Independent Journalist Exposes Alleged 'Ghost' Child Care Centers in Minneapolis Amid Ongoing Minnesota Fraud Scandal

Minneapolis, MN - December 26, 2025A 42-minute video released today by independent journalist Nick Shirley has gone viral, documenting on-the-ground visits to several Minneapolis-area child care centers that appear deserted despite being licensed for dozens-or even hundreds-of children and receiving millions in state funding.

The investigation focuses on facilities participating in Minnesota's Child Care Assistance Program (CCAP), which provides subsidies to low-income families for child care expenses. Shirley, accompanied by a researcher, visited multiple sites, many of which are Somali-owned, where no children, playground equipment, or signs of active operations were visible.

One highlighted example is the Quality Learning Center on Nicollet Avenue, licensed for up to 99 children. The center's exterior sign misspells "learning" as "Learing," and windows are covered or blacked out. According to public records cited in the video, the facility received approximately $1.9 million in CCAP payments in fiscal year 2025 alone, with total disbursements nearing $4 million in recent years. A neighbor interviewed by Shirley claimed no children had been seen at the site in over eight years.

Shirley and his team visited additional centers, tallying over $110 million in combined CCAP funds across the locations they documented in a single day. At several sites, staff or individuals associated with the facilities were confrontational, slamming doors or refusing to answer questions about enrollment or the whereabouts of enrolled children."

Shirley, accompanied by a researcher, visited multiple sites, many of which are Somali-owned, where no children, playground equipment, or signs of active operations were visible

This is open and blatant fraud," Shirley states in the video. "We all work too hard and pay too much in taxes for this to be happening. The fraud must be stopped."The video has sparked widespread reaction on social media, with Republican House Majority Whip Tom Emmer (R-MN) publicly questioning Governor Tim Walz (D) about the disbursements. "4 million dollars of hard-earned tax dollars going to an education center that can't even spell learning correctly. Care to explain this one, @tim_walz

?" Emmer posted on X.Shirley's findings come amid a broader crisis in Minnesota's social services programs. Federal and state investigations have uncovered significant fraud, particularly tied to the Somali community in the Twin Cities. Notable cases include the Feeding Our Future scandal, where dozens were indicted for allegedly stealing hundreds of millions from child nutrition programs during the COVID-19 pandemic. Overall losses in state programs since 2018 are estimated to exceed $1 billion, with the Minnesota Department of Human Services reporting 62 active fraud cases.

State officials have acknowledged ongoing oversight challenges in CCAP, including past violations at some centers for issues like inadequate records or safety concerns. In 2025, lawmakers passed measures to strengthen fraud prevention, such as expanded data sharing and immediate license suspensions for charged individuals.

The Minnesota Department of Children, Youth, and Families encourages reports of suspected fraud through official channels and maintains that investigations are ongoing to ensure taxpayer funds are used appropriately.

Shirley's full video, posted to YouTube and shared widely on platforms like X, has fueled calls for greater accountability in public assistance programs. As federal probes continue, questions remain about how such alleged discrepancies persisted under existing oversight.