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FBI raids autism treatment centers in Minneapolis, St. Cloud in fraud case

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FBI raids autism treatment centers in Minneapolis, St. Cloud in fraud case


FBI agents raided autism treatment centers in Minneapolis and St. Cloud Thursday morning. The raids could be part of a broader investigation, with search warrants indicating that the raids are part of an investigation into possible Medicaid fraud.

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What we know

At 9 a.m., agents raided a Minneapolis autism center called “Smart Therapy,” located in a storefront. A second raid occurred at “Star Autism” in St. Cloud. Both centers are suspected of massive fraud involving state funds.

A 54-page federal search warrant, unsealed at the same time as the raids, outlines an investigation into wire fraud, healthcare fraud, and conspiracy. It states that Smart Therapy received nearly $14 million in state funds since 2019, while Star Autism has received more than $6 million since 2020. The document says, “many of these claims appear fraudulent.”

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Context

This investigation grew out of the Feeding Our Future case, which involved hundreds of millions of dollars in fraudulent meal claims. The FBI says they noticed a connection between the schemes. “At least a dozen of the defendants charged for their role in the Feeding Our Future scheme owned, received money from, or were associated with autism clinics and other healthcare companies that received state funds,” the warrant says.

Witnesses told investigators the owners of these clinics recruited clients by talking to parents they knew, even going door to door. The warrant alleges some parents were paid to bring their children to the clinics.

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In some cases, investigators believe children weren’t even present. Medicaid was allegedly billed for services when children were at school or, in one case, at home recovering from surgery. The warrant also alleges bills were submitted for work by people who didn’t work at the centers—or by medical providers who were not in the country.

Larger investigation

The warrant suggests these raids are just part of a broader investigation, as dozens of similar autism centers opened around the same time. Many of them are suspected of submitting fraudulent claims.

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Crime and Public SafetyFeeding Our FutureMinneapolisSt. Cloud



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Minneapolis, MN

Minneapolis Ranked Among U.S. Cities With The Most People In Financial Distress

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Minneapolis Ranked Among U.S. Cities With The Most People In Financial Distress


MINNEAPOLIS — Minneapolis is ranked among the American cities with the most people in financial distress nationwide, according to a recent analysis by WalletHub.

The personal finance website, which defines financial distress as having a credit account in forbearance or with deferred payments, looked at the country’s 100 largest cities without data limitations across nine metrics, including average credit score, change in bankruptcy filings year-over-year, and share of people with accounts in distress.

Minneapolis came in 44th on the list, between Stockton, California, at 43rd and Fresno, California, at 45th, according to the ranking.

Nationwide, the cities with the most people in financial distress were Chicago at No. 1, Houston at No. 2 and Las Vegas at No. 3, the ranking said.

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“Getting out of the downward spiral of financial distress is no easy feat,” according to WalletHub analyst Chip Lupo.

“You may get temporary relief from your lenders by not having to make payments, but all the while interest will keep building up, making the debt even harder to pay off. People who find themselves in financial distress should budget carefully, cut non-essential expenses, and pursue strategies like debt consolidation or debt management to get their situation under control.”

Read more from WalletHub.





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Minneapolis, MN

Whitefish council creates proclamation in solidarity with city, citizens of Minneapolis

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Whitefish council creates proclamation in solidarity with city, citizens of Minneapolis


The Whitefish City Council in February presented and signed a proclamation expressing solidarity with the city and citizens of Minneapolis.

The proclamation states that Whitefish mourns the loss of life that occurred in Minneapolis and stands in solidarity with its residents.

It reaffirms the city’s commitment to equal treatment under the law and emphasizes that peaceful protest is a fundamental American right.

The proclamation was supported by five of the six council members.

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Mayor John Muhlfeld said the action was meant to reaffirm the city’s values.

“A mayoral proclamation that is supported by five of six City Council members supporting solidarity with the city and citizens of Minneapolis, Minnesota, and reaffirming our supportive, just, equal and welcoming community,” Muhlfeld said. “I think this is somewhat overdue. Our town’s been through a lot over the years, This is more importantly to reaffirm our values as a council with our community because we care deeply about you.”

Over the last year, Whitefish has faced criticism amid rising tensions surrounding the Department of Homeland Security.

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View the full proclamation below.



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Minneapolis, MN

City officials report less speeding at corners with traffic cameras in Minneapolis

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City officials report less speeding at corners with traffic cameras in Minneapolis


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