Story perspectives

Eight Charged in Minnesota Housing Scam; Program to End

9/18/2025

Summary

Story summary

Acting U.S. Attorney Joe Thompson announced eight new criminal charges against individuals involved in Minnesota's Housing Stabilization Services (HSS) program, deemed a scam.
The Minnesota Department of Human Services (DHS) has suspended payments to 115 providers, amounting to over $100 million billed since 2020.
DHS officials revealed plans to shut down the HSS program by late October during testimony before a state legislative anti-fraud committee.
Defendants are associated with various HSS vendor companies, with some expected to plead guilty soon.
The HSS program, meant to offer housing advice, has faced significant criticism for its ineffectiveness.

History

Historical Context

The Affordable Care Act, enacted in 2010, expanded Medicaid and increased funding for housing assistance programs in the U.S. However, since 2020, Minnesota's Department of Human Services has suspended over $100 million in payments to 115 providers due to fraud and mismanagement. This situation underscores ongoing challenges in public assistance initiatives, potentially prompting reforms in housing assistance administration.

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Story summary

Acting U.S. Attorney Joe Thompson announced eight new criminal charges against individuals involved in Minnesota's Housing Stabilization Services (HSS) program, deemed a scam.
The Minnesota Department of Human Services (DHS) has suspended payments to 115 providers, amounting to over $100 million billed since 2020.
DHS officials revealed plans to shut down the HSS program by late October during testimony before a state legislative anti-fraud committee.
Defendants are associated with various HSS vendor companies, with some expected to plead guilty soon.
The HSS program, meant to offer housing advice, has faced significant criticism for its ineffectiveness.

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