More Guilty Pleas in Massive Minnesota Fraud Case
Minneapolis, MN (MinnesotaNow)- Guilty pleas have been entered by five more people charged in the Feeding Our Future fraud scheme.
The Office of the U.S. Attorney for Minnesota says all five defendants admitted to wire fraud charges in federal court this week. Federal prosecutors have now obtained 63 convictions, which they say is the largest number of convictions in a single fraud investigation in recent memory.
Inside the $14.6 Million Fraud Scheme
Ikram Yusuf Mohamed, Aisha Hassan Hussein, Sahra Sharif Osman, Shakur Abdinur Abdisalam, and Fadumo Mohamed Yusuf were accused of working together to steal and launder $14.6 million in Federal Child Nutrition Program funds during the COVID-19 pandemic. Prosecutors say the group members are family or friends who purportedly operated program sites in the Twin Cities, along with a food distribution entity.
Breakdown of Charges and Guilty Pleas
A news release issued by the Office of the U.S. Attorney for Minnesota detailed the allegations against members of the group.
Shakur Abdinur Abdisalam, 46, Ikram Mohamed’s husband, participated in the scheme to defraud the Federal Child Nutrition Program with his wife and other family conspirators through a company called Inspiring Youth & Outreach LLC (“Inspiring Youth”). Inspiring Youth purported to run a food site in Minneapolis. Between February and November 2021, the company fraudulently claimed to have served more than 1 million meals. He and his conspirators also supported their program reimbursement claims with phony attendance rosters purporting to document the children they fed. Those rosters listed made-up children with fake ages. Based on these fraudulent claims, Inspiring Youth received more than $1.5 million in Federal Child Nutrition Program funds. As part of the scheme, Abdisalam also paid a $21,000 kickback to his wife’s entity, IM Consultation. Abdisalam pleaded guilty to one count of wire fraud.
Aisha Hassan Hussein, 29, Ikram Mohamed’s sister, participated in the Feeding Our Future fraud scheme as the principal of United Youth of MPLS LLC (“United Youth”). Hussein enrolled her company in the Federal Child Nutrition Program under the sponsorship of Feeding Our Future and purported to operate two sites in Minneapolis. From December 2020 through November 2021, Hussein and her co-conspirators falsely claimed to have served more than 1.3 million meals to children at the United Youth sites, totaling approximately $2.2 million in fraudulent Federal Child Nutrition Program funds. As part of the scheme, Hussein also paid a $166,000 kickback to her sister’s company, IM Consultation. Hussein pleaded guilty to one count of wire fraud.
Sahra Sharif Osman, 43, participated in the Feeding Our Future fraud scheme as the principal of a nonprofit called Youth International Club LLC (“Youth International”). Youth International operated two Federal Child Nutrition Program sites under the sponsorship of Feeding Our Future. The Youth International food sites were in Hopkins and Edina and purported to serve meals out of community rooms in townhome complexes. Between March and November 2021, Youth International fraudulently claimed to have served nearly 700,000 meals and received more than $1.4 million in Federal Child Nutrition Program funds. As part of the scheme, Osman also paid a $7,500 kickback to Ikram Mohamed’s IM Consultation. Osman pleaded guilty to one count of wire fraud.
Fadumo Mohamed Yusuf, 59, Ikram Mohamed’s mother, participated in the scheme through Active Minds Youth LLC (“Active Minds”), another company that enrolled in the Federal Child Nutrition Program under the sponsorship of Feeding Our Future. Active Minds purported to operate a food site located on East Lake Street in Minneapolis. Between February and June 2021, Active Minds fraudulently claimed to have served more than 500,000 meals and received more than $1 million in Federal Child Nutrition Program funds. As part of the scheme, Yusuf also paid a $38,500 kickback to her daughter’s company, IM Consultation. Yusuf pleaded guilty to one count of wire fraud.
Sentencing hearings for the five conspirators have yet to be scheduled.