people are...setting up surveillance cameras themselves....The citizens certainly deserve better here."
— Liz Collin [18:28]
Notable Quotes & Memorable Moments
-
On the mainstream media's belated coverage:
“It just seems the New York Times wasn’t able to find out any of this information, you know, during the election… How strange.”
— Jack Posobiec [05:07] -
On the scope of the scandal:
"It's the 78th defendant charged just last week. 78th in the Feeding Our Future fake meal scheme that's gone down as the largest Covid scheme in the country."
— Liz Collin [05:38] -
On the potential for terror financing:
“Hard working Minnesotans’ tax dollars have been diverted to the terrorist organization Al Shabaab.”
— Jack Posobiec [13:10] -
On the cultural excuses for fraud:
"This is our culture. This is what we do. As if some way to excuse this bribe."
— Liz Collin [09:00] -
On the impact of mass migration:
“When you import a group of people from a part of the world where scamming and cheating and fraud are part of the culture, then that is the culture you are going to import. This is Third World culture...”
— Jack Posobiec [19:39]
Timestamps for Key Segments
- [03:12] — Liz Collin details the timeline and political context of the fraud scandal
- [05:07] — Media’s late arrival to the story and political ramifications
- [07:39] — Feeding Our Future fraud, jury tampering, and details of criminal proceedings
- [10:09] — Dynamics of race, culture, and silence around reporting fraud
- [13:10] — Terrorism financing allegations and the US Treasury’s involvement
- [16:56] — Governor Tim Walz’s response analyzed
- [18:28] — Alpha News’ efforts and willingness to collaborate with federal authorities
- [19:39] — Jack Posobiec on imported cultural values and their social consequences
Resources & Follow Up
- Reporting on Minnesota’s fraud: AlphaNews.org
- Follow Liz Collin: @lizcollin on X (Twitter)
- Human Events Daily Podcasts: Apple, Spotify, and other platforms
This summary captures the episode’s major angles: widespread social services fraud in Minnesota, its delayed national acknowledgment, the complicity of local political and media institutions, community and grassroots responses, and the broader debates around culture and immigration. The tone is urgent, skeptical of state leadership, and critical of mainstream media’s handling of the story.
