A Minneapolis woman has admitted guilt in a large-scale fraud scheme that exploited a child nutrition program during the COVID-19 pandemic. Acting U.S. Attorney Lisa D. Kirkpatrick announced the plea.
Najmo M. Ahmed, 35, assisted her husband Said Ereg in managing Evergreen Grocery and Deli in Minneapolis. In April 2020, the grocery store was enrolled in the Federal Child Nutrition Program as a food distribution site through Feeding Our Future. Ahmed signed falsified documents claiming they served thousands of meals to children, which court documents show was not true.
Evergreen Grocery and Deli received over $4.2 million from Feeding Our Future based on these false claims. The funds were then transferred into personal accounts belonging to Ereg and Ahmed, with Ahmed aware of their illegal origin. She used some of this money for international transactions and luxury purchases, laundering over $1.3 million through her bank accounts.
Ahmed entered her guilty plea before Judge Nancy E. Brasel in U.S. District Court, with sentencing to be scheduled later.
The investigation involved the FBI, IRS – Criminal Investigations, and the U.S. Postal Inspection Service. Prosecutors include Assistant U.S. Attorneys Harry M. Jacobs, Joseph H. Thompson, Matthew S. Ebert, and Daniel W. Bobier, while Assistant U.S. Attorney Craig Baune is overseeing asset forfeiture.