The Fraud Exposure Continues: Dr. Oz and Jim O’Neil Reveal Over 400 Medicaid Businesses Started at Just One Converted Factory in Minnesota
In the seemingly never-ending fraud reveal, especially around Minnesota, another shocking example has been revealed by Dr. Mehmet Oz, President Trump’s Administrator of the Centers for Medicare and Medicaid Services (CMS).
Dr. Oz was joined by Deputy Secretary of Health and Human Services Jim O’Neil at the Griggs Midway Building in St. Paul, Minnesota, where Dr. Oz claimed that over 400 Medicaid businesses originated at the converted linen factory.
“Roughly 400 Medicaid businesses were started in the building behind me over the last several years,” Dr. Oz said. “They generated about $380 million of billing that you, the taxpayer, were putting up.”
Dr. Oz said that the building’s location is less than ideal for autistic children and healthcare services and questioned whether or not the owner of the building was aware of the situation.
Dr. Oz continued:
“What did the owner of the business, this building, think was happening inside? Why did no one in the state figure out this was a concern, and perplexingly to me, in a place of this nature, an industrial complex that people would not come to for childcare or autism or transportation support…How is it possible this could come up like an abscess in the heart of Minneapolis and nobody was watching?
I think it’s because they weren’t looking. They didn’t want to know this problem was happening here. And it’s very concerning to me that only now, when there’s more federal supervision, are people beginning to ask tough questions.”
HOLY SMOKES. Trump officials Dr. Oz and Jim O’Neill just dropped a Minnesota BOMBSHELL: They found a former linen factory transformed into 400 Medicaid businesses to generate nearly half a BILLION DOLLARS
To repeat, 400 Medicaid businesses in one building. IT’S FRAUD!
“Why… pic.twitter.com/7BphX93ZpY
— Eric Daugherty (@EricLDaugh) January 23, 2026
The Griggs Midway Building, however, is not a new discovery. KARE11, a local Minnesota news outlet, reported on a federal investigation that identified 22 HHS providers that received $8 million in Medicaid payments from January 2024 to May 2025. Much of the fraud allegedly revolved around a Medicaid-funded housing program for senior citizens and disabled citizens requiring assistance with finding housing.
Kare11 reported:
The Griggs Midway Building, which houses the business office of Brilliant Minds Services, was one of them. Officers also searched the business addresses of Leo Human Services, Liberty Plus, Pristine Health, and Faladcare Inc., as well as three other homes linked to the HSS company owners. Four of these companies have already been the subject of KARE 11 Investigations.
…Federal agents armed with search warrants visited locations of companies believed to be participating in the alleged exploitation of taxpayer dollars. The Griggs Midway building, which houses the business office of Brilliant Minds Services, was one of them. Officers also searched the business addresses of Leo Human Services, Liberty Plus, Pristine Health, and Faladcare Inc., as well as three other homes linked to the HSS company owners. Four of these companies have already been the subject of KARE 11 Investigations.
“Client after client has reported that they received little or no actual services or assistance,” an FBI Special Agent wrote in the affidavit. “But the companies… have received millions of dollars in Medicaid funds for housing stabilization services they did not actually provide.”
The full search warrant for the federal investigation can be read here.
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