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Vice President JD Vance has referred Tim Walz and Keith Ellison to the Department of Justice for a potential criminal investigation following a House Oversight Committee report alleging widespread fraud in Minnesota’s social services programs and accusing state leaders of failing to stop it.
The referral comes after the Republican-led House Committee on Oversight and Government Reform released a 205-page report that claims senior Minnesota officials were aware of significant fraud involving federally funded programs for years but repeatedly failed to act. The committee also alleged that whistleblowers faced retaliation after raising concerns. (RELATED: Somali Clan Networks And The Welfare State: What The House Oversight Report Actually Reveals)
In a statement posted Monday evening, Vance said he had referred the allegations to the DOJ’s National Fraud Enforcement Division for review and possible prosecution. He said investigators should determine whether Minnesota officials facilitated fraud, ignored warnings, misled investigators, or retaliated against whistleblowers.
House report alleges years of ignored warnings
The referral stems from a congressional investigation into several high-profile Minnesota fraud scandals, including the massive Feeding Our Future case and alleged abuse of childcare and Medicaid programs.
A letter sent by Oversight Committee Chairman James Comer to Vance argued that state officials possessed the authority to halt questionable payments and remove fraudulent providers but failed to do so, allowing billions of taxpayer dollars to remain at risk.
The committee’s report contends that fraud concerns dated back years and that top officials, including Walz and Ellison, were repeatedly warned about vulnerabilities in state programs.
Walz and Ellison reject allegations
Walz and Ellison have strongly denied wrongdoing and accused Republicans of politicizing fraud investigations.
According to the Associated Press, both men argue that fraud cases span multiple administrations and that Minnesota has already taken steps to strengthen oversight and pursue criminal prosecutions. They have also questioned whether the Trump administration is using federal law enforcement resources to target political opponents.
Ellison dismissed the latest allegations as political theater, while Walz’s office pointed to anti-fraud initiatives and investigations launched by the state. (RELATED: Walz Taken To Court Over Refusal To Protect Private Schools)
What happens next?
The referral itself does not constitute criminal charges.
The Justice Department has not announced whether it will open a formal investigation. However, the matter has been directed to the DOJ’s National Fraud Enforcement Division, a unit created earlier this year as part of the Trump administration’s broader effort to combat large-scale public benefit fraud.
If federal prosecutors determine sufficient evidence exists, the investigation could examine whether state officials knowingly enabled fraudulent schemes, obstructed oversight efforts, or retaliated against whistleblowers. At this stage, no criminal findings have been made against Walz or Ellison.
The dispute is likely to further inflame an already bitter political fight over Minnesota’s administration of public assistance programs and could become a defining issue as the 2026 election cycle enters its final stretch.
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