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One of 8 charged in Minnesota Housing Stabilization Services fraud takes plea deal
By Ashley Halbach at KSTP 5 Eyewitness News (ABC)
· July 8, 2026
· 2 min read
In September, eight Housing Stabilization Services (HSS) providers were federally charged, stemming from accusations of Medicaid fraud.
RELATED: Federal prosecutors announce fraud charges for 8 Housing Stabilization Services providers
Now, one of the men indicted, connected to the Brilliant...
Key takeaway On Wednesday, 27-year-old Abdifitah Mohamud Mohamed’s plea agreement was filed, showing that he pled guilty to one count of wire fraud.
Why this matters in The Minneapolis
The guilty plea by Abdifitah Mohamud Mohamed, one of the eight Housing Stabilization Services providers charged with Medicaid fraud, brings into focus the significant financial stakes for Minnesota taxpayers. With providers billing the program upwards of $100 million per year, a stark contrast to the estimated annual operating cost of $2.6 million, the scope of potential fraud is substantial. The fact that the Minnesota Department of Human Services has announced plans to end the program entirely suggests a deep-seated concern about its vulnerability to abuse. As the case against the remaining seven defendants unfolds, Minneapolis residents should watch for how the state plans to address the ongoing needs of vulnerable adults who relied on the Housing Stabilization Services program, and what measures will be taken to prevent similar fraud in other social services programs.
About this story
Original reporting by KSTP 5 Eyewitness News (ABC) . The Minneapolis surfaces reporting from trusted publishers and adds local editorial context so readers can quickly understand what a story means for their community. We attribute every source, link to the original report, and follow a documented editorial standards policy. To understand how stories are selected and reviewed, read our about page .
For the complete original report, visit KSTP 5 Eyewitness News (ABC) . Have a tip or correction? Contact our newsroom .
Category: local ·
Published: July 8, 2026 ·
Source: KSTP 5 Eyewitness News (ABC) ·
Reading time: 2 min
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Frequently asked about this story
What is this story about? In September, eight Housing Stabilization Services (HSS) providers were federally charged, stemming from accusations of Medicaid fraud.
RELATED: Federal prosecutors announce fraud charges for 8 Housing Stabilization Services providers
Now, one of the men indicted, connected to the Brilliant...
When was this published? This article was first published on July 8, 2026 by KSTP 5 Eyewitness News (ABC) and curated for The Minneapolis readers.
Who reported this story? This story was reported by Ashley Halbach at KSTP 5 Eyewitness News (ABC). To learn more about how The Minneapolis selects and reviews stories, see our editorial standards .
Where can I find related coverage? See more local coverage from The Minneapolis, or browse our daily briefing and topic hubs .
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