A woman from Savage, Minnesota has admitted guilt in connection with a scheme to defraud a federally funded child nutrition program during the COVID-19 pandemic. This was announced by Acting U.S. Attorney Lisa D. Kirkpatrick.
Court documents reveal that Ayan Farah Abukar, 43, along with her co-defendants, engaged in a significant fraud operation targeting the Federal Child Nutrition Program. The defendants allegedly obtained, misappropriated, and laundered millions of dollars meant for reimbursing meal costs for children. These funds were intended to ensure that underserved children received adequate nutrition during the pandemic. Instead of fulfilling this purpose, the defendants used these funds for personal gain.
Abukar founded and served as executive director of Action for East African People, a non-profit organization she registered with the Federal Child Nutrition Program through sponsors Feeding Our Future and Sponsor A. From October 2020 through 2022, Abukar falsely reported serving up to 5,000 children daily at various sites in Bloomington, Minneapolis, Savage, and St. Paul. Through these fraudulent claims, she acquired approximately $5.7 million in program funds. Furthermore, Abukar paid over $330,000 in kickbacks to an employee of Feeding Our Future and spent substantial amounts on real estate purchases and an aircraft acquisition in Nairobi, Kenya.
In U.S District Court before Chief Judge Schiltz, Abukar pleaded guilty to one count of conspiracy to commit wire fraud. Her sentencing will be scheduled later.
The investigation was conducted by the FBI, IRS – Criminal Investigations, and the U.S. Postal Inspection Service.
Prosecutors handling the case include Assistant U.S. Attorneys Joseph H. Thompson, Harry M. Jacobs, Matthew S. Ebert, and Daniel W. Bobier from the District of Minnesota. Assistant U.S Attorney Craig Baune is responsible for asset seizure and forfeiture.