U.S. Treasury expands anti-fraud measures in Minnesota

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U.S. Treasury expands anti-fraud

Highlights

Treasury Secretary Scott Bessent announced initiatives in Minnesota that stopped nearly $190 million in overseas fraud and returned over $100 million to U.S. victims.
Salim Said, a participant in the Feeding Our Future scheme defrauding the Federal Child Nutrition Program of $49 million, received a 30-year federal prison sentence this week.
FinCEN alerted U.S. financial institutions about over $8 billion in suspicious cross-border wire payments from 2021–2025, warning of risks from money laundering and charity-related fraud schemes.

Minnesota enforcement drive and Treasury actions

As reported by the U.S. Department of the Treasury, Treasury Secretary Scott Bessent announced several initiatives in St. Cloud, Minnesota, aimed at combating fraud that officials say has wasted billions of dollars in the state.

Bessent said Treasury, working with the White House Task Force to Eliminate Fraud, continues efforts to protect taxpayer money and strengthen integrity in federal benefits programs. He said the department stopped nearly $190 million in funds tied to overseas fraud and returned more than $100 million to U.S. victims.

The secretary had visited the Twin Cities earlier this year to unveil Treasury initiatives and investigations focused on Minnesota fraud cases. During that trip, he met financial institutions, fraud victims, state leaders and community members, while Treasury also held training sessions for state and local law enforcement on detecting and investigating fraud.

This week, Salim Said, described as a co-conspirator in the Feeding Our Future fraud scheme, was sentenced to 30 years in federal prison. Prosecutors said Said, owner of Safari Restaurant, took part in a scheme that defrauded the Federal Child Nutrition Program of $49 million, and he was convicted on 21 counts including wire fraud, money laundering, bribery and conspiracy.

Financial system warnings and sector impact

Treasury's Financial Crimes Enforcement Network, or FinCEN, also issued an alert asking financial institutions to monitor suspicious activity tied to certain cross-border payments involving U.S.-based money services businesses. Treasury said that from 2021 to 2025, U.S. financial institutions reported more than $8 billion in potentially suspicious wire payments sent through such businesses at the direction of foreign agents.

According to Treasury, these cross-border structures can be used to move funds through the U.S. financial system while obscuring the ultimate beneficiaries and the purpose of transactions. The agency warned that such methods can conceal illicit activity, including financing for terrorist organizations.

FinCEN separately issued a notice focused on the exploitation of charities and nonprofit organizations. The notice outlines risks involving sham charities, fraud schemes in which funds support personal lifestyles, and embezzlement by insiders abusing positions of trust, underscoring broader compliance pressure for banks and payments firms monitoring high-risk transactions.

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