Treasury, IRS ramp up investigation into Minnesota fraud

(The Center Square) – The administration continues to ramp up its response to the massive social services fraud in Minnesota, with Treasury Secretary Scott Bessent enumerating steps his department is taking to prevent similar abuses going forward.

“I am optimistic that we are going to put an end to this waste, fraud and abuse, that we are going to have recoveries for the American people, and that we are going to hold people accountable, set an example and make sure that federal aid gets to the people it was intended for and not to the fraudsters,” Bessent said in a statement.

He explained several initiatives begun by the Treasury Department, as well as one to come.

The department’s Financial Crimes Enforcement Network and the IRS are investigating some money service businesses – organizations that perform financial services outside of a formal bank – that were used to send funds to Somalia and other places overseas. Some have alleged that stolen social services funds directly or indirectly funded the...