Nick Shirley Video Says MN Has More Than 1,000 Fraudulent Medical Transport Companies

YouTuber Nick Shirley released a video Monday alleging that Minnesota’s medical transport system is riddled with fraud.

In December, Shirley posted video showing several purported Somali-run daycare centers in Minnesota — including one that reportedly received $4 million in taxpayer funds — with no children present on site. In a video posted on his channel, Shirley said his yearlong review identified roughly 1,200 medical transportation outfits operating across the state. This was an investigation he conducted together with David, who he says played an important role in helping to expose large-scale fraud in Minnesota. Shirley says David contributed research, documentation, and firsthand insight.

“And so to have that many non-emergency medical transportation companies, it’s not possible that they can transport that many people. I have been to many of these transportation companies, and I’ve been time stamping my photographs for a whole year at one facility in Minneapolis,” David said. “And those vans in that parking lot have not moved one inch in an entire year. They’re all still sitting there.”

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“And so when you think about it, you have with the transportation companies, you have the adult care centers. So are they working hand in hand together to then say, ‘We’re getting the services from them, the adult daycare centers, to then transport them to their appointments?’” Shirley asked.

David said the alleged fraud tied to Minnesota’s medical transportation system extends far beyond vans and billing records.

“So my feeling is this transportation deal is kind of the belly of the beast because you also have these charter schools, and there’s a school in North Minneapolis called Banaadir Academy. It’s a K through 12 school. So that’s K through 12,” David said. “So that’s 13 years, 13 classes, right? And they say they have 150 students. I found data that they have 136. So that’s 10 people per class. How is that possible? And they’re getting somewhere around 20 to 30 million dollars a year for what?”

The Department of Health and Human Services announced last week that it froze child care payments to Minnesota amid fraud allegations. Federal prosecutors have charged 78 defendants — including 72 of Somali background. Whistleblowers in Maine and Ohio have raised similar fraud claims involving Somali-led health providers.

HHS said Monday that Somalia’s top United Nations diplomat maintains ties to a U.S.-based health care company previously scrutinized by federal authorities for Medicaid fraud.

“I can confirm public speculation that Ambassador Abukar Dahir Osman, Permanent Representative of Somalia to the U.N. and President of the Security Council, is in fact associated with Progressive Health Care Services, a home health agency in Cincinnati,” Deputy HHS Secretary Jim O’Neill wrote. “HHS has previously taken action against Progressive in response to a conviction for Medicaid fraud.”