Name: HHS freezes all child care funding to Minnesota amid fraud claims
Uploaded: 2025-12-31T01:26:54.754Z
Duration: 1 min 6 s
Description: The Department of Health and Human Services said it has frozen federal child care funding for the state of Minnesota, citing viral fraud allegations. Jonah Kaplan has the latest.

The Department of Health and Human Services said it has frozen federal child care funding for the state of Minnesota, citing viral fraud allegations. Jonah Kaplan has the latest.

Minnesota

The U.S. Department of Health and Human Services has announced a freeze on all child care funding to Minnesota due to ongoing fraud allegations. The decision follows a widely shared video from a YouTube influencer alleging that certain daycare centers were receiving taxpayer funds without actually caring for children.

Several daycare centers have denied the accusations, releasing security footage to show children being dropped off on the days in question. While CBS News has previously reported on fraud in other state social services, this is the first time daycare centers have been implicated, with some funds allegedly diverted to luxury purchases and real estate.

HHS freezes all child care funding to Minnesota amid fraud claims

A new development tonight in the fraud scandal in Minnesota. The U.S. Department of Health and Human Services just announced it is freezing all child care payments to the state. Jonah Kaplan, who's been following this story, has the very latest. Jonah. Yeah, this announcement coming very recently in the last couple hours on the heels of a widely circulated video from YouTube influencer Nick Shirley purporting to show daycare centers without any kids but still collecting taxpayer funds. At the same time, several of these daycare centers are pushing back, releasing security camera footage showing parents dropping off children on the same day that Nick Shirley visited. The daycare centers disputing claims that they're part of this wider fraud scheme that has really plagued Minnesota. CBS News has reported on allegations of fraud in other social services but not daycare. These funds meant to be for, again, these social services but misused, stolen some of that money spent on luxury vacations, cars and other real estate investments.

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