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$250 Million “Feeding Our Future” Fraud Case

$250 Million “Feeding Our Future” Fraud Case

MINNEAPOLIS — A Lakeville, Minnesota man was sentenced Wednesday in federal court for his role in a massive pandemic-era fraud scheme connected to the nonprofit Feeding Our Future, one of the largest COVID-19 relief fraud prosecutions in U.S. history.

Khadar Adan received one year of probation after pleading guilty to theft of government property in August. The sentence was handed down by Nancy Brasel, a judge for the U.S. District Court in Minnesota.

According to prosecutors, Adan allowed a fraudulent food distribution operation to run out of his Minneapolis business center, known as JigJiga, which hosted a site called Lake Street Kitchen. Court records show Adan admitted to receiving $1,000 in illicit proceeds from the operation. He was ordered to repay the same amount in restitution.

Adan was the third and final defendant connected to the Lake Street Kitchen site to plead guilty.

Largest Pandemic-Era Fraud Case

The broader investigation into Feeding Our Future centers on a scheme in which defendants allegedly exploited the Federal Child Nutrition Program, a federally funded initiative designed to provide meals to children.

Prosecutors say individuals involved in the scheme falsely claimed to have served millions of meals to children during the COVID-19 pandemic. Instead, authorities allege, much of the money was diverted for personal use.

The Justice Department has charged 75 people in connection with the case, and 50 have pleaded guilty so far.

Investigators say defendants used the funds to purchase luxury items including cars, real estate, and other high-end goods.

False Meal Claims

According to court documents, Adan and his co-defendants claimed that Lake Street Kitchen served roughly 70,000 meals between December 2020 and April 2021, allowing them to receive substantial federal reimbursements. Prosecutors say only a small portion of those meals were actually provided.

Another defendant tied to the site, Liban Yasin Alishire, operated both Lake Street Kitchen and an additional location called Community Enhancement Services. Authorities say he received more than $1.6 million in federal reimbursements before pleading guilty in 2023.

Separate Guilty Plea in Related Scheme

In a related development, federal prosecutors recently announced that Guhaad Hashi Said, a former political activist who previously ran for the Minnesota House of Representatives, pleaded guilty to conspiracy to commit wire fraud and conspiracy to commit money laundering.

 

Authorities say Said used a nonprofit called Advance Youth Athletic Development to falsely claim he was serving thousands of meals per day to children.

The organization was incorporated in 2021 and registered to an apartment in Minneapolis. Prosecutors allege Said submitted records claiming 5,000 meals per day, eventually reporting that his program had served more than one million meals during 2021.

Investigators say the claims were largely fabricated.

Millions in Federal Funds

According to the Justice Department, Said’s operation received approximately $2.9 million in federal reimbursements.

Between August and December 2021, prosecutors say he transferred more than $2.1 million from the nonprofit’s accounts to a catering company and used other funds to purchase real estate, vehicles, and personal goods through a network of shell nonprofits and business entities.

Said now faces up to 25 years in federal prison when he is sentenced.

Prosecutors Describe Widespread Fraud

Acting U.S. Attorney Joseph H. Thompson said the growing number of convictions reflects the scale of the scheme.

“The scale of the fraud in Minnesota is staggering,” Thompson said in a statement. “Every rock we turn over reveals more.”

Federal officials say the case illustrates how pandemic relief programs designed to help vulnerable communities became targets for large-scale fraud networks.

The investigation remains ongoing as authorities continue to pursue charges against additional defendants tied to the Feeding Our Future operation.


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