
Bernie Moreno confronted Keith Ellison at a Senate hearing, accusing him of helping fraudsters in a $9 billion scam. The Minnesota AG denied the allegations.
A fiery exchange erupted at the Senate Homeland Security Committee on July 19 as Sen. Bernie Moreno (R-OH) confronted Minnesota Attorney General Keith Ellison over a $9 billion fraud scheme targeting Somali communities. Moreno accused Ellison of helping fraudsters, telling him directly: "You helped fraudsters in a '$9B scam'."
Ellison, a Democrat, pushed back during the tense oversight hearing. The hearing focused on alleged financial fraud that lawmakers say drained taxpayer money meant for vulnerable populations. Moreno cited evidence that Ellison's office had failed to act on warnings about the scheme, allowing it to continue for years.
The Minnesota attorney general called the accusation politically motivated. He defended his record on consumer protection and fraud cases. Ellison said the state had prosecuted several individuals involved in the scheme and recovered millions in stolen funds.
Committee members from both parties pressed Ellison on why his office did not pursue the case earlier. Sen. Ron Johnson (R-WI) asked whether the attorney general had received complaints from whistleblowers and why those tips were ignored. Ellison said his office had limited resources and that federal agencies shared responsibility.
The $9 billion figure represents the total amount prosecutors allege was siphoned from Medicaid, food assistance programs, and nonprofit grants over a multiyear period. The fraud involved Somali-run nonprofits in Minnesota that submitted fake invoices for services never provided.
Ellison's testimony came as part of a broader series of hearings on federal oversight of state-level fraud prevention. The committee has scheduled additional hearings for later this year to examine how similar schemes could be stopped.
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