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Home»POLITICS»Report: Tim Walz Said To Be Dropping Reelection Bid Amid Widening Fraud Scandal

Report: Tim Walz Said To Be Dropping Reelection Bid Amid Widening Fraud Scandal

Jonathan DavisJanuary 5, 2026Updated:January 5, 2026 POLITICS
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December was a brutal month for Minnesota Gov. Tim Walz—and every bit of it was self-inflicted. Early in the month, a group of Minnesota state employees came forward with explosive claims that Walz didn’t just know about the massive fraud centered in the Somali community—most infamously through the Feeding Our Future program—but was also aware of similar abuse across the state’s housing, Medicare/Medicaid, and daycare systems.

Worse still, those employees alleged that Walz actively punished whistleblowers who tried to stop the bleeding. They outlined what he allegedly did to them in a lengthy X post, and here are some of their allegations:

“Instead of partnership, we got the full weight of retaliation by Tim Walz, certain DFL members, and an indifferent mainstream media,” Minnesota DHS writes. “It’s scary, isolating, and left us wondering who we can turn to.”

“In addition to retaliating against whistleblower (sic), Tim Walz disempowered the Office of the Legislative Auditor, allowing agencies to disregard their audit findings and guidance. Media and politicians supporting Tim Walz or the DFL-agenda attacked whistleblowers who were trying to raise red flags on fraudulent activities,” the post continues.

“This is a cascade of systemic failures leading up to Tim Walz. Agency leaders appointed by Tim Walz willfully disregarded rules and laws to keep fraud reports quiet — even to the extent of threatening the families of whistleblowers,” the post reads.

A few days later, Tim Walz claimed that motorists had been driving past his home and calling him “retard”—an assertion that did nothing to answer the growing questions about what he knew and when he knew it.

Meanwhile, the pressure is mounting. Minnesota’s Republican congressional delegation, along with roughly 90 Minnesota mayors, are now demanding real answers. And those answers may soon have to be given under oath. Walz and Minnesota Attorney General Keith Ellison are both scheduled to testify before Congress in February, where sympathy stories won’t suffice.


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Faced with a constant stream of bad news, it seems Walz might be bowing out of the gubernatorial race today:

Minnesota Governor Tim Walz is expected to announce Monday he is dropping out of 2026 Race for Governor, amid an ongoing fraud scandal linked to childcare centers in Minnesota. Walz has served two consecutive terms as Governor of Minnesota, in addition to a recent failed bid for… pic.twitter.com/QkjQRguZBJ

— OSINTdefender (@sentdefender) January 5, 2026

Here’s more:

Walz has come under national scrutiny — including from President Trump — over his handling of alleged Medicaid and day care fraud in Minnesota, with losses that could reach into the multi-billions.

The scrutiny intensified after independent journalist Nick Shirley released viral footage last month showing taxpayer-funded day care centers in Minnesota that appeared largely empty.

Federal authorities have since launched an operation in the Land of 10,000 Lakes aimed at “identifying, arresting, and removing criminals who are defrauding the American people,” according to the Department of Homeland Security.

Walz also met with Senator Amy Klobuchar, according to Minnesota political analyst Blois Olson:

? BREAKING: Sources: @govtimwalz will make announcement about his political future Mon. He's likely to drop out of the 2026 #mngov race.

He met w/ @SenAmyKlobuchar on Sun. Full analysis in tmrw https://t.co/4zJJytH4Aw + live on @wccoradio at 6:20AM w/ @vsawkar

— Blois Olson (@bloisolson) January 5, 2026

Could Democrats consider her as a potential replacement for Walz? Some Senators might perceive taking on the governorship as a step down, after all. We’ll keep you updated on any developments.

Editor’s update: Okay, Walz has made it official, and of course, he’s blaming Republicans for his fraud problem. Not surprised. Fox News has the story.

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