Minnesota Attorney General Keith Ellison announced felony charges Wednesday against Mohamed Abdirashid Omarxeyd for a massive $3 million Medicaid fraud scheme. The Minneapolis man allegedly used his company, Guardian Home Health Services, to bill for "high-risk" services that were never provided.
Prosecutors say the fraudulent activity occurred between 2020 and 2024. Omarxeyd and his wife are accused of siphoning more than $2 million from company accounts for personal use during that period.
State investigators identified fraudulent claims for personal care, respite care, and community support services. Ellison called the act of defrauding low-income healthcare programs "despicable" in a formal statement.
The case follows a string of major scandals that have rocked the state’s Somali community and government agencies. This includes the infamous $250 million Feeding Our Future food fraud case that drew national scrutiny.
The TREASURY is currently investigating whether funds from these Minnesota fraud schemes reached the terror group Al-Shabab. Secretary Scott Bessent has pointed toward the leadership of former Governor Tim Walz as a factor in the oversight failures.
Walz notably chose not to seek a third term as governor following the fallout from the widening scandals. The DOJ and FBI have stepped up efforts to dismantle organized fraud rings operating within state-funded programs.
Ellison’s office has prosecuted over 300 Medicaid fraud cases to date. The state has successfully recovered more than $80 million in restitution and penalties from various criminal enterprises.
Omarxeyd is charged with eight counts of felony theft by false representation. He is scheduled to make his first appearance in court on February 3, 2026.