U.S. Treasury Secretary Scott Bessent announced Monday that he has launched a federal investigation into explosive allegations that Minnesota tax dollars were siphoned off to the terrorist group Al-Shabaab under the Biden administration and Governor Tim Walz. And honestly, considering the level of “competence” we’ve seen from this administration, nobody’s exactly shocked.
“At my direction, @USTreasury is investigating allegations that under the feckless mismanagement of the Biden Administration and Governor Tim Walz, hardworking Minnesotans’ tax dollars may have been diverted to the terrorist organization Al-Shabaab,” Bessent posted on X. He also made it clear that thanks to the leadership of President Trump, the Treasury is acting quickly to ensure Americans’ money isn’t being funneled into global terror networks. Imagine that — real leadership actually getting things done.
Governor Walz’s office, in typical damage-control mode, told Fox News Digital that Walz himself said last week that if any connection exists between Minnesota tax funds and Al-Shabaab, he would “welcome” an investigation. A convenient stance now that the spotlight is shining directly on him.
The allegations gained momentum last month when Ryan Thorpe and Christopher F. Rufo of the Manhattan Institute uncovered a massive fraud scheme involving Minnesota’s Medicaid Housing Stabilization Services program, Feeding Our Future, and several other organizations — a report that can only be described as a bombshell. Thorpe and Rufo found that members of Minnesota’s Somali community played significant roles in the fraud, and federal counterterrorism officials confirmed that millions in stolen funds were sent back to Somalia, eventually landing in the hands of Al-Shabaab.
The investigators followed the simple question: “Where did the money go?” And, unsurprisingly, it went right where it shouldn’t. The Somali fraud rings allegedly sent money from Minnesota to Somalia through various channels, and with approximately 40% of Somali households depending on remittances from abroad — totaling $1.7 billion in 2023 — the cash flow was massive. Larger than the Somali government’s budget, actually. Very reassuring, right?
Thorpe and Rufo discovered that money moved through a network of “hawalas,” informal money-trading operations that ultimately channeled funds to Al-Shabaab, an al-Qaeda-linked terrorist organization. Multiple law enforcement sources confirmed the flow of millions through these networks. Glenn Kerns, a retired Seattle Police Department detective who spent 14 years on a federal Joint Terrorism Task Force, explained how Somalis were routing cash on commercial flights from Seattle to the hawala networks in Somalia — all while many were receiving DHS benefits. Quite the combination.
A confidential source put it bluntly: “The largest funder of Al-Shabaab is the Minnesota taxpayer.” With statements like that, it’s no wonder Bessent moved swiftly.
And while this story reveals yet another example of what happens when weak leadership looks the other way, the good news is simple: strong leadership is finally taking action, accountability is on the horizon, and the American people are once again reminded why decisive, pro-America governance matters.
