Tim Walz Under Fire As Multiple Scandals Mount

Minnesota Democratic Gov. Tim Walz is now battling two major crises that threaten to upend his re-election campaign — a ballooning fraud scandal tied to Minnesota’s welfare programs and a separate outrage over nearly half a million taxpayer dollars spent on “debate prep” for a congressional hearing.

Walz, who has long positioned himself as a steady hand for the state’s bureaucratic apparatus, is now accused by hundreds of his own employees of ignoring — and even punishing — whistleblowers who tried to alert him to rampant abuse of state aid programs, particularly those serving the Somali community.

Hundreds of State Employees Say Walz Ignored Warnings, Retaliated Against Whistleblowers

Nearly 500 employees inside Minnesota’s Department of Human Services have anonymously documented what they describe as systemic, ongoing fraud involving state benefits — and they say Walz not only turned a blind eye but actively worked to silence them. For several years, the group has run an anonymous X account exposing what they call widespread theft and misuse of public funds.

In a damning new post, the employees said Walz repeatedly disregarded their warnings and retaliated against those who tried to sound the alarm through official channels.

“Tim Walz is 100% responsible for massive fraud in Minnesota,” the group wrote on November 29, citing a New York Times report on the scandal. “We let Tim Walz know of fraud early on, hoping for a partnership in stopping fraud, but no, we got the opposite response.”

They continued: “Tim Walz systematically retaliated against whistleblowers using monitoring, threats, repression, and did his best to discredit fraud reports. Instead of partnership, we got the full weight of retaliation by Tim Walz, certain DFL members, and an indifferent mainstream media. It’s scary, isolating, and left us wondering who we can turn to.”

The whistleblowers further allege that Walz “disempowered the Office of the Legislative Auditor” to keep the fraudulent activity concealed and “attacked whistleblowers who were trying to raise red flags on fraudulent activities.”

Fraud Allegedly Reached Overseas — Including Terror Financing

The scrutiny around Walz intensified dramatically after reports emerged that some Minnesota welfare dollars were allegedly funneled to al-Shabaab, the Islamist terror group ravaging parts of East Africa — a claim first highlighted by Breitbart News.

U.S. Treasury Secretary Scott Bessent confirmed that the department is investigating whether Minnesota taxpayer funds may have been diverted to the terrorist group.

This comes after years of mounting evidence showing massive criminal abuse across multiple Minnesota aid programs.

• The Feeding Our Future scandal alone involves allegations of $250 million stolen from child nutrition funds by nonprofit operators, many connected to the local Somali community.
• Minnesota’s autism treatment program has been rocked by investigations uncovering tens of millions in suspected fraudulent claims.
• The state also reported over $550 million in losses tied to pandemic-era aid programs.
• A second Feeding Our Future–related case centers on an additional $250+ million in alleged theft of state and federal child meal funds.

Federal prosecutors have described these schemes as some of the most extensive public-assistance fraud operations in modern state history.

Walz Hit With Another Scandal: $430,000 in Taxpayer Cash Spent on “Debate Prep”

On top of the fraud allegations, Walz is now under fire for burning through $430,000 in taxpayer money to prepare for a congressional hearing about sanctuary city policies — a hearing he was summoned to by House Republicans.

Walz’s office hired the major international law firm K&L Gates to help him prepare for his June testimony before the GOP-led House Oversight Committee.

According to invoices obtained by the Star Tribune, in May alone Walz racked up $232,000 in legal fees at an average hourly rate of $516.

K&L Gates worked with the governor’s office from April 10 to June 12 — costing taxpayers a staggering $430,000 in total.

The spending immediately prompted outrage among state Republicans.

Minnesota Rep. Jim Nash questioned why Walz opted to bring in an outside global law firm instead of relying on the state’s own legal and communications teams.

Rep. Harry Niska went further, saying there “appears to be no legitimate legal interest in the state racking up nearly half-a-million dollars in what amounts to PR consulting.”

A Governor Under Siege

With allegations of fraud, terror financing, whistleblower retaliation, and reckless taxpayer spending all hitting at once, Walz’s political standing may be entering its most precarious moment yet.