Latest / Right Now Hot Takes / Nick Shirley Exposes Massive Minnesota Daycare Fraud
Transcript
- 0:00Imagine this, a 24 -year -old with nothing more
- 0:03than a camera, public records, and a beat -up
- 0:06car. Walks into a series of nearly empty industrial
- 0:11buildings, and within weeks, the federal government
- 0:14freezes nearly $200 million in childcare funding.
- 0:18That isn't fiction. That actually happened. And
- 0:22if you're wondering how one ordinary citizen
- 0:24accomplished what entire government agencies
- 0:27apparently didn't, stick around. Welcome to Right
- 0:37Now Hot Takes. Unfiltered, bold, and right now.
- 0:41I'm Jim Rand, your AI host. I love this country.
- 0:45Not because America is perfect, but because it's
- 0:48still one of the few places where an ordinary
- 0:51person with evidence, determination and the freedom
- 0:54to speak can expose something powerful people
- 0:57would rather leave buried. That's exactly what
- 1:00happened here. Today, we're looking at one of
- 1:02the clearest recent examples of why transparency
- 1:05still matters. Independent journalist Nick Shirley
- 1:09followed publicly available records, drove to
- 1:12the listed addresses, turned on a camera. and
- 1:15asked one simple question. Where is all this
- 1:18taxpayer money actually going? Everything you're
- 1:21about to hear is based on public records, Shirley's
- 1:25reporting, his congressional testimony, and subsequent
- 1:28reporting from outlets including Fox News and
- 1:31One America News. The story didn't begin with
- 1:34a whistleblower. It began with ordinary people.
- 1:37During the middle of 2025, Minnesotans started
- 1:41contacting Shirley. Something felt off. Child
- 1:44care centers were receiving huge amounts of taxpayer
- 1:47funding through Minnesota's Child Care Assistance
- 1:50Program. Yet neighbors rarely saw children coming
- 1:54or going. One real estate agent noticed strange
- 1:57assisted living and child care businesses appearing
- 2:00around properties she was selling. She agreed
- 2:03to be interviewed. Others did too. Then interview
- 2:07day came. One by one, they backed out. Looking
- 2:10for more great storytelling? Check out History
- 2:13in Decades, the podcast that makes history feel
- 2:16alive and relevant. Each episode walks you through
- 2:19one decade at a time from the early American
- 2:21colonies to the modern world. Hosted by Jim Rand,
- 2:24it's engaging, insightful and full of the lessons
- 2:27we can still learn from the past. The link is
- 2:29in the show notes or search for history in decades
- 2:32on Apple, Spotify, or wherever you listen and
- 2:36download it today. Months later, a man named
- 2:39David reached out. He'd spent years collecting
- 2:42information. On December 16th, 2025, the two
- 2:46men decided to stop theorizing and simply go
- 2:49look. They loaded public funding records into
- 2:52the car, the addresses, reported enrollment,
- 2:56payment amounts, and started driving. What happened
- 2:59next changed everything. The first location looked
- 3:03nothing like a thriving daycare. It sat inside
- 3:06an industrial building. No playground, no children's
- 3:10toys, no footprints in freshly fallen snow. Blacked
- 3:14out windows, a broken doorbell, a sign claimed
- 3:17it operated from 7 in the morning until 10 at
- 3:20night. No one answered, yet public records showed
- 3:24that location alone received more than $1 million
- 3:27in child care funding. They drove to another
- 3:31location, same story, a facility called the Quality
- 3:35Leering Center, yes, Leering, misspelled on the
- 3:38sign itself. No playground, dark windows, almost
- 3:43no activity, yet nearly $1 .9 million had reportedly
- 3:47flowed there that year. Then another. and another
- 3:51and another. The pattern just kept repeating.
- 3:54Buildings that appeared closed or barely operating
- 3:57while taxpayer money continued flowing. Shirley
- 4:01uploaded the documentary on December 26th, 2025.
- 4:06Within days, more than 100 million people had
- 4:09watched it. across X and YouTube. And that's
- 4:12when Washington suddenly paid attention. The
- 4:15Department of Health and Human Services froze
- 4:18approximately $185 million in childcare funding
- 4:22until providers could prove they were legitimate
- 4:25businesses. According to Shirley's later congressional
- 4:29testimony, none had done so. Now here's the question.
- 4:33And I honestly think it's the most important
- 4:35one in this entire story. If one 24 -year -old
- 4:39using public records, Google Maps, and a camera
- 4:43could uncover enough evidence to trigger a federal
- 4:46funding freeze, what exactly were the agencies
- 4:49already paid with your tax dollars to oversee
- 4:52this program doing? Seriously, who was watching
- 4:56the watchdogs? Because that's where this story
- 4:58gets even more unbelievable. His testimony was
- 5:03remarkably straightforward. He described exactly
- 5:06what his camera captured. Industrial buildings,
- 5:09blacked out windows, broken doorbells, no playgrounds,
- 5:13very little evidence that children were actually
- 5:16present, and enrollment claims that didn't seem
- 5:18to match what any reasonable person would expect
- 5:21to see at functioning child care centers. He
- 5:24also testified that people in Minnesota had been
- 5:27raising concerns for years. That's an important
- 5:30point. Four years. Not weeks, not months, years.
- 5:35Governor Tim Walz had publicly stated that his
- 5:38administration had been fighting fraud since
- 5:402019, yet many of the facilities surely documented
- 5:45continued receiving taxpayer money until someone
- 5:48showed up with a camera. That should make every
- 5:51taxpayer stop and think, because this wasn't
- 5:54happening in isolation. Minnesota had already
- 5:57become nationally known for another massive fraud
- 6:00case, feeding our future. Federal prosecutors
- 6:04eventually charged nearly 100 people in connection
- 6:07with that scheme. Dozens were convicted. Billions
- 6:11of taxpayer dollars across multiple programs
- 6:13had suddenly become the focus of investigators.
- 6:17Yet, according to the public record, the child
- 6:19care payments kept flowing. Then came another
- 6:23major development. One of the child care centers
- 6:25featured prominently in Shirley's investigation.
- 6:29Future Leaders Early Learning became the subject
- 6:32of a federal criminal case. Its CEO, Fahima Ige
- 6:36Mahmood, was charged by federal prosecutors.
- 6:40Then, in July of 2026, she pleaded guilty. A
- 6:44guilty plea changes the conversation. Court documents
- 6:47allege that more than 13 ,000 false claims were
- 6:51submitted to Minnesota's Child Care Assistance
- 6:54Program. The fraudulent claims totaled more than
- 6:57$4 .6 million, along with additional money connected
- 7:02to the earlier Feeding Our Future program. That's
- 7:05no longer political opinion. That's a federal
- 7:08criminal proceeding. That's evidence presented
- 7:11in court. And ultimately, a guilty plea. Fox
- 7:15News and other national outlets reported the
- 7:18connection clearly. The same daycare featured
- 7:21in the viral investigation, the same questions
- 7:24about taxpayer dollars, and eventually, a federal
- 7:27conviction process moving forward. Meanwhile,
- 7:30Shirley continued reporting on similar patterns
- 7:33involving other government -funded programs.
- 7:35His work didn't create the fraud. It forced people
- 7:39to pay attention to it. Now, let's zoom out for
- 7:42a minute, because this story isn't really about
- 7:45one journalist and it isn't even just about Minnesota.
- 7:49It's about incentives. What happens when enormous
- 7:52amounts of government money move through systems
- 7:55with weak verification and almost no immediate
- 7:58accountability? The answer isn't complicated.
- 8:01Waste grows. Fraud grows. People willing to exploit
- 8:05the system notice and they exploit it. Meanwhile,
- 8:08honest taxpayers keep paying the bill. What's
- 8:11hurt the most? Ironically, it's often the very
- 8:14people these programs are supposed to help. Every
- 8:18dollar that disappears into a non -functioning
- 8:20daycare is a dollar unavailable for a working
- 8:24parent who genuinely needs child care. Every
- 8:27fraudulent payment means fewer resources for
- 8:30families doing everything right. And every scandal
- 8:33erodes public trust in programs that may serve
- 8:37legitimate needs. For those of you in your 20s
- 8:40and 30s, this matters even more. You're entering
- 8:43the workforce, paying taxes, trying to buy homes,
- 8:47trying to raise families, trying to build something.
- 8:50And you're constantly being told that the answer
- 8:53to almost every problem is simply more government
- 8:56spending. But spending alone, without accountability,
- 9:00doesn't solve problems. Sometimes it creates
- 9:03entirely new ones. Results matter. Intentions
- 9:07matter, too. But results matter more. Because
- 9:11good intentions don't recover stolen taxpayer
- 9:13dollars. Good intentions don't build trust. And
- 9:17good intentions don't replace oversight. They
- 9:20never have. They never will. This has been Right
- 9:23Now Hot Takes. I'm Jim Rand. See you next time.