House Budget Committee Chairman Jodey Arrington, a Texas Republican, slammed Minnesota Governor Tim Walz on Tuesday during Newsmax’s “National Report.” According to Arrington, Walz allowed a massive fraud scheme connected to pandemic-era aid programs for children to grow unchecked.
Arrington’s remarks coincided with federal charges nearly fifty people in Minnesota. Prosecutors allege the individuals defrauded taxpayer funds intended for vulnerable populations like hungry kids and families facing hardship during COVID-19. The alleged theft reportedly siphoned hundreds of millions, hindering critical support available through public assistance programs.
In describing the fraud as “breathtaking,” Arrington highlighted a statement from one prosecutor experienced in fraud investigations: “the scope and scale is staggering.” He specifically called attention to claims that some stolen money may have allegedly been routed to al-Shabab, adding the potential involvement with terrorism deepens the seriousness of this case.
The Texas lawmaker argued for stronger federal anti-fraud measures included earlier this year. Despite those steps saving over $1 trillion in taxpayer funds across various programs, Arrington stated Democrats opposed their inclusion within pandemic relief spending legislation.
He further linked current concerns to healthcare policy debates regarding enhanced premium tax credits under the Affordable Care Act. According to Arrington, “6 million-plus ineligible people” allegedly received subsidies through this program as well. He contends that the same fraudulent tactics used in Minnesota’s child aid programs may now threaten stability in the health insurance sector.
Arrington stressed ongoing legal actions against those involved. The investigation continues despite hundreds of convictions already secured related to these alleged frauds.