Daycare owners took $4.6 million in public funds for kids who never showed up.
Prosecutors say the owners filed over 13,000 fake claims for child care services that were never actually provided.
Trust is the foundation of every community program meant to help families in need. When that trust is broken, it hurts the people who rely on those services the most.
Owners of several Somali-run daycare centers in the Minneapolis area are now facing fraud charges. Officials say they ran a scheme to steal $4.6 million from the state’s child care assistance program.
The centers were often empty or inactive. Despite this, the owners allegedly billed the government for thousands of hours of care that never happened.
Investigators found that the group filed more than 13,000 false claims. The scheme came to light after a viral video by Nick Shirley highlighted the suspicious activity at these locations.
What the money/evidence shows
- $4.6 million in total funds taken from the state.
- 13,000 individual false claims filed for payment.
- Multiple daycare centers were found to be empty or inactive.
- Fahima Egeh Mahamud is named as a key owner in the case.
- The investigation links back to the broader $250 million "Feeding Our Future" scandal.
The bigger question
How did these centers continue to receive millions in taxpayer money without basic oversight? We have to ask if the state is doing enough to check if these businesses are actually open before sending out checks.
This case raises concerns about how many other programs might be leaking money. If a center is empty, why is the system still paying them?
The other side
Fahima Egeh Mahamud and the other accused owners have not yet provided a detailed public defense against these specific claims. The strength of the state's case will depend on the digital records and physical evidence gathered during the investigation.
What happens now
This case will likely lead to stricter rules for how daycare centers get paid in Minnesota. Families who use these programs may face more paperwork and tighter checks to ensure their children are actually enrolled.
What we still don't know
- How many other centers are currently operating under similar fake claims?
- Why did it take a viral video to trigger a formal investigation into these specific sites?
- Will the state be able to recover any of the $4.6 million that was paid out?
Source Note
All charges are allegations - Fahima Egeh Mahamud is presumed innocent until proven guilty.
Transparency notes
Published: May 21, 2026. No major post-publication update has been logged.
Spot an error or missing context? Email hi@kindjoe.com and we will review and correct if needed.
Sources
External source links were not provided in this article body. Our editors reference publicly available materials and update stories as new verified information arrives.
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General
Will Daycare owners took $4.6 million in public funds for kids who never showed up.?
Owners of Somali-run daycare centers in Minneapolis are accused of stealing $4.6 million through thousands of fake claims for children who never attended.
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