Federal authorities have accused two Minnesota women of orchestrating a massive $21 million Medicaid fraud scheme tied to autism treatment centers, with authorities alleging that part of the stolen funds was transferred to Kenya.
Shamso Ahmed Hassan, 55, and Hanaan Mursal Yusuf, 25, both U.S. citizens who are Ilhan Omar look-alikes, face charges of conspiracy to commit health care fraud, health care fraud, and money laundering.
Hassan was a beneficial owner of Smart Therapy Center LLC and Star Autism Center LLC and served as lead biller for one of the companies.
According to a Department of Homeland Security press release, the scheme operated from May 2020 to December 2024. The women submitted false claims to Minnesota’s Early Intensive Developmental and Behavioral Intervention (EIDBI) program, which provides services for children with autism and developmental delays.
The Fraud Scheme
Court documents state that Hassan and Yusuf paid kickbacks to parents ranging from $300 to $1,500 per month to enroll Medicaid-eligible children in their programs.
They disguised these payments by issuing checks to family members and employees, who then cashed them and delivered the cash to parents. The payments were referred to internally using the code word “computer.”
Authorities allege the defendants paid monthly kickbacks to parents of Medicaid-eligible children to enroll them in the programs, while also disguising payments and routing portions of the funds overseas, including to Kenya.
Also Read: Ilhan Omar Defiantly Dares DOJ to Indict Her Amid Immigration Fraud Investigation
The case is being led by the FBI with assistance from Homeland Security Investigations, and both suspects remain in federal custody as proceedings continue.
The companies billed Medicaid for services that were either not provided or did not meet program requirements. In total, they submitted approximately $46.6 million in claims, resulting in Medicaid payments of about $21.1 million. Some of the proceeds were allegedly transferred overseas, including to Kenya.
The Department of Homeland Security confirmed both women are U.S. citizens, with Hassan having been naturalized.
They remain in federal custody pending further court proceedings. The case is being investigated by the FBI with assistance from Homeland Security Investigations.
Previous Fraud Cases in Minnesota
Minnesota has seen several large-scale fraud cases involving federal health and nutrition programs in recent years. In one prominent case, a former executive director of Feeding Our Future was sentenced to 41.5 years in prison on May 21 for stealing approximately $250 million in federal funds.
Authorities have noted patterns of fraud in programs serving immigrant communities in the state, though officials say the cases reflect weaknesses in program oversight rather than any single group.
Why This Matters
This case shows ongoing vulnerabilities in Medicaid programs designed to support children with developmental disabilities.
When funds are diverted through fraudulent claims and kickbacks, fewer resources remain available for legitimate patients who need intensive behavioral intervention services.
Taxpayers ultimately bear the cost. The $21 million lost in this scheme could have funded care for hundreds of children. Cases like this also reduce public confidence in government benefit programs and increase pressure for stronger verification and auditing measures.
Fraud in entitlement programs affects program integrity across the country. Federal and state agencies continue to investigate similar schemes in Minnesota and elsewhere as part of broader efforts to protect public funds.
