Midwest
Minnesota fraud whistleblower says ‘lack of guardrails was pretty shocking’
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A Minnesota woman employed by the state’s Department of Human Services is speaking out against what she describes as incompetence within the department following the discovery of rampant fraud in the state’s healthcare system.
Faye Bernstein told the City Journal in an interview that she first began to realize the high risk of fraud at Minnesota’s DHS in 2018 and 2019 following a promotion to a lead position.
“Over the years, I had often thought that DHS is sloppy,” she said. “But 2018 and 2019 are when I saw, oh gosh, this is beyond normal. If we don’t have fraud today, we’re going to have fraud soon.”
Bernstein has been a DHS employee for two decades, working in contract management and as a compliance officer, she told the outlet. In her lead position, she said she was able to see all the contracts being worked on by those in her division and witnessed conflicts with the contracts that could be deemed risky.
MINNESOTA ‘ON THE CLOCK’ AS HHS THREATENS PENALTIES OVER CHILDCARE FRAUD SCANDAL
The Minnesota Department of Human Services building in St. Paul. (Michael Siluk/UCG/Universal Images Group via Getty Images, File)
“I was aware that our contracting processes were leaving us completely open to fraud,” Bernstein said. “But to realize the lack of guardrails was pretty shocking.”
Federal prosecutors estimate that up to $9 billion was stolen through a network of fraudulent fronts posing as daycare centers, food programs and health clinics. The majority of those charged, so far, in the ongoing investigation are part of Minnesota’s Somali population.
Homeland Security investigators were part of a large fraud investigation last month in Minneapolis following the release of a video alleging daycare fraud. (Department of Homeland Security)
When she tried to report the issues at the time to her deputy director, Bernstein said she was told to stop asking questions. Bernstein said she felt retaliated against after most of her duties were reassigned and was eventually “shuffled from one job to another.”
HOUSE REPUBLICANS CALL MINNESOTA FRAUD PROBE ‘TIP OF THE ICEBERG’ AS MORE BLUE STATES FACE SCRUTINY
“Even our human resources people would tell us, ‘If your supervisor tells you to do something, you must do it.’ And when you didn’t, the word ‘insubordination’ came up,” she said. “They considered it insubordinate if you resisted an unlawful direction.”
Bernstein told the outlet that she has been going through emails received beginning in 2024 from members of the public warning about the alleged fraud.
“I was really surprised at how much notification we had,” she told the outlet. “Did we really ignore all those people writing in? Members of the public had advised us of this [alleged fraud] in email after email after email.”
TRUMP ADMIN PUTS MINNESOTA ON NOTICE, MOVES TO AUDIT MEDICAID AND CLAW BACK FUNDS TO PROTECT TAXPAYERS
The state’s DHS on Friday said that recently released federal data shows Minnesota’s Medicaid program has a significantly lower improper payment rate than the national average, with an error rate of just over 2.1%, compared with a national average of 6.1%.
State officials also noted the data was collected before Minnesota began rolling out additional measures aimed at reducing fraud risk.
“We’re committed to making Minnesota a national model for preventing fraud and catching errors,” said Shireen Gandhi, the state’s interim human services commissioner. “This review shows we have strong internal controls that we continue to improve, and we are not stopping there as we accelerate our efforts to fight fraud.”
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Bernstein, who said she has only voted Democratic, said the fraud was genuine and not partisan politics.
“This is definitely not something that the Republicans are making up,” she said. “This is real.”
Fox News Digital’s Alex Miller contributed to this report.
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Detroit, MI
Pentagon Reportedly Asks Detroit to Use More Car Factories as Arms Factories
The Wall Street Journal, citing “people familiar with the discussions,” says the Trump Pentagon has urged leaders in the U.S. automotive industry to do more for the war effort. America’s national weapons cache has, it seems, begun to look a bit depleted from all the arms we’ve shipped abroad, and rounds we’ve squeezed off lately—particularly in Ukraine and Iran.
CEOs including Mary Barra of General Motors and Jim Farley of Ford have been among the executives who have sat for talks with high-ranking defense officials about upping the production of arms in what are currently car factories, with labor from people currently employed as automotive workers.
GM, it should be noted, already makes a military vehicle called the Infantry Squad Vehicle or ISV.
In a speech in November of last year, Secretary of Defense/War Pete Hegseth described the industrial effort he’d like to see, but sounded a bit more like ChatGPT than he probably intends:
“We’re not just buying something. We are solving life and death problems for our war fighters. We’re not building for peacetime. We are pivoting the Pentagon and our industrial base to a wartime footing.”
The Pentagon’s statement to the Journal said the Department of Defense/War is “committed to rapidly expanding the defense industrial base by leveraging all available commercial solutions and technologies to ensure our warfighters maintain a decisive advantage.”
Earlier this month, President Trump requested a $1.5 trillion military budget, with an explicit push for an expanded industrial base.
For no particular reason, here’s a flashback to high school history class: Franklin Delano Roosevelt’s 1940 “Arsenal of Democracy” speech, one of the all-time masterpieces of U.S. war propaganda.
In it, FDR makes the case that the Nazis are a threat to the American way of life, and that our allies need our help fighting them off. We’re not being asked to lay down our lives, he explains, just to come together as government, industry, and workers.
“We must have more ships, more guns, more planes—more of everything. And this can only be accomplished if we discard the notion of ‘business as usual.’ This job cannot be done merely by superimposing on the existing productive facilities the added requirements of the nation for defense.”
It’s utterly convincing, and listening to it today will stir up feelings of determination and patriotism you might have forgotten you could feel. If you feel inclined to listen to it in the current context, and play a little game of compare and contrast, that’s your business.
Milwaukee, WI
Milwaukee area flooding hits Bay View, south side neighborhoods
MILWAUKEE – Recent storms brought flooding back to parts of Milwaukee, causing new damage in neighborhoods still recovering from historic flooding last August.
Local perspective:
Along South Fulton Street in Bay View, piles of debris lined the road Thursday night as residents threw out water-damaged items from their basements. While the damage was not as severe as last year, neighbors said it is still frustrating.
Residents were also seen picking up dehumidifiers and fans, trying to dry out before more rain arrives.
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At the intersection of Howell and Oklahoma, which was underwater Wednesday night, a business flooded again.
“We’re kind of used to it over so many years,” said Michael Arenas, an insurance agent with Reilly’s Insurance Services.
Arenas said flooding has become almost an annual issue, often leaving water in the building’s basement. He pointed to window seals that were pushed out by floodwaters.
“We even had some of these windows sealed up over here, and the flood actually pushed these out pretty good, so we’re gonna have to get these […] yeah, they pushed them out pretty good, and put all these leaves and stuff down here from the window wells,” Arenas said.
What they’re saying:
About a mile away, homeowner Allison Gipp listed what she had to throw out after water entered her basement.
“Boxes, a TV, luggage, you know, wrapping paper and toilet paper,” Gipp said.
She said sewage backed up through her floor drain, reaching about three inches this time.
“They’re saying, ‘Well, our biggest priority is not to have sewage in people’s basements.’ Well… This is what keeps happening,” Gipp said.
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In August, Gipp said her basement had about three feet of water.
The cleanup is not as extensive this time, but she said more storms could bring more work.
“Hopefully it doesn’t happen again,” she said. “Hopefully, if it does, it’s not worse.”
Gipp said she is holding off on fully cleaning her basement in case more flooding happens.
The Source: The information in this post was collected and produced by FOX6 News.
Minneapolis, MN
New video shows moments before attack involving Turning Point USA contributor at Minneapolis anti-ICE protest
New video shared with WCCO shows the scuffle in which a reporter says she got hurt outside the Whipple Federal Building in Minneapolis on Saturday.
The cases against three people arrested in that fight are now in the hands of the Hennepin County Attorney for potential charges.
A Justice Department official announced Sunday a federal investigation is being opened into an assault that allegedly occurred during a protest outside the Whipple Federal Building.
Turning Point USA contributor Savanah Hernandez said she was “brutally assaulted by multiple people” for filming and reporting on Saturday’s protest.
Assistant Attorney General for Civil Rights Harmeet Dhillon quote retweeted a post saying the FBI was investigating the alleged assault on Hernandez, writing “Correct.”
The newly obtained video, recorded by Derek Kosh and Oskar Quentin, shows what they say happened before the altercation seen in the widely circulated clip posted by Hernandez on X. They say it’s important people get the full exchange.
In one video, you can see Hernandez speaking to people in the crowd, at times smiling as she records.
In another angle, a woman wearing black tells Hernandez to leave. Not long after that, you see both women pushing and shoving one another to the ground.
Kosh and Quentin say Hernandez was assaulted and the video shows she was throwing punches, too. Both men say they released the video so the world could get a fuller understanding of what happened beyond the viral clip.
Saturday’s incident has gotten the attention of Vice President JD Vance, who has called for swift action against those responsible.
In a statement from the attorneys representing the people involved in the altercation say in part, “At this time, we do not know whether any formal charges have been brought against our client… Regarding the recent videos and statement by JD Vance, we cannot say anything, presuming there is an ongoing investigation.”
No charging decision has been announced.
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