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Tipsheet

This State Might Be the Next to Face Scrutiny Over Fraud

AP Photo/Steve Ruark

Maryland could become the next Democrat-run state to face scrutiny over welfare fraud after it was revealed that fraudsters conned the state of Minnesota out of almost $9 billion.

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The state of Maryland is currently facing a $1.4 billion budget deficit. However, when reporters asked Gov. Wes Moore’s administration whether there could be similar fraud issues to those in Minnesota, the administration's response wasn’t very reassuring.

"To answer your question—can I assure you of that level of abuse?" David Turner, the governor's communications director, told Spotlight on Maryland during a New Year's Eve interview. "I don't have the answer for you on that, but I can assure you we are doing everything we can to mitigate waste, fraud, and abuse."

You read that right. The state’s chief spokesperson has no idea whether the state is experiencing this level of fraud.

Minnesota Gov. Tim Walz announced on Monday that he would not seek reelection amid the Somali fraud scandal. The scams involved some in the Somali community setting up fake daycares and nonprofit organizations, claiming they were serving low-income children.

The matter eventually came to light after whistleblowers warned state officials. However, the Walz administration ignored their concerns.

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Related:

MARYLAND MINNESOTA

It sounds like Maryland’s government might be doing the same thing, even if it’s not on the same level as Minnesota, according to Maryland Bay News:

Maryland’s procurement apparatus is one of the clearest pressure points heading into 2026.

The most striking example is the eMaryland Marketplace Advantage (eMMA) system—Maryland’s statewide e-procurement platform overseen by the Maryland Department of General Services. A December 2025 audit by the Maryland Office of Legislative Audits found:

  • $32.5 million spent on a system that failed to produce accurate procurement records

  • No attempt to recover damages or penalties, despite contractual authority

  • $1.6 million more spent cleaning up accounting failures

  • 2,100 canceled invoices due to reconciliation problems

  • $2 million in uncollected administrative fees

An improper routing of payments through a Minority Business Enterprise (MBE) subcontractor, leading to an employee’s termination and referral to the Maryland Office of the Attorney General

While auditors stopped short of alleging widespread criminal fraud, the findings describe textbook conditions for future investigations, especially as budget pressures grow and lawmakers ask why no one is held accountable when projects fail.

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Yet Maryland’s government wants people to think it is on top of the issue. Turner touted a “government modernization initiative” that supposedly saved about $20 million by employing efficiency measures.

Yet the numbers suggest there is ample reason for an investigation. Perhaps exposing Minnesota’s problems could prompt greater accountability in other states for how they handle fraud.

But, I’m not holding my breath. What happened in Minnesota is the billionth example demonstrating why government should not be allowed to take your hard-earned money. It has already shown that it is not precisely the best steward of finances.

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