Elon Musk accused Gov. Tim Walz of “hiding vast fraud” in a post on the social media platform X amid national scrutiny of widespread fraud in Minnesota.
Musk, the CEO of Tesla and SpaceX who helped implement the Department of Government Efficiency (DOGE), made the claim Sunday in response to a post highlighting Walz’s past criticism of him.
The original post read: “Tim Walz was one of the loudest anti-Elon voices when Elon was at DOGE. Now we understand exactly why.”
“Tim Walz is guilty of hiding vast fraud,” Musk responded, which has been viewed over 30 million times.
A reply to Musk’s post from an account operated by Minnesota Department of Human Services staff said: “[Walz] absolutely is hiding fraud AND has retaliated & destroyed the lives of many whistleblowers. But no matter the retaliation, we will not stop exposing fraud & we thank you for allowing us the platform to provide transparency to the public.”
He absolutely is hiding fraud AND has retaliated & destroyed the lives of many whistleblowers. But no matter the retaliation, we will not stop exposing fraud & we thank you for allowing us the platform to provide transparency to the public. @elonmusk
Sincerely, Ethical MN state…
— Minnesota Staff Fraud Reporting Commentary (@Minnesota_DHS) December 22, 2025
On Monday, U.S. House Majority Whip Tom Emmer, R-Minn., echoed the criticism, writing on X: “There’s no way the Walz administration didn’t know about the billions being stolen in fraud. Whoever knew, even up to the high levels, must be held accountable.”
There’s no way the Walz administration didn’t know about the billions being stolen in fraud.
Whoever knew, even up to the high levels, must be held accountable. https://t.co/FKY6v2RD7D
— Tom Emmer (@GOPMajorityWhip) December 22, 2025
Federal prosecutor warns of massive Medicaid fraud
Federal prosecutors have been sounding the alarm about the staggering scope of potential fraud in Minnesota’s Medicaid-funded programs.
At a Dec. 18 press conference, Assistant U.S. Attorney Joe Thompson, who has led many of the federal government’s fraud prosecutions in the state, said a “significant portion” of roughly $18 billion spent on 14 state-run Medicaid programs since 2018 could be fraudulent.
Pressed to clarify what he meant by “significant,” Thompson said, “half or more.”
“I don’t make these generalizations in a hasty way,” Thompson said. “When I say ‘significant amount,’ I’m talking on the order of half or more. But, we’ll see.”
Thompson made the remarks while announcing new criminal charges connected to Minnesota’s expanding fraud investigations, which grew out of the $250 million Feeding Our Future scheme that resulted in dozens of federal convictions.
“The fraud is not small. It isn’t isolated. The magnitude cannot be overstated,” Thompson said. “What we see in Minnesota is not a handful of bad actors committing crimes. It’s a staggering, industrial-scale fraud. It’s swamping Minnesota and calling into question everything we know about our state.”
State programs under scrutiny
Amid the Feeding Our Future prosecutions, federal investigators expanded their focus to other state programs funded by Medicaid.
Earlier this year, the Minnesota Department of Human Services shut down Housing Stabilization Services after determining the program had been heavily exploited by fraud. Payments through the program surged from about $20 million in 2021 to more than $100 million in 2024.
Housing Stabilization Services was one of 14 Medicaid-funded programs later designated as “high-risk” by DHS. The list also includes Early Intensive Developmental and Behavioral Intervention services, where prosecutors say autism-related claims tied to Minnesota Medicaid rose from about $83 million in 2021 to $342 million in 2024.
🚨CLOSER LOOK: Pictures show the “explosive growth” of Medicaid services in Minnesota
“This investigation has been underway for more than four years and is being handled by career prosecutors and law enforcement agents here in Minnesota,” said First Assistant U.S. Attorney Joe… pic.twitter.com/idyd5m61VJ
— Liz Collin (@lizcollin) December 20, 2025
Federal prosecutors announced charges in September against Asha Farhan Hassan for her role in a $14 million scheme to defraud a state autism program. Authorities said the charges “mark the first in the ongoing investigation into fraud” in the program.
Walz has since ordered a third-party audit of the programs, which together have cost taxpayers more than $18 billion over six years.
“When I look at the claims data and the providers, I see more red flags than I see legitimate providers, and overwhelmingly so,” Thompson said.
Asked directly whether he believed more than half of the $18 billion could ultimately be determined to be fraudulent, Thompson responded: “I’m saying that’s very possible, yes.”
Be sure to follow Alpha News’ coverage of fraud in Minnesota
Jenna Gloeb
Jenna Gloeb is an Edward R. Murrow Award-winning journalist, media producer, public speaker, and screenwriter. Most recently, she worked as a reporter and on-air host for CCX Media. Jenna is a Minnesota native and resides in the Twin Cities with her husband, son, daughter, and two dogs.
