The FBI has stepped up its investigation into a large fraud scheme in Minnesota that stole federal funds meant for feeding children. FBI Director Kash Patel announced on December 28, 2025, that more agents and resources are going to the state to break up these networks. He called the cases “just the tip of a very large iceberg.”
The main case centres on the Feeding Our Future nonprofit. It started during the COVID-19 pandemic when rules loosened for child nutrition programs.
Defendants set up fake meal sites and claimed to serve millions of meals that never happened. Prosecutors say at least $250 million went missing. So far, 78 people face charges, and 57 have been convicted of things like wire fraud and money laundering.
Some of the stolen money left the U.S. Court documents show funds went to buy luxury items and property abroad. A lot ended up in Kenya.
Defendants purchased apartment buildings in Nairobi neighbourhoods like South C and Eastlands. Some bought coastal land or resorts. One case involved a Kenyan national indicted for helping launder over $40 million into real estate there.
Prosecutors also mentioned one defendant used hundreds of thousands of dollars to buy an aircraft in Nairobi. Another sent large wires to Kenya and China.
Minnesota has a big Somali community, and many defendants come from it. Money often moved through family or business ties. No evidence links it to terrorism so far, officials say.
The probe grew from Feeding Our Future to other programs, like housing help and autism services. Losses could reach billions across state-run aid.
Patel said the FBI will “follow the money” to protect taxpayers and kids. Investigations continue, with more charges possible.
This story draws attention because of the scale and international side. Kenyan authorities watch too, as assets there come under review.
For now, trials wrap up old cases while new ones start. The full picture may take time to clear.
