Empty Minnesota Daycare Centers Triggers Massive Fraud

New Delhi, December 29, 2025: A significant firestorm has been ignited in Minnesota following the release of a viral investigative video targeting the state’s childcare assistance programs. On December 26, 2025, independent journalist Nick Shirley released footage documenting his visits to several licensed daycare centers in Minneapolis that appeared to be entirely inactive. The most prominent facility featured, the Quality Learning Center, was observed to have received approximately $4 million in public funds despite having no children present during operating hours and displaying a sign where “learning” was ironically misspelled as “learing.”

Viral Confrontations and “ICE” Allegations

The video quickly amassed millions of views due to a tense confrontation captured at the entrance of the facility. As Shirley attempted to inquire about the whereabouts of the 99 children the center is licensed to care for, a woman on-site was observed shouting at him to leave, even incorrectly accusing him of being an immigration enforcement officer (ICE). This defensive reaction has been cited by critics as a tactic to deflect from questions regarding the $1.9 million in tax-exempt funding the center reportedly received in the 2025 fiscal year alone.

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A Microcosm of a Billion-Dollar Crisis

The scrutiny comes amidst a much broader investigation by the House Committee on Oversight and Government Reform. Chairman James Comer has recently expanded a probe into what federal prosecutors describe as the “largest social services fraud scandal in U.S. history.” It is alleged that as much as $1 billion—and potentially up to $9 billion—has been lost across 14 “high-risk” state programs, including the Child Care Assistance Program (CCAP). The empty daycare centers are being viewed as a microcosm of a system where funds were allegedly funneled into shell companies or sent overseas.

Political Fallout and Accountability Demands

The viral footage has prompted a fierce political backlash against Governor Tim Walz and the Minnesota Department of Human Services (DHS). Republican lawmakers, including Representative Tom Emmer, have been heard questioning how a facility with 95 previous licensing violations—including failure to keep records for children—was allowed to remain open and receive millions in state aid. While the Walz administration has recently hired an outside technology firm to audit billing patterns, critics argue that the oversight failures have allowed “Zoolander-level obvious fraud” to persist for years.

FBI “Surge” and Community Tensions

As the year 2025 draws to a close, the fallout has reached the highest levels of federal law enforcement. FBI Director Kash Patel confirmed on December 28 that the bureau has “surged” resources to Minnesota to investigate these fraudulent networks. The investigation has sparked tension within the Twin Cities, as many of the accused entities are reportedly tied to specific immigrant communities. While advocates warn against unfair targeting, the public demand for an answer to “where the money went” remains the dominant narrative as the state prepares for a series of legislative hearings in 2026.