Attorney General Keith Ellison is announcing that his office is shutting down 23 nonprofits in the state that were defrauding the Federal Child Nutrition Program.
Ellison alleges that the groups were created or revived around the start of the pandemic, many giving false addresses, not complying with federal reporting requirements and not appearing to have legitimate on site activities.
“Nonprofits are supposed to benefit the public — not defraud it,” Attorney General Ellison said in a statement. “Most nonprofits work hard and do good work to help the people of Minnesota — but not these sham organizations. I am seeking to permanently shut down these sham nonprofits so they can’t be revived to defraud the public again.”
16 of the 23 organizations were located in Hennepin County. All but three were found to be connected to the "Feeding our Future" scandal, which defrauded the government out of $250 million.
The U.S. Attorney’s Office announced federal criminal charges in the massive fraud scheme in September of 2022. The fraud exploited a federally-funded child nutrition program during the COVID-19 pandemic. At least 60 coconspirators have been charged related to that case, which was said to be the largest COVID-related fraud in the nation.
The complaints were filed in the counties of Hennepin, Ramsey, Dakota, Stearns, and Rice, but the Attorney General will shortly file a motion to consolidate them all in Hennepin County.
The nonprofit defendants are:
Academy for Youth Excellence
Advanced Youth Athletic Development
African Chamber of Commerce Education
Bet On Better Future
Community Enhancement Services Inc.
Gedo Community Services
Hobyo Health Care Foundation
Hope Academy for Youth & Women Empowerment
Minnesota African Chamber of Commerce
Minnesota’s Somali Community
Multiple Community Services, MCS
Optimum Community Services
Serving Younger Generation
Somali American Faribault Education
South West Metro Youth
Stigma-Free International
The Free Minded Institute
United Enrichment with Heart
Unity Social Service
Urban Advantage Services
Xogmaal Media Group and Xogmaal Services
Youth Higher Educational Achievement
Youth Inventor’s Lab