Podcast Summary: The 47 Morning Update with Ben Ferguson

Episode Title: Largest Funder of Al-Shabaab? Investigators Point to Minnesota Taxpayers
Air Date: November 24, 2025
Host: Ben Ferguson

Episode Overview

In this episode, Ben Ferguson delivers a deep-dive into startling revelations about fraud, waste, and abuse within Minnesota's welfare system—allegedly leading to Minnesota taxpayers becoming the largest funders of Al-Shabaab, a Somali-based terrorist organization. Ferguson draws on recent investigations, government reports, and statements from law enforcement to argue that lax oversight and systemic corruption within key welfare programs have enabled massive fraud, primarily perpetrated by members of Minnesota’s Somali community. He underscores the failures of local and federal officials and charges of political timidity, media neglect, and the chilling effect of accusations of racism. The episode relies heavily on reporting from City Journal and public press conferences, highlighting both fraud mechanics and political entanglements.

Key Discussion Points & Insights

A. Setting the Stage: Minnesota Welfare Fraud Crisis

• Major Claim: Billions in Minnesota taxpayer dollars have been stolen and funneled, in part, to foreign terrorist organizations via systemic welfare fraud.
• Political Context: Ferguson links these issues to broader conservative critiques of government inefficiency and progressive oversight.

B. The Housing Stabilization Services (HSS) Program

[05:08 – 10:25]

• Origin: Launched in 2020 with the stated aim of helping seniors, addicts, disabled, and mentally ill Minnesotans secure housing.
• Design Flaws: The program was intentionally structured with “low barriers to entry and minimal requirements for reimbursement,” making it vulnerable to exploitation.
• Cost Overruns:
  • Initial estimate: $2.6m per year in 2020.
  • Exploded to:
    • $21m (shortly after launch)
    • $42m → $74m → $104m per year by 2024.
    • $61m in payouts in just the first six months of 2025.
• Fraud Exposed:
  • Minnesota’s Department of Human Services recently terminated 77 HSS providers due to credible allegations of fraud ([09:07]).
  • Former acting U.S. Attorney Joe Thompson called “the vast majority” of the HSS program “straight up fraudulent.”
  • Allegations that fictitious companies, not just overbilling, were systematically set up to defraud the system.

“[T]hese are often just purely fictitious companies solely created to defraud the system. And that’s unique in the extent of which we have here in Minnesota.”
— Joe Thompson, Acting U.S. Attorney ([09:58])

C. Feed Our Future Scandal

[10:35 – 13:35]

• Background:
  • Feed Our Future started as a small nonprofit for daycare and after-school programs, enrolling sites in the federal Child Nutrition Program.
  • Rapid, suspicious expansion post-2019, coinciding with the COVID-19 pandemic.
• Fraudulent Activity:
  • Used fake meal counts, doctored attendance records, fabricated invoices.
  • By 2021, brought in nearly $200m in federal funds—up from $3.4m in 2019.
  • Minnesota officials raised concerns; the nonprofit replied with a lawsuit alleging racial discrimination to stifle scrutiny ([12:36]).
• Use of Funds:
  • Money intended for hungry children was instead spent on luxury lifestyles, real estate (in U.S., Turkey, Kenya), and vehicles.

“The organization that Feed Our Future sponsored were primarily owned and operated by members of yet again Minnesota’s Somali community... In response, the group filed a lawsuit alleging racial discrimination related to outstanding site applications and noting that Feeding Our Future caters to foreign nationals. So how dare you question us? You’re racist, right? Liberalism 101 playbook there.”
— Ben Ferguson ([12:19])

• Political Connections:
  • Notable Somali-American politicians and aides, including Rep. Ilhan Omar’s staff and Minneapolis city officials, have publicly supported or received donations from individuals indicted in the scheme ([14:00]).

D. Autism Services Fraud

[14:38 – 16:39]

• Key Case: Asha Farhan Hassan and partners charged with running a $14m fraud involving Minnesota’s Early Initiative Development and Behavioral Intervention Program (autism services).

• Fraudulent Diagnoses: Prosecutors allege children without autism were diagnosed anyway to increase payouts.

• Kickback Scheme:

  • Parents recruited and paid monthly cash kickbacks ($300–$1,500 per child) to enroll children in autism services.
  • Larger authorized services equaled bigger parent kickbacks.
  • Press release highlights widespread network and a culture of threatening to leave centers if higher payouts weren’t delivered ([15:33]).

• Scale of Expansion:

  • Medicaid autism claims: $3m (2018) → $54m (2019) → $399m (2023).
  • Providers: 41 (2018) → 328 (2023); notable increase in Somali-run centers.
  • Exposed rate: 1 in 16 Somali four-year-olds diagnosed with autism — more than triple the state average.

E. Systemic & Political Factors

[17:08 – 17:58]

• Motivation and Impunity:
  • Accusations of racism used to discourage whistleblowers and oversight (“the standard operating playbook for the cohort” — David Gaither, ex-State Senator).
  • Mainstream media and politicians reluctant to investigate due to electoral dependence on Somali community votes.
• Political Influence:
  • Strong ties between those charged in fraud cases and state and federal politicians.
  • Perpetrators leverage community influence to protect and expand their operations.

“If you don’t win the Somali community, you don’t win Minneapolis. And if you don’t win Minneapolis, you can’t win the state. End of story.”
— David Gaither ([13:50])

F. Broader Implications

[17:59 – End]

• Ferguson’s Argument:
  • These frauds have drained “billions” in taxpayer funds, directly harming both Minnesota and the nation.
  • The episode ends with a claim that only the vigilance of conservative officials after Trump’s election led to these revelations.
  • Noted as “the beginning of the story,” warning listeners of further yet-undiscovered abuse.

Notable Quotes & Memorable Moments

• On systemic fraud:

  “I have spent my entire career as a fraud prosecutor, and the depth of the fraud in Minnesota truly takes my breath away.”
  — Joe Thompson, Acting U.S. Attorney ([10:20])

• On political fear:

  “The media does not want to put a light on this. And if you’re a politician, it’s a significant disadvantage to you to alienate the Somali community... End of story.”
  — David Gaither ([13:50])

• On conservative oversight:

  “None of this would have been exposed if it wasn’t for Donald Trump and conservative members being put into positions of power to find and expose this type of blatant fraud that was in front of us the entire time.”
  — Ben Ferguson ([18:57])

Timestamps for Key Segments

• Intro and Episode Theme: [02:27 – 05:06]
• Minnesota Welfare Fraud & HSS Program: [05:08 – 10:27]
• Feed Our Future Scandal: [10:35 – 13:35]
• Political Ties & Media Response: [13:36 – 14:37]
• Autism Services Fraud: [14:38 – 16:39]
• Systemic/Political Factors & Impact: [16:40 – 18:00]
• Closing Reflections & Final Takeaway: [18:00 – 19:13]

Conclusion

Ben Ferguson’s episode advances a provocative and detailed account of how poorly designed state welfare programs in Minnesota have allegedly enabled massive fraud orchestrated by members of the Somali community, resulting in U.S. taxpayer funds reaching terrorist organizations like Al-Shabaab. The host ties systemic failures, political cowardice, and strategic accusations of racism to a broader pattern of progressive mismanagement, while warning listeners that far more remains to be uncovered.