New Media Journalist Nick Shirley Shakes the Media Establishment With Explosive Minnesota Fraud Allegations

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A young YouTuber, Nick Shirley, may have exposed a massive financial fraud potentially worth millions. He claims that several daycares in Minnesota received state funds intended for childcare, but weren’t actually providing any services. Now, traditional news outlets are rushing to cover the story, which has already spread rapidly online.

In his 42-minute documentary posted on X and YouTube, Shirley claimed that “literally billions of dollars have been funneled through Somali ran fraudulent businesses. So much fraud it could actually almost replace the entire GDP of Somalia.”

Shirley discovered over $110 million in fraudulent activity in a single day, and believes this is only a small part of a much larger problem. He has video evidence of what appear to be falsified billing records. However, when he visited the daycare centers in question, he found empty buildings with no staff or children present.

A sign at one location mistakenly spelled “Learning” as “Learing.” Shirley noted that this center received $1.9 million in funding in 2025 and an additional $4 million from the CCAP program.

While the plan to misuse hundreds of millions of dollars in public money is deeply troubling, many people are just as worried about how the news media is responding to Shirley personally.

Old Media on The New Media

CNN’s Abby Phillip suggested Shirley was acting for political reasons. She also highlighted that the daycares involved serve the Somali community, which she says faces constant challenges and negativity.

The media seems angrier with me than they are about the fact that billions of taxpayer dollars are being wasted on scams.

I am not an enemy of the people, they are

I’m with you, they are against you

Remember that

— Nick shirley (@nickshirleyy) December 31, 2025

She explained that Shirley took a very direct, hands-on approach to investigating, comparing it to simply demanding access to a daycare. She questioned whether anyone would reasonably be expected to open the door to such a request.

Some people felt her comments shifted the focus from Shirley’s discoveries to his methods. She seemed to suggest a real journalist might have found the daycares Shirley described as empty to be occupied. Others in the journalism field have also expressed doubts about whether Shirley could have actually done everything he says he did.

During a discussion on Fox News’ The Five, panelist Jessica Tarlov suggested that Shirley didn’t uncover the $100 million fraud alone. She believes many people were working behind the scenes, including local journalists, to expose the issue. Some see this as traditional media downplaying the fact that a newer media source broke the story.

Tarlov acknowledged the claims are being questioned online, but she believes there’s a serious issue in Minnesota that deserves attention. While she’s skeptical of the person who first highlighted the problem, she agrees it’s worth investigating.

The Ripple Effect

Shirley and others believe platforms like X have given them a way to share significant experiences. During an interview on InfoWars with Alex Jones, Shirley expressed gratitude to Elon Musk, stating that his actions have had a broad impact on society – from elections to the ability to speak openly in the United States – and that these effects are continuing to be felt.

Breaking news: Nick Shirley’s work has inspired many Americans to become citizen journalists, and they are now independently investigating claims of fraud at Somali-run care centers in their communities.

“I’ll be doing my OWN now! Let’s see if they cuss me out!” 🔥

— Eric Daugherty (@EricLDaugh) December 30, 2025

Shirley’s work might be inspiring others to investigate stories that traditional news outlets are overlooking. People on social media are saying they’ll conduct their own research, prioritizing speed and direct access to information over waiting for established news organizations. It seems the demand for quick information is growing faster than traditional media can keep up.

Despite negative media coverage, both state and federal agencies are carefully considering Shirley’s research.

Federal Agencies Respond

Governor Walz’s office disputed Shirley’s accusations on Sunday, stating the governor has increased monitoring and even launched investigations into the facilities in question, with one already shut down. However, Shirley maintains the fraudulent activity is still happening.

On Tuesday evening, the FBI and Department of Homeland Security stated they would investigate reports of fraud, specifically including incidents at child care centers in Minnesota. The federal government, through the Department of Health and Human Services, has also temporarily stopped all child care funding to the state.

We have frozen all child care payments to the state of Minnesota.

You’ve likely seen reports about serious claims that Minnesota has spent millions of taxpayer dollars on fake daycare centers over the last ten years.

Today we have taken three actions…

— Deputy Secretary Jim O’Neill (@HHS_Jim) December 30, 2025

Jim O’Neill, a top official at the Department of Health and Human Services, alluded to existing knowledge of potential fraud while discussing the department’s response, though he didn’t specifically name Shirley.

White House Press Secretary Karoline Leavitt spoke on Fox News Wednesday, praising journalist Nick Shirley and other new media outlets for uncovering corruption and fraud. She stated that because of Shirley’s reporting, the White House has increased its support to the state.

Karoline Leavitt is predicting arrests following investigative reporting by Nick Shirley regarding alleged fraud in Minnesota.

“The DOJ as we speak is executing search warrants and subpoenas. People WILL BE IN HANDCUFFS.”

— The Patriot Oasis™ (@ThePatriotOasis) December 31, 2025

Conclusion

As people wait to see how things play out legally and politically, it’s obvious that new media sources are getting noticed by both the White House and many citizens. People like Shirley are doing important investigative reporting that traditional media can’t ignore.

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2026-01-01 18:02