Nigerian Father, Son Among Eight Indicted in Minnesota Multi-Million Housing Fraud

By Micheal Chukwuebuka

A Nigerian father and his son, alongside six other defendants, have been indicted in Minnesota for allegedly siphoning millions of dollars from a state housing support scheme designed to assist vulnerable residents.

Acting U.S. Attorney Joseph H. Thompson described the fraud as “schemes stacked upon schemes, draining resources meant for those in need,” adding that the extent of the scam “takes my breath away” after years as a fraud prosecutor.

The Housing Stabilisation Services (HSS) Programme, launched in 2022, was the first of its kind in the United States to allow Medicaid funding to help people with disabilities, mental illnesses and substance use disorders secure and maintain housing. But federal prosecutors allege that the defendants exploited weak oversight to submit fake or inflated claims, pocketing taxpayer money while providing little or no service.

Initially projected to cost $2.6 million annually, the programme instead ballooned to $21 million in its first year and over $100 million by 2024. In the first half of 2025 alone, it paid out $61 million. Investigators say much of this was siphoned off through fraudulent claims.

The Defendants

Brilliant Minds Services LLC: Four men, including company owner Moktar Hassan Aden, allegedly billed $2.3 million between 2022 and 2025, making the firm one of the state’s highest claimants. Each pocketed up to $400,000 and used company funds to cover lavish personal spending.

Faladcare Inc.: Christopher Adesoji Falade, 62, and his son Emmanuel, 32, are accused of submitting fraudulent claims totalling more than $2.2 million for about 100 supposed beneficiaries.

Leo Human Services LLC: Run by 26-year-old Asad Ahmed Adow, the company allegedly claimed $2.7 million for 250 beneficiaries, with staff encouraged to inflate hours. Prosecutors say Adow used proceeds to invest in Kenyan real estate, lease luxury cars and fund his lifestyle.

Liberty Plus LLC: Anwar Ahmed Adow, 25, younger brother of Asad, is accused of fraudulently obtaining $1.2 million and spending the proceeds on investments and a Mercedes-Benz.

Investigators Speak Out

Alvin M. Winston Sr., Special Agent in Charge of FBI Minneapolis, said:
“Fraud in the Housing Stabilisation Services programme not only drains money from hardworking taxpayers, it also deprives vulnerable populations of resources to maintain safe housing.”

Adam Jobes of the IRS Criminal Investigation unit described the charges as “another big blow to organised programme fraud in Minnesota,” stressing that the funds had been intended to provide “stability, assistance and dignity to seniors and individuals with disabilities.”

Officials from the Department of Health and Human Services and Minnesota’s Bureau of Criminal Apprehension also condemned the fraud, calling it a “calculated effort” that robbed vulnerable residents of life-changing services.

Ongoing Case

The charges are the result of a joint investigation by the FBI, the Internal Revenue Service, the Department of Health and Human Services Inspector General’s Office and state law enforcement.

Prosecutors emphasised that the indictments are allegations, and all eight defendants are presumed innocent until proven guilty in court.