FOR IMMEDIATE RELEASE
MEDIA COMMUNICATION,
Gavin Miller, 651.296.9468
gavin.miller@house.mn.gov
News Release
Rep. Danny Nadeau Responds to FBI Raids in Housing Stabilization Program
Rogers, MN — Following reports of FBI raids tied to a federal investigation into widespread fraud in Minnesota’s Housing Stabilization Services program, Representative Danny Nadeau issued the following statement:
“The persistence of fraud in this state is deplorable,” said Rep. Nadeau. “The finger-pointing to make political points or claims that funding is inadequate to investigate and prosecute fraudsters is clearly not the solution. Of course we need to prosecute fraudsters, but it’s also our responsibility to ensure we’re contracting and partnering with providers that have a proven track-record of successful service.”
Federal agents executed search warrants at several locations this week as part of an investigation into providers accused of billing for housing services that were never delivered. Reports suggest millions of dollars may have been stolen from the state’s Medicaid program.
“This isn’t just about dollars and cents, it’s about responsibility and intent,” Nadeau continued. “We have a duty to protect public resources and make sure they’re being used to serve the people who need them most. Who is evaluating whether these providers have a well-designed plan and the capacity to deliver these services? Where’s the due diligence at the front end to qualify providers, interview staff, visit their facilities? Fraud is a betrayal of the public’s trust, and this kind of waste is why so many people are losing trust in government.”
Rep. Nadeau acknowledged that while the Legislature has made some progress in cracking down on fraud, more work is needed. He pledged to continue advocating for stronger oversight, clearer accountability, and real consequences for those who abuse public programs.
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