Minneapolis man charged with $3M Medicaid fraud scheme

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Minnesota Legal professional Normal Keith Ellison on Wednesday charged a Minneapolis man with greater than $3 million in Medicaid fraud tied to a state-licensed house well being company.

Mohamed Abdirashid Omarxeyd was charged with eight counts of felony theft by false illustration after prosecutors mentioned he used his firm, Guardian Residence Well being Providers, to invoice Minnesota’s Medicaid program for providers that have been by no means supplied or have been ineligible for reimbursement from 2020 by means of 2024.

In accordance with the prison criticism, Guardian submitted fraudulent claims for private care aide providers, companion care, homemaking, respite care, individualized house helps and different neighborhood assist providers. State officers have designated many of those providers as "high-risk" for fraud.

Prosecutors allege Omarxeyd and his spouse siphoned greater than $2 million from the corporate’s accounts in the course of the scheme.

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Minnesota Legal professional Normal Keith Ellison speaks throughout a press convention after an ICE agent fatally shot Renee Nicole Good, in Minneapolis, Minn., Jan. 12, 2026. (Reuters/Tim Evans)

"Defrauding applications that present healthcare to low-income Minnesotans is a very despicable act," Ellison said in a statement , noting his workplace has prosecuted greater than 300 Medicaid fraud instances and recovered over $80 million in restitution and penalties.

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The costs come amid a wide-ranging investigation that has focused fraud throughout a number of Medicaid-funded applications. Different fraud allegations contain housing stabilization providers and autism intervention applications.

Minnesota Legal professional Normal Keith Ellison speaks on stage in the course of the third day of the Democratic Nationwide Conference on the United Heart on Aug. 21, 2024, in Chicago. (Andrew Harnik/Getty Photographs)

Prosecutors beforehand uncovered the huge $250 million Feeding Our Future food fraud case tied to the state's Somali neighborhood.

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That fraud case has resulted in dozens of indictments and convictions, in addition to shining a highlight on fraud issues in Minnesota. Minnesota Gov. Tim Walz selected to not run for a 3rd time period amid the widening scandal.