
Wed Dec 31 08:30:00 UTC 2025: Here’s a summary of the text:
The U.S. Department of Health and Human Services (HHS) is freezing child care payments to Minnesota amid allegations of widespread fraud involving daycare centers in the state. HHS Deputy Secretary Jim O’Neill cited a viral video by independent journalist Nick Shirley highlighting allegedly non-operational facilities receiving millions in government aid. HHS is demanding a comprehensive audit from Minnesota Gov. Tim Walz and is requiring justification and proof of receipt for all future child care payments nationwide. Walz’s office called the move politically motivated, accusing the Trump administration of trying to defund programs that help Minnesotans. HHS officials emphasized that the alleged fraud is stealing resources from children in need.
Here’s a news article version:
FOX NEWS EXCLUSIVE: HHS FREEZES CHILD CARE PAYMENTS TO MINNESOTA AMID FRAUD ALLEGATIONS
WASHINGTON – The U.S. Department of Health and Human Services (HHS) announced Tuesday it is freezing all child care payments to the state of Minnesota, citing serious allegations of widespread fraud involving child daycare centers.
HHS Deputy Secretary Jim O’Neill, in a video message, pointed to a viral video released last week by independent journalist Nick Shirley, which purportedly showed multiple Minnesota childcare and learning centers appearing non-operational despite receiving millions of dollars in government funding.
“We believe the state of Minnesota has allowed scammers and fake daycares to siphon millions of taxpayer dollars over the past decade,” O’Neill stated on X, formerly Twitter.
In response, HHS is demanding a comprehensive audit from Minnesota Gov. Tim Walz, including attendance records, licenses, complaints, investigations, and inspections for the centers highlighted in Shirley’s video. Additionally, HHS will now require justification and receipt or photo evidence for all Administration for Children and Families payments across the country before funds are disbursed to any state.
“That money should be helping 19,000 American children, including toddlers and infants. Any dollars stolen by fraudsters is stolen from those children,” said Alex Adams, assistant secretary for HHS’ Administration for Children and Families.
A spokesperson for Gov. Walz’s office condemned the move as politically motivated. “The governor has been combatting fraud for years while the President has been letting fraudsters out of jail. Fraud is a serious issue. But this is a transparent attempt to politicize the issue to hurt Minnesotans and defund government programs that help people.”
Walz echoed this sentiment on X, stating, “We’ve spent years cracking down on fraudsters. It’s a serious issue – but this has been his plan all along. He’s politicizing the issue to defund programs that help Minnesotans.”
The HHS has also launched a hotline to report suspected fraud.
This is a developing story. Check back with Fox News Digital for updates.