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Minnesota Agency Oversight Failures Led To 0M Fraud Case

Assistant U.S. Attorney Joe Thompson, surrounded by the prosecution's trial team, speaks during a news conference after the verdict was read in the first Feeding Our Future case at the federal courtho

A recent report by the Legislature's watchdog arm revealed that the Minnesota Department of Education's inadequate oversight of a federal food program created opportunities for the theft of $250 million in one of the largest pandemic aid fraud cases in the country. The agency's failure to act on warning signs and red flags allowed for the exploitation of the system.

Seventy individuals have been charged in federal court for their alleged involvement in the 'Feeding Our Future' scheme, with five of the first seven defendants convicted. The case gained notoriety when a juror was offered a bribe of $120,000 in cash. Eighteen others have already pleaded guilty, while trials are ongoing for the remaining defendants.

Education Commissioner Willie L. Jett II disputed claims of inadequate oversight, stating that the department's actions met standards and that effective referrals to law enforcement were made. He emphasized that the responsibility for the fraud lies with the indicted individuals.

The fraud scheme exploited relaxed rules during the pandemic to siphon off federal funds. Defendants allegedly submitted false invoices, operated shell companies, engaged in money laundering and passport fraud, and accepted kickbacks. Over $250 million was misappropriated, with only a fraction recovered so far.

The food aid, provided by the U.S. Department of Agriculture and administered by the state Department of Education, was channeled through partners like Feeding Our Future, a nonprofit organization. Aimee Bock, the founder of Feeding Our Future, is among those awaiting trial and maintains her innocence, denying any involvement in the fraud.

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