Video Sparks Controversy Over Minneapolis Day Care Center Fraud Allegations

A daycare center in Minneapolis has become the center of controversy following a viral video that alleges fraudulent practices. The Quality Learning Center, located on Nicollet Avenue, gained attention after Nick Shirley, a conservative content creator, highlighted a misspelled sign that read “Quality ‘Learing’ Center.” His video, posted on December 26, 2022, quickly garnered widespread attention and led to increased scrutiny of daycare providers in the Somali community.

Shirley’s 42-minute video aimed to expose what he described as rampant fraud in the Minnesota daycare system. His claims prompted significant reactions, including calls for heightened immigration enforcement and criticism from political figures, notably former President Donald Trump. The video’s focus on Quality Learning Center has raised questions about the legitimacy of its operations.

In a response to the allegations, Ibrahim Ali, who identified himself as the center’s manager, assured local media that no fraud was occurring at the facility. He stated, “There’s no fraud going on whatsoever,” emphasizing that Shirley’s footage was recorded before the center opened for the day.

Federal law enforcement has been investigating allegations of fraud within Minnesota’s daycare system for several years. According to Assistant US Attorney Melinda Williams, “98 individuals have been charged in our ongoing fraud against the government cases.” While these investigations are ongoing, no fraud charges have been filed against the Quality Learning Center.

The center has received substantial funding from the Child Care Assistance Program (CCAP), amounting to nearly $10 million since 2019 and projected to receive $1.9 million for the fiscal year 2025. These figures were provided to CNN by the state House Republican Caucus, which has expressed concerns regarding the center’s operations. State House Speaker Lisa Demuth noted that discussions about potentially fraudulent daycare centers, including Quality Learning Center, had occurred as early as February 2023.

CCAP does not accept applications directly from daycare centers; instead, eligible caregivers apply to the state, which pays the daycare center directly. A budget forecast by the agency managing CCAP indicated that the program would cost the state $56 million in the 2025 fiscal year, with an additional $101 million expected from federal funding.

The Quality Learning Center’s most recent inspection occurred on June 23, 2023, as part of unannounced visits conducted by state officials. Tikki Brown, Commissioner of the Minnesota Department of Children, Youth, and Families, stated that ongoing investigations have not uncovered findings of fraud in the centers featured in Shirley’s video. She mentioned that new site visits would be conducted, although the department did not confirm whether these had been completed.

Despite the allegations, Quality Learning Center has faced scrutiny for past violations. State records indicate that the facility was cited for 121 violations between May 2022 and June 2023, including issues related to staffing qualifications and documentation for children’s medication. None of these violations suggested that the center was operating fraudulently, but they did raise concerns about compliance with state standards.

In a public notice issued in June 2022, state inspectors placed the center on conditional status for two years due to the “serious and chronic nature” of its violations. The notice revealed that overcrowding was an issue, with too many children present in certain rooms and inadequate adult supervision. Despite these challenges, the center was not suspended and has since submitted and had approved corrective documents.

As media attention intensified, the sidewalk outside Quality Learning Center became a focal point for supporters of Shirley’s claims, with children being escorted in and out of the facility. Observers noted that while state officials initially claimed the center had closed, children were still arriving that same afternoon. This contradiction led to speculation and confusion regarding the center’s operational status.

The center is licensed to provide care for a maximum of 99 children. Ali stated that the facility serves between 50 to 80 children daily. Despite the ongoing inquiries, the Minnesota Department of Human Services has not provided enrollment figures or confirmed details regarding the current status of the center.

Quality Learning Center’s license is valid through the end of 2026, according to state licensing records. As for the sign’s missing letter “n,” Ali attributed it to a graphic designer’s error and confirmed that efforts to rectify the mistake were underway.

As investigations continue, the implications of the allegations against Quality Learning Center and similar facilities remain significant for the local community and the broader discourse surrounding childcare assistance programs in Minnesota.