DHS suspends St. Cloud autism center after fraud charges
The Minnesota Department of Human Services has immediately suspended the license of a St. Cloud autism center after the center’s owner was criminally charged with fraud tied to Medicaid‑funded autism services. Prosecutors allege the owner systematically overbilled and/or billed for services not provided, adding a new defendant to the widening autism‑fraud probe that has already produced Twin Cities cases and program shutdowns. DHS says the summary suspension is intended to protect vulnerable children while its inspector‑general office coordinates with law enforcement, and families are being contacted about transition options. The action underscores that autism‑service fraud is now a statewide enforcement priority, bolstering the Walz administration’s argument for moratoria and tighter controls that also affect Minneapolis–Saint Paul providers.
📌 Key Facts
- DHS summarily suspended the St. Cloud autism center’s license following criminal fraud charges against its owner.
- Charges allege improper Medicaid billing for autism services, consistent with patterns seen in other recent Minnesota autism/Medicaid fraud cases.
- The case is explicitly linked to the broader Medicaid program‑integrity crackdown that has driven new moratoria and audits affecting providers statewide, including in the Twin Cities.
📊 Relevant Data
Somali immigrants in Minnesota are overrepresented among defendants in recent Medicaid fraud cases, with most of the 86 people charged in widespread fraud schemes being Somali.
Media leap to Somali fraudsters' defense — but trip over the awful truth — New York Post
The Somali population in Minnesota is approximately 80,000, representing about 1.4% of the state's population, yet they are implicated in a significant portion of the billion-dollar social service fraud during the pandemic.
How Misreading Somali Poverty Led Minnesota into Its Largest Welfare Scandal — American Enterprise Institute
Causal factors for fraud in Minnesota's social services include relaxed oversight during COVID-19, program design flaws, and concentrated resettlement of Somali refugees leading to systemic vulnerabilities.
How Fraud Swamped Minnesota's Social Services System — The New York Times
Somali Minnesotans contribute an estimated $8 billion to the state's economy and pay about $67 million in state and local taxes annually.
Economist: Immigrants contribute $26 billion to Minnesota's economy — MPR News
Somali immigrants in Minnesota have high rates of business ownership, contributing to economic growth through entrepreneurship.
Contributions change over time — Minnesota Chamber of Commerce
St. Cloud's Black population, including Somalis, has increased by more than 850% since 2000, with nearly 4,400 residents claiming Somali heritage.
St. Cloud's Somali population looks to diversify city council — St. Cloud Times
Somali immigrants in Minnesota have higher poverty rates, with any population having such rates qualifying for extensive welfare benefits, contributing to fraud vulnerabilities.
Somali Immigrants in Minnesota — Center for Immigration Studies
Historical resettlement policies, including efforts by organizations like Lutheran Social Services, have concentrated Somali refugees in Minnesota since the 1990s, leading to community integration challenges.
How Minnesota became a hub for Somali immigrants in the U.S. — NPR
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