Senate Judiciary Committee Chairman Chuck Grassley (R-Iowa) has requested information from several federal agencies following reports of widespread government fraud and whistleblower retaliation in Minnesota.
Grassley sent letters to the Department of Justice (DOJ) and Federal Bureau of Investigation (FBI), seeking updates on the ongoing Minnesota fraud investigation, details about the newly created Assistant Attorney General for fraud position, and plans to address similar issues in other states. He also contacted the Small Business Administration (SBA), Treasury, Health and Human Services (HHS), Education, Agriculture (USDA), Homeland Security (DHS), and the Transportation Security Administration (TSA) regarding concerns over nationwide fraud in public grant programs, suspicious financial activities in Minnesota, and efforts to protect taxpayer funds.
The senator called on these agencies to support whistleblowers who have reported facing retaliation by officials within Minnesota Governor Tim Walz’s administration. Congressional testimony has raised concerns about such reprisals.
“As you are aware, public reporting has emerged regarding deplorable fraud schemes in Minnesota that deliberately targeted federal programs designed to assist children with autism, the elderly and small businesses,” Grassley wrote. “Any attempt to steal taxpayer money is utterly unacceptable; however, these crimes are especially heinous when they target programs which support Americans struggling to care for their children or elderly relatives.”
Grassley cited allegations involving Medicaid, Paycheck Protection Program loans, Supplemental Nutrition Assistance Program benefits, and Federal Student Aid as areas where extensive fraud may have occurred. He also asked for information on a Treasury investigation into whether stolen state tax dollars were redirected to terrorist groups. DHS officials recently stated that “nearly $700 million in cash [was] detected in passengers’ luggage leaving the Minneapolis airport [over] the last two years.”
On December 28, 2025, FBI Director Kash Patel announced that personnel had been deployed to Minnesota to investigate large-scale schemes targeting federal programs. On January 6, 2026, the Trump administration froze about $10 billion in federal funding for certain programs across five states—including Minnesota—due to concerns over fraud. Two days later, a new division was established at DOJ focused on national fraud enforcement along with an appointment of an Assistant Attorney General dedicated to combating fraud.
Grassley expressed approval of this new appointment and joined Senate Republicans in calling for accountability from Governor Walz.
The Senate Judiciary Committee plays a key role overseeing law enforcement entities and reviewing judicial nominations as part of its responsibilities within the legislative branch official website. The committee’s work affects constitutional protections and public safety nationwide through legislative oversight official website.
