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US Treasury Investigates Suspected COVID Fraud
9 Jan
Summary
- US Treasury is investigating businesses for COVID-era tax incentive fraud.
- Billions in social welfare funds may have been diverted.
- Funds potentially linked to Al-Shabaab terrorist group in Somalia.
The U.S. Treasury Department's Financial Crimes Enforcement Network has initiated investigations into businesses suspected of defrauding COVID-era tax incentive programs. U.S. Treasury Secretary Scott Bessent confirmed that the government is determined to uncover the extent of an alleged social services fraud scheme operating in Minnesota.
This scheme is believed to have diverted billions of dollars designated for social welfare programs. Secretary Bessent indicated that investigators are tracing the flow of these funds, which may have potentially been redirected to the Al-Shabaab terrorist group in Somalia. He emphasized the ongoing examination of these financial trails.
During a virtual news conference while visiting Minnesota, Secretary Bessent met with financial institutions as part of the inquiry. The Treasury Department is committed to thoroughly investigating these allegations to ensure accountability and prevent further misuse of public funds.
