SHOCKING Transport Fraud — $18B Investigation

Ambulance driving on urban street with lights flashing.

Citizen journalist Nick Shirley’s latest investigation exposes an alleged $16 million medical transport fraud scheme that may dwarf his explosive daycare findings, revealing how taxpayer dollars fund phantom rides while congressional hearings loom.

Story Highlights

  • Shirley’s follow-up video alleges $16 million in fraudulent medical transport claims from 30+ companies
  • Congressional hearing scheduled for January 21, 2026, with Shirley testifying before House Judiciary Subcommittee
  • Investigation reveals businesses operating from apartments and corner stores with no visible transportation fleets
  • Federal probes now examining $18 billion in potential Medicaid overpayments statewide

Transport Fraud Allegations Surface

Nick Shirley released his follow-up investigation on January 14, 2026, targeting Minnesota’s non-emergency medical transportation program. The video alleges over 30 Somali-linked companies fraudulently billed Medicaid for rides that never occurred. Shirley and whistleblower David Hoch visited registered business addresses, finding apartments and corner stores with no transportation vehicles or activity. Their estimates suggest $16 million in fraudulent claims based on ride frequency, costs, and fleet sizes.

Congressional Spotlight on Minnesota Fraud

The House Judiciary Subcommittee will hear testimony from Shirley on January 21, 2026, as Republican lawmakers push for accountability. Representative Laurel Lee emphasized the hearing aims to ensure “transparency and accountability” regarding taxpayer abuse. The session will also feature Jennifer Larson from Holland Autism Center and former fraud investigator Scott Dexter. Representative Andy Biggs, who chairs the subcommittee, has characterized Minnesota as “lawless” amid the ongoing fraud investigations.

Federal Investigation Expands Scope

The Department of Justice continues examining $18 billion in potential Medicaid overpayments across Minnesota. This investigation builds on the 2022 Feeding Our Future scandal, which resulted in 78 indictments and $250 million in confirmed fraud. State Attorney General’s PITSTOP-66 operation already charged 30 individuals in medical transport fraud schemes. The expanding probe suggests systemic issues within Minnesota’s welfare oversight mechanisms under Governor Tim Walz’s administration.

Community Impact and Government Response

DHS operations in Minneapolis have intensified following Shirley’s investigations, including a January 7 raid that resulted in one fatality. The incident was classified as domestic terrorism, highlighting tensions surrounding the fraud probes. Somali community members argue Shirley’s investigations unfairly target their businesses and cause community harm. However, state data shows no confirmed Medicaid reimbursements for many transport companies featured in the video, though officials note small billers may be excluded from available datasets.

The investigations reveal troubling gaps in oversight that have allowed potentially billions in taxpayer funds to disappear through fraudulent schemes. While some legitimate businesses may be caught in the scrutiny, the evidence suggests systematic exploitation of programs designed to help vulnerable populations. These revelations demand immediate reform to protect both taxpayer resources and genuine service providers from fraudulent competitors.

Sources:

YouTuber to testify before Congress on Minnesota’s massive $9B fraud network investigation

YouTuber Nick Shirley alleges an additional $16M in fraud tied to transportation companies

Nick Shirley to unveil follow-up on alleged daycare fraud in Minnesota Wednesday

Minnesota medical transportation program faces new scrutiny

Child care fraud in Minnesota: A fact check

Somali-owned child care centers in viral video operating as expected, investigators say