Homeland Security investigators are actively uncovering widespread fraud tied to taxpayer-funded organizations in Minnesota, according to an exchange between Jason Chaffetz and Tricia McLaughlin that also featured a CNN clip involving Abby Phillip and Christine Quinn.

The discussion highlighted ongoing federal enforcement actions, criticism of delayed responses by state and federal agencies, and sharp disagreement over how the issue has been framed in national media.

Chaffetz opened the discussion by noting that further developments were expected and welcomed McLaughlin to explain the scope of the investigation.

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“Tricia McLaughlin says there's more to come, and she joins us tonight. All right, Tricia, thank you so much. What are the agents looking for and what have they found so far?” Chaffetz asked.

McLaughlin said federal authorities are actively operating across Minnesota and examining multiple types of organizations that receive public funds.

“Jason, thank you so much for having me. As we speak, our Homeland Security investigators, hundreds are on the ground. They're knocking doors. They're going to local businesses that are going to these sites where we believe that there is rampant fraud, whether it be day care centers, health care centers, or other organizations that take taxpayer dollars,” she said.

She added that investigators are encountering efforts to conceal wrongdoing.

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“Our homeland security investigators on the ground are also seeing that these suspected perpetrators are really trying to cover their tracks. They're trying to whitewash the operational facts on the ground, purporting to be a legitimate business have legitimate business operations when it's all a Fugazi,” McLaughlin said.

She said investigators are continuing to coordinate with other federal agencies. “So we're going to continue to ask those questions. We're learning more and more, especially with the FBI and our DOJ partners on the ground.”

Chaffetz responded by questioning claims that federal agencies acted quickly, pointing to the length of time concerns have been raised.

“Well, a lot of this comes through Health and Human Services. And look, I understand that the assistant, whatever title he was, said, Oh, they're taking immediate action,” he said.

“But to be honest with you, Tricia, this has been going on for years.”

He continued by arguing that responsibility ultimately lies with state leadership.

“To say they've taken immediate action that probably should have happened a year ago. This doesn't flow through Homeland Security. It flows through health and human services, but ultimately, is the responsibility of the governor and the state of Minnesota,” Chaffetz said.

“But to say they took immediate actions, with all due respect, these reports go back almost 10 years.”

McLaughlin agreed that earlier failures occurred and said the current administration has moved aggressively.

“No, you're absolutely right, Jason, either they're culpable or they bury their head in the sand,” she said.

She pointed to actions taken since President Trump returned to office.

“But fortunately, President Trump, Secretary Noem, and the entire administration, this is an all hands on deck operation.”

She cited funding freezes and expanded law enforcement operations.

“You saw HHS freezing that funding, SBA freezing that funding. FBI is on the ground. We have surged hundreds of officers from Homeland Security Investigations,” McLaughlin said.

She added that enforcement efforts are already producing results.

“But if you rewind even a month, we saw that this problem was happening. We have arrested more than 500 criminal legal aliens off of the streets of Minneapolis alone.”

McLaughlin also said immigration-related fraud is being investigated.

“We have a wide scale investigation into immigration fraud with our USCIS partners, so the Trump administration is not resting on our laurels. We will get answers and accountability for the American people,” she said.

Chaffetz then played a CNN clip and asked for McLaughlin’s reaction.

Abby Phillip said, “This is an attempt to make this about Somalis in general, as opposed to just about the people who are responsible. It's not really about the fraud.”

Christine Quinn added, “This is absolutely an attack on the Somali community and on immigrants writ large. Right to further say negative things and most, the vast majority, of the Somali residents of Minnesota are citizens. They're not new immigrants.”

Chaffetz responded sarcastically, saying, “Yes, racism, Tricia, you know, just because it's fraud, we should ignore it because, you know, they might be from, you know, somewhere in Africa.”

McLaughlin rejected CNN’s framing and said the focus should remain on fraud and misuse of taxpayer funds.

“It's amazing to me, but of course, it shouldn't surprise me that CNN makes this about race baiting when reality is about stopping fraud and abuse and being responsible for US taxpayer dollars,” she said.

She praised independent reporting on the issue.

“I think people across the aisle, Republican, Democrat, Independent, doesn't matter. We should be praising Nick Shirley. He's did courageous and really remarkable journalism, and CNN should have been ahead of this all along, as well as the rest of the mainstream media.”

Chaffetz closed the segment by thanking McLaughlin. “Amen to that Trisha McLaughlin, Thank you and happy new year,” he said.

WATCH:

Fraudsters are scrambling to cover their tracks and create the illusion of legitimate businesses as hundreds of Homeland Security Investigators @ICEgov go door to door to root out fraud in Minnesota.

The Trump Admin is all hands on deck.No Fugazi will stop accountability +… pic.twitter.com/CRDmDOGc2q— Tricia McLaughlin (@TriciaOhio) December 31, 2025

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