Minnesota daycare owner Fahima Mahamud pleaded guilty to one count of wire fraud and one count of conspiracy to defraud the United States in connection with a pandemic-era meal fraud scheme, according to court records. Prosecutors had previously alleged that she attempted to flee the United States two days after shutting down her daycare center.
According to prosecutors, Mahamud operated Future Leaders Early Learning and fraudulently obtained more than $850,000 through the Feeding Our Future program by claiming funds intended to feed children during the COVID-19 pandemic. Authorities said she used most of the money to purchase real estate. The Department of Justice also alleged that Mahamud submitted separate fraudulent claims totaling about $4.6 million through the federal Child Care Assistance Program.
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In February, Mahamud notified the state that Future Leaders was being shut down. On the same day, prosecutors claimed she had booked a flight to London.
Mahamud was previously accused in that investigation on allegations that her daycare falsely claimed to have served meals to large numbers of children through federally funded food programs. Future Leaders Early Learning gained public attention after appearing in a viral video posted by YouTuber Nick Shirley, who toured around several Minnesota childcare centers, raised questions about whether some facilities were improperly receiving public funds. The video circulated widely online and intensified public scrutiny surrounding childcare and nutrition assistance programs in the state.
In May, Aimee Bock, who was reportedly leading the scheme, was sentenced to more than 41 years in prison. She has appealed her conviction and sentence. Dozens of others have also been convicted in the case.
Bock ran Feeding Our Future, which had claimed it helped provide millions of meals to children in need during the pandemic. The U.S. Justice Department, however, said she was atop the “single largest COVID-19 fraud scheme in the country.”
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President Donald Trump had used the case against Bock and others to justify a massive surge of federal officers to the Minneapolis-St. Paul area last winter, leading to a pushback by residents and the deaths of two people.
U.S. authorities said efforts are being strengthened to improve transparency and oversight in federally funded food assistance programs and to prevent the misuse of taxpayer money. Investigators are continuing to examine the role of other accused persons and any additional individuals who may have been involved in the alleged fraud.