An autism center operated by a longtime ally of Minnesota Democratic Senate candidate Peggy Flanagan is under state investigation for alleged fraud, intensifying scrutiny of Flanagans ties to a politically connected network within the local Somali community.
According to Fox News, the Milestone Development Center, run by Democratic activist Nimco Ahmed, is under investigation by the Minnesota Department of Human Services (DHS) alongside the Spectrum Therapy Center, a probe first revealed by Alpha News. DHS confirmed to Fox News Digital that both entities are being formally examined, a development that has fueled criticism of Flanagan, who has already faced questions over her handling of prior fraud scandals involving state-funded programs.
"These agencies are on our radar," a DHS spokesperson said. "The Minnesota Department of Human Services has open investigations into both Spectrum Therapy Center and Milestone Development Centers. If a provider is part of an open investigation, the department cannot by law disclose details." The spokesperson added that the state has already taken significant action against the providers, signaling that concerns about their operations are not new.
"We can, however, share the following: Several months ago, the Minnesota Department of Human Services terminated both agencies from participating in the Medicaid program as part of Minnesota Revalidate 2026. Revalidation is a process to verify that agencies have required credentials and are otherwise compliant with state and federal regulations. Both providers have appealed their termination." That step effectively cuts off taxpayer-funded Medicaid dollars unless and until the appeals succeed, underscoring the seriousness of the states concerns.
Ahmed, listed online as Milestones CEO, gained wider public attention after appearing in a video on Somali TV that later went viral amid a broader fraud scandal tied largely to the local Somali community. In that clip, Flanagan, wearing a hijab and standing beside Ahmed, declared, "The Somali community is part of the fabric of the state of Minnesota," a statement critics now say reflects a political class more focused on identity politics than on accountability for public funds.
Ahmed, who was born in Somalia, has long been active in the Minnesota DemocraticFarmerLabor Party and, according to Alpha News, has been close friends with Flanagan for nearly a quarter-century. That longstanding relationship is now drawing renewed attention as voters question whether political favoritism and ideological solidarity have overshadowed basic oversight of programs funded by taxpayers.
Fox News Digital reached out to Flanagans campaign for comment. As of publication, there has been no public response addressing either the investigation into Milestone or Flanagans association with Ahmed.
News of the fraud probe quickly ignited criticism of Flanagan, who has served as Minnesotas lieutenant governor since 2019 and is now seeking a promotion to the U.S. Senate. She has already faced persistent questions about why her administration did not act more aggressively to prevent or uncover large-scale fraud in state programs over the past several years.
"Nimco Ahmed, who stood alongside Peggy Flanagan wearing a hijab, runs an autism center that is now under investigation," Townhall columnist Dustin Grage posted on X. "You cant make this stuff up." The implication from conservative commentators is that the same political figures who loudly posture as defenders of minority communities have presided over systems vulnerable to abuse.
" It just never ends," conservative influencer LibsofTikTok posted on X. "I cant even keep up anymore," retired NYPD inspector and Fox News contributor Paul Mauro posted on X. Their reactions reflect a broader frustration among conservatives who see a pattern of mismanagement and lack of accountability in Democrat-run states, particularly when it comes to welfare and Medicaid spending.
Alpha News reported that former Milestone therapist Grant Morgan worked directly with clients six days a week during his two months at the center in late 2023 and said he never saw a Qualified Supervising Professional or Board Certified Behavior Analyst overseeing the work, despite such oversight being central to legitimate autism therapy. He further alleged that many practitioners appeared unqualified and had limited understanding of applied behavior analysis, raising serious questions about the quality of care provided to vulnerable children.
He also said he was never asked to write or sign session notes documenting services, despite those notes being central to how providers bill Medicaid. Morgan described the treatments as ineffective and said Milestone did not provide comprehensive autism services, adding that some clients did not appear to be autistic and that he observed potential billing fraud red flags, though he was not involved in billing.
Fox News Digital reached out to Milestone for comment. The center has not publicly addressed Morgans specific allegations about staffing, documentation, and treatment quality.
Ahmed reportedly told Alpha News that questions about care at her center were "bias" and said the outlet pursued the story because she is Somali. She denied that Milestone lacked QSP or BCBA oversight, insisted that all children served had autism diagnoses, and maintained that the center complies with state requirements and is regularly audited.
For many Minnesotans, the case highlights a deeper concern: whether progressive leaders who champion diversity and expanded government programs are exercising even minimal stewardship over the billions in public funds they control. As the investigations proceed and appeals play out, voters will be watching to see whether Flanagan and her allies prioritize transparency and accountabilityor continue to dismiss serious questions as mere political attacks.
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