Two individuals have admitted guilt in a substantial fraud case involving the misuse of federal funds meant for child nutrition during the COVID-19 pandemic. Acting U.S. Attorney Lisa D. Kirkpatrick announced that Abdulkadir Nur Salah and Abdi Nur Salah entered guilty pleas for their involvement in the $250 million scheme.
Court documents reveal that from April 2020 to January 2022, both defendants participated in defrauding a federal child nutrition program intended to provide free meals to children in need. They misappropriated and laundered millions meant as reimbursements for meal costs, exploiting program changes made during the pandemic.
Abdulkadir Nur Salah co-owned Safari Restaurant, which received over $16 million in fraudulent funds. Abdi Nur Salah established Stigma-Free International, a non-profit used to facilitate the scheme across Minnesota, and was also employed as a Senior Policy Aide to the Mayor of Minneapolis.
Both defendants have agreed that various assets acquired through the fraud are subject to forfeiture. For Abdulkadir Salah, this includes funds from bank accounts and real estate property on Park Avenue South in Minneapolis. Abdi Salah's forfeited assets include money from a credit union account and properties in Brooklyn Park and Minneapolis.
The pair pleaded guilty before Chief Judge Patrick J. Schiltz at the U.S. District Court, with sentencing dates yet to be determined.
The investigation involved efforts by the FBI, IRS – Criminal Investigations, and the U.S. Postal Inspection Service. The prosecution team includes Assistant U.S. Attorneys Joseph H. Thompson, Harry M. Jacobs, Matthew S. Ebert, Daniel W. Bobier, and Craig Baune overseeing asset seizure and forfeiture.