Minnesota Woman Charged in $14M Autism Fraud Scheme
BREAKING: A 28-year-old Minnesota woman has been charged with federal wire fraud in a shocking scheme that defrauded Medicaid of an estimated $14 million through fraudulent claims related to children’s autism therapy. Asha Farhan Hassan allegedly orchestrated a complex operation that involved kickbacks and false billing, with claims submitted from November 2019 to December 2024.
This urgent situation has significant implications for both the state’s health care system and the vulnerable families it aims to serve. Federal prosecutors assert that Hassan and her associates not only recruited parents to her Smart Therapy Center but also offered them kickbacks ranging from $300 to $1,500 per child to encourage participation, even if their children did not have an autism diagnosis.
Acting U.S. Attorney Joseph H. Thompson emphasized the gravity of the case, stating this is “the first in the ongoing investigation” into fraud schemes exploiting Minnesota’s Early Intensive Developmental and Behavioral Intervention (EIDBI) program, which provides critical services for children under 21 with autism. “These massive fraud schemes form a web that has stolen billions of dollars in taxpayer money,” Thompson noted, underscoring the extensive reach of such fraudulent activities.
Hassan’s alleged misconduct extends beyond autism therapy. She is also implicated in a broader fraud case involving the Feeding Our Future program, which misappropriated $250 million in federal child nutrition funds. Authorities claim she falsely reported providing up to 1,200 meals per day to impoverished children, amounting to $465,000 in illicit gains.
The details surrounding Hassan’s operation raise serious concerns. According to the charges, she registered her therapy center with the Minnesota Secretary of State, while omitting other stakeholders due to prior exclusions from state programs. Unqualified individuals, including relatives, were employed as “behavioral technicians” to deliver services, often lacking the necessary credentials required for legitimate autism therapy.
Hassan’s strategy involved targeting the Somali community for recruitment, and some parents reportedly threatened to leave for centers offering higher kickbacks if their demands were not met. This exploitation of vulnerable families has prompted outrage and a call for increased oversight.
The Minnesota Department of Human Services (DHS) has taken action in response to the allegations, conducting onsite compliance visits and launching an investigation into Smart Therapy in August 2024. Following law enforcement’s execution of search warrants in December 2024, DHS halted payments to the center. Temporary Human Services Commissioner Shireen Gandhi stated that the coordinated fraud schemes necessitate a robust response from DHS and law enforcement partners.
As this story develops, it sheds light on the urgent need for vigilance against fraud in public health programs. The charges against Hassan serve as a critical warning to others attempting to exploit systems designed to support those in need.
Watch for further updates as authorities continue their investigation into this case and the potential for additional charges against those involved. This developing story highlights the intersection of healthcare fraud and community trust, emphasizing the need for accountability and reform in vulnerable service sectors.
