GOP challenger calls Walz COVID fraud ‘tip of iceberg’ amid probe

Because the Home Oversight Committee opens an investigation into Gov. Tim Walz’s function in what federal prosecutors have described because the nation’s largest COVID-19 fraud scheme, Minnesota Home Speaker Lisa Demuth instructed Fox Information Digital that is simply the “tip of the iceberg.”

In a crowded Republican major of candidates looking for to dethrone Walz, one among Demuth’s high marketing campaign guarantees is eliminating the fraud that she says has “exploded” underneath Walz’s administration. The governor bears “full accountability” for about $1 billion in fraud found up to now, Demuth stated in an unique interview.

“That is in all probability the tip of the iceberg,” Demuth stated, including, “This falls squarely on his shoulders. He’s the governor of the state and should take full accountability.”

The scandal rocking the North Star State stems from allegations {that a} Minnesota nonprofit and its associates defrauded federal youngster vitamin packages of lots of of thousands and thousands of {dollars} in COVID-19 support — a failure that Walz’s Republican challengers have described as a failure of systemic oversight.

COMER INVESTIGATES WALZ IN NEW HOME INVESTIGATION, INVOLVING NEARLY $1 BILLION IN ALLEGED MINNESOTA FRAUD

Minnesota Home Speaker Lisa Demuth is one among a number of Republican candidates vying for the occasion’s nomination to problem Democratic Gov. Tim Walz subsequent yr. (Glen Stubbe/TNS/ABACA by way of Reuters Join)

“There was an absence of accountability and oversight that was wanted,” Demuth stated. “The governor picked the commissioners, put them in place, and there needed to be some accountability the place he or his workplace oversaw the work performed by the commissioners in every company.”

“That is not what we’re discovering, so far as I do know. If that surveillance was occurring and this was occurring underneath his watch, understanding that it was occurring, that is much more regarding,” she added.

MINNESOTA GOVERNMENT EMPLOYEES ACCUSE WALZ OF ‘MASSIVE FRAUD’ AGAINST MOVEMENTS AGAINST SOMALIA COMMUNITY

Federal prosecutors stated about $300 million in taxpayer cash allotted to feed low-income youngsters by COVID-era vitamin packages was diverted by the Minnesota nonprofit Feeding Our Future. At the very least 78 defendants had been charged in late November in what’s extensively thought of the biggest pandemic reduction fraud scheme within the US.

Whereas the Feeding Our Future scandal consists of the COVID-19 pandemic, Demuth stated she heard considerations about fraud within the youngster care help program in 2017 and 2018, earlier than she was even within the Legislature.

Republican Speaker of the Home Lisa Demuth and Gov. Tim Walz, D-Minn., delivered a speech on the Minnesota Capitol in St. Paul, Minnesota, on Thursday, Could 15, 2025. (Jerry Holt/The Minnesota Star Tribune by way of Getty Photographs)

“That is effervescent,” Demuth stated earlier than including, “Once I take into consideration anybody operating the state, no matter the way it occurred, the truth that it is gone this far, and I do not suppose we’re performed but. I believe that is in all probability the tip of the iceberg, and I’ve heard others say that as properly.”

Home Oversight Chairman James Comer, R-Ky., has claimed that “due to Governor Walz’s negligence, criminals — together with Somali terrorists — stole practically $1 billion from this system whereas the kids suffered.” He’s main the investigation into Walz’s function within the Feeding Our Future scandal.

When requested about allegations that Walz was extra involved about dropping political factors than bringing accountability to teams related to Somali Minnesotans, Demuth instructed Fox Information Digital, “Fraud is unsuitable in any means, no matter the place it happens, who’s committing the acts of fraud. That’s unsuitable. However not dealing with the investigations or not dealing with circumstances and investigating circumstances additional out of concern of some type of accusation shouldn’t be management.”

Whereas Demuth warned in opposition to “[demonizing] a complete group,” she stated fraud shouldn’t be allowed to proceed in any group.

Governor Tim Walz, D-Minn., delivered his State of the State handle on Wednesday, April 23, 2025, on the State Capitol in St. Paul, Minnesota. (Jeff Wheeler/Star Tribune by way of AP)

“To disregard issues or not cope with them since you’re afraid of how it will be perceived. I believe the worst half is understanding that our complete state’s tax {dollars} have been wasted and misplaced to fraud. That is unsuitable for all Minnesotans,” she stated.

As Demuth vie for the Republican nomination to problem Walz for his governor’s seat subsequent yr, she stated her administration would instantly open an investigation, examine each company, maintain these accountable accountable and guarantee this does not occur once more.

In response to Demuth’s marketing campaign web site, as governor she would decide to ending “the tradition of fraud and corruption in state authorities and demand accountability from state employees chargeable for administering the state packages abused by fraudsters.”

“I’ll work with the Legislature to approve an neutral Workplace of Inspector Common, which may have the authority to root out fraud in all elements of presidency, and be a companion to my administration in stopping fraud earlier than it begins, quite than ready for the fraudsters to stroll out the door along with your cash,” Demuth stated on her web site.

Gov. Tim Walz, D-Minn., leans again in a chair in his workplace on the State Capitol in St. Paul, Minn., on Dec. 12, 2024. (Alex Kormann/The Minnesota Star Tribune/Tribune Information Service by way of Getty Photographs)

See also  AAP defies CDC guidance with COVID vaccine recommendation for kids

Walz’s workplace didn’t instantly reply to Fox Information Digital’s request for remark.

NBC’s Kristen Welker requested Walz on “Meet the Press” on Sunday if he would take “accountability” for failing to cease fraud in his state.

“Effectively, I definitely take accountability for placing individuals in jail,” Walz stated. “Governors cannot simply speak theoretically. We now have to unravel issues, and I be aware that it isn’t simply Somalis. Minnesota is a beneficiant state, Minnesota is a affluent state, a well-run state, we’ve a AAA bond ranking, however that draws criminals. These individuals go to jail and we do every little thing we are able to, however to demonize a complete group based mostly on the actions of some, that is lazy.”

CLICK HERE TO DOWNLOAD THE FOX NEWS APP

Demuth responded to those feedback whereas talking to Fox Information Digital.

“If we’re a well-run and affluent state and we do what we have to do, this may be the final place the place criminals would come and attempt to have interaction in any type of felony exercise,” she stated.

Fox Information Digital’s Michael Dorgan and Hanna Panreck contributed to this report.