In the unfolding case of a multi-million dollar fraud, Minneapolis man Abdihakim Ali Ahmed has entered a guilty plea for his involvement in a scheme that bilked federal child nutrition programs out of $7.3 million. Court documents reveal that from September 2020 through January 2022, the 39-year-old falsely claimed he was operating a child nutrition site in St. Paul, Minnesota, under the guise of ASA Limited LLC, a company he registered on September 4, 2020. In a rapid succession, his operation, under the sponsorship of Feeding Our Future, reported serving thousands of meals daily to nonexistent children, according to a press release on the Department of Justice website.
As detailed in court documents, Ahmed, alongside his co-conspirators, developed an elaborate web of deceit, including the submission of fake attendance rosters and the creation of shell companies like 1130 Holdings Inc. and Five A’s Projects LLC to channel the fraudulently obtained funds. The operation allowed Ahmed to acquire properties, such as the former Kelly’s 19th Hole bar and restaurant, and a 2022 Mini Cooper vehicle, both of which are now subject to forfeiture to the United States. Alongside these acquisitions, over $49,000 in bribes were paid to Abdikerm Eidleh, an employee of Feeding Our Future, facilitating the ongoing fraud.
Acting U.S. Attorney Lisa D. Kirkpatrick praised the steadfast work of the prosecution team in a statement, saying, “I am proud of the unrelenting efforts of our prosecution team to hold the defendants—who engaged in a massive pay-to-play fraud scheme that exploited Minnesota and the Federal Child Nutrition Program—accountable.” A sentencing hearing for Ahmed will be scheduled, as he faces the consequences of his admitted wire fraud and money laundering.
The FBI, IRS – Criminal Investigation, and the U.S. Postal Inspection Service led the investigation into this blatant misuse of federal funds, with Assistant U.S. Attorneys Joseph H. Thompson, Matthew S. Ebert, Harry M. Jacobs, and Daniel W. Bobier prosecuting. Regarding the management of seized assets and forfeiture proceedings, Assistant U.S. Attorney Craig Baune takes the helm.
