Justice Department’s $90 Million Fraud Bust in Minnesota
Former DHS Deputy Assistant Secretary Jonathan Fahey addressed the recent indictment concerning a $90 million Medicaid fraud scheme in Minnesota. He remarked that this situation likely reveals only a fraction of the whole issue and anticipates further disclosures from those cooperating with authorities. Interestingly, he also posed a question about why Democratic leaders have seemingly overlooked this problem, possibly for political motives.
Health and Human Services Secretary Robert F. Kennedy Jr. recently announced the indictment of two individuals in what has been described as “the largest autism fraud bust in American history.” The U.S. Department of Justice (DOJ) has charged Shamso Ahmed Hassan, 55, and Hanan Mursal Yusuf, 25, with multiple counts of fraud related to defrauding Minnesota’s Early Intensive Developmental and Behavioral Intervention (EIDBI) program of approximately $46.6 million.
This indictment is part of a wider initiative from the Justice Department’s National Fraud Enforcement Unit, which is pursuing charges against 15 individuals in a scheme that affected over $90 million in taxpayer dollars. Kennedy Jr. declared at a press conference, “Today’s arrests mark the largest autism fraud bust in U.S. history. This wasn’t a mere mistake or minor violation—it was a systematic crime that exploited some of America’s most vulnerable children, defrauded families, and misappropriated taxpayer funds intended to provide necessary support for children with autism.”
The prosecutors outlined that Hassan owned shares in two autism centers, Smart Therapy Center and Star Autism Center, yet did not disclose this ownership as required by Minnesota law. The indictment also indicated that Yusuf was involved in the operations at Smart Therapy Center, assisting in submitting invoices aimed at getting Medicaid reimbursements.
According to the charges, the two allegedly incentivized families to send their children to these centers, thus allowing them to bill Medicaid for services that either weren’t provided or were improperly claimed. Of the total $46.6 million in restitution they aimed to recover, $21.6 million had already been paid out. The Justice Department is now looking to reclaim that money.
It was noted in the indictment that Hassan and Yusuf misappropriated “hundreds of thousands of dollars” from the fraudulent proceeds for personal family uses, including purchasing real estate and sending money abroad, notably to Kenya.
Both defendants face a count of conspiracy to commit health care fraud along with a count of money laundering. Yusuf has been charged with five counts of health care fraud, while Hassan faces two such charges.
Kennedy Jr. further emphasized the gravity of the situation, stating, “Every fraudulent autism diagnosis this program seeks to address takes away critical time, care, and resources from children who genuinely need it. Families already navigate numerous challenges when seeking treatment for children with autism; fraud only makes their struggles more daunting.”
