First autism‑fraud defendant Asha Hassan pleads guilty; DHS moves to revoke Smart Therapy license
Asha Hassan — identified as the first person charged in the autism‑clinic probe and among dozens tied to the broader Feeding Our Future investigation — pleaded guilty to one count of wire fraud, admitting to a roughly $14 million Medicaid scheme and theft of hundreds of thousands tied to Feeding Our Future, and agreed to nearly $16 million in restitution with a plea that contemplates a 70–87 month sentence while she remains free pending sentencing. The Minnesota Department of Human Services, which issued a temporary immediate suspension of Smart Therapy Center LLC’s HCBS license in October 2025, is moving to formally revoke the license effective Jan. 7, 2026, citing the criminal charges and allegations that Smart Therapy recruited Somali families, paid kickbacks and overbilled or fabricated autism services.
📌 Key Facts
- Asha Hassan pleaded guilty on Dec. 19, 2025 to one count of wire fraud in the Minnesota autism‑services fraud case; her plea agreement contemplates a 70–87 month sentence and she remains free pending sentencing.
- Under the plea Hassan agreed to pay nearly $16 million in restitution; prosecutors say the case involved roughly a $14 million Medicaid scheme tied to autism services and Hassan admitted stealing hundreds of thousands of dollars connected to the Feeding Our Future program.
- Hassan was identified as the 76th defendant in the broader Feeding Our Future prosecution and as the first person charged in the separate autism‑center probe; her attorney previously said she planned to plead guilty soon and had "some level of cooperation" with federal prosecutors.
- Investigators say alleged fraud across the related cases is "pushing $300 million," with more charges expected; prosecutors also said roughly two dozen Feeding Our Future defendants received funds from autism clinics, illustrating cross‑program fraud.
- Minnesota DHS issued a temporary immediate suspension of Smart Therapy Center LLC’s HCBS license on Oct. 10, 2025 because Hassan was criminally charged, and DHS says formal revocation of the license will take effect Jan. 7, 2026.
- State and federal allegations against Smart Therapy (owned by Hassan) include recruiting Somali families, paying kickbacks, and overbilling or fabricating autism services; investigators say the clinic claimed feeding up to 1,200 children daily through Feeding Our Future and sought nearly $500,000 in reimbursements, in addition to about $14 million in EIDBI billings.
- Reporting and the plea connect Hassan’s autism‑services scheme to the wider Feeding Our Future fraud, showing overlapping schemes and movement of funds between the Medicaid autism billing and the Feeding Our Future operation.
📊 Relevant Data
In the Feeding Our Future fraud scheme, out of 78 indicted suspects, more than 50 have pleaded guilty, with the majority of defendants being of Somali descent, reflecting overrepresentation relative to their population share of approximately 1.3% in Minnesota (around 80,000 Somalis out of 5.7 million residents).
Feeding Our Future — Wikipedia
Federal prosecutors estimate that fraud in Minnesota-administered programs, including Medicaid for autism services, may exceed $9 billion, with 14 programs identified as high-risk due to programmatic vulnerabilities and evidence of fraudulent activities during the COVID-19 pandemic.
U.S. Attorney: Fraud likely exceeds $9 billion in Minnesota-run Medicaid services — Minnesota Reformer
Somali immigrants in Minnesota face a poverty rate of 36%, compared to 9.3% for the overall population, which correlates with higher qualification for welfare programs and potential vulnerabilities to fraud involvement.
Somali Immigrants in Minnesota — Center for Immigration Studies
The fraud in Minnesota's social services, including autism and child care programs, persisted partly due to state officials' reluctance to scrutinize claims from the Somali community for fear of appearing discriminatory, combined with relaxed oversight during COVID-19.
How Fraud Swamped Minnesota’s Social Services System — The New York Times
Somali resettlement in Minnesota was facilitated by U.S. refugee programs, with organizations like Lutheran Social Service of Minnesota playing a key role in placing over 10,000 Somali refugees since 2000, leading to concentrated communities with economic integration challenges.
How misreading Somali poverty led Minnesota into its largest welfare scandal — Fox News
Language and cultural barriers among Somali recipients in Minnesota contribute to fraud vulnerabilities in publicly funded programs, as recipients require services but face challenges in navigation, exacerbating overbilling and kickback schemes.
A Somali-American former investigator: why you’re hearing about fraud in my community — Minnesota Reformer
📰 Source Timeline (4)
Follow how coverage of this story developed over time
- DHS issued a temporary immediate suspension of Smart Therapy Center LLC’s HCBS license on Oct. 10, 2025 because owner Asha Hassan was criminally charged in the Medicaid/autism and Feeding Our Future fraud cases.
- DHS says the revocation of Smart Therapy’s license will formally take effect Jan. 7, 2026.
- The article details how Smart Therapy allegedly recruited Somali families, paid kickbacks, over‑billed or fabricated autism services, and confirms DHS is treating those criminal charges as grounds to pull the HCBS license.
- Asha Hassan pleaded guilty to one count of wire fraud in the Minnesota autism‑services fraud case.
- She agreed to pay nearly $16 million in restitution; prosecutors describe a ~$14 million Medicaid scheme.
- Hassan admitted also stealing hundreds of thousands of dollars tied to the Feeding Our Future scheme.
- Plea agreement contemplates a 70–87 month sentence; she remains free pending sentencing.
- First Assistant U.S. Attorney Joe Thompson said roughly two dozen FOF defendants also received funds from autism clinics, illustrating cross‑program fraud.
- Defense says Hassan plans to plead guilty within weeks.
- Her attorney, Ryan Pacyga, says there is 'some level of cooperation' with federal prosecutors.
- FOX 9 reports Smart Therapy Centers claimed feeding up to 1,200 children daily via Feeding Our Future and sought nearly $500,000 in reimbursements, in addition to ~$14 million in EIDBI billings.
- Hassan is identified as the 76th defendant in the broader Feeding Our Future case and the first charged in the autism-center probe.
- Defense quotes characterize a 'perfect storm' of factors enabling the scheme; article notes the state only recently changed funding approaches to these programs.
- Investigators’ fraud totals are 'pushing $300 million,' with more charges expected across related cases.