News release
Rep. Bidal Duran Comments on Alleged "Widespread Fraud" in State-Run Housing Program
St. Paul, MN – In response to the federal investigation into alleged widespread fraud within Minnesota’s Housing Stabilization Services program, Representative Bidal Duran (R–Bemidji) issued the following statement:
“We have a serious, systemic fraud problem in this state—and it’s ridiculous that it’s been allowed to go on this long. Minnesotans work hard for their money. They shouldn’t have to watch it get funneled into fake services, shady providers, and a system that clearly lacks basic oversight.”
Duran, a former law enforcement officer and combat veteran, emphasized the need for swift and meaningful action:
“This is taxpayer theft. And it’s not just about the money—it’s about restoring trust. It’s about showing the people of Minnesota that their government is capable of protecting what they’ve earned. We need to stop this now and make it clear that if you steal from the people of this state, there will be consequences.”
The Housing Stabilization Services program was created to help vulnerable Minnesotans with disabilities or complex health needs avoid homelessness and institutionalization. However, a federal affidavit describes the benefit as “easy to obtain” and highly susceptible to abuse. Providers have been accused of enrolling clients and billing tens of thousands of dollars per person for services that were never delivered while the individuals the program was supposed to help were left behind.
Rep. Duran is calling for aggressive reforms to close loopholes, prosecute offenders, and strengthen oversight across State funded programs.