Hope Walz Admits Somali Fraud Scandal Has 'Enough Truth' as Father Tim Walz Abandons Minnesota Governor Race

Tim Walz's daughter has admitted there was 'enough truth' to the billion-dollar fraud scandal engulfing Minnesota, just hours after her father dramatically withdrew from the 2026 governor's race amid mounting pressure over his handling of the crisis.

Hope Walz, speaking candidly on the One Hour Detours podcast, revealed the personal toll the controversy took on her family—particularly her younger brother Gus—which ultimately pushed her father to abandon his bid for a historic third term. 'I think there was enough truth to the fraud claim', the 25-year-old told host John O'Sullivan in an interview that provided rare insight into the governor's decision-making process. However, she quickly added that President Donald Trump and his supporters had twisted and amplified the scandal for political gain.

The Billion Dollar Scandal That Changed Everything

The controversy centres on what prosecutors allege could be massive fraud involving Minnesota's social safety net programmes. Federal law enforcement first probed a series of billion-dollar fraud schemes in 2021, leading to federal charges against 92 people, with 62 convicted. The fraud was particularly prevalent among Minnesota's Somali population, where individuals allegedly set up bogus nonprofits to claim state funding for services they never actually provided.

Estimates of the total theft vary wildly. Whilst some put the figure at around £800 million ($1.08 billion), First Assistant US Attorney Joe Thompson claimed late last year that the fraud could be £7 billion ($9.45 billion) or more. The staggering sums have made it one of the largest alleged fraud schemes in American history.

The scandal exploded into national consciousness after conservative YouTuber Nick Shirley released a viral video showing what appeared to be empty taxpayer-funded daycare centres. The video, shared on YouTube and X, amassed nearly 2 million direct views in three days, as well as tens of millions of impressions across platforms. One particularly notorious example featured the 'Quality Learing Center'—misspelled sign and all—which reportedly received £3.2 million ($4.32 million).

Family Under Siege

Hope explained that her father bore the brunt of blame due to his national profile following his failed vice-presidential run. 'I think he was popular during the campaign last fall, and he's still in office, and he's running again—and so it's just kind of an easy thing for them [Republicans] to pick up on', she said.

The governor's daughter revealed the decision to withdraw crystallised over the Christmas holidays as attacks on her family escalated. 'I don't want to speak for him, but I think when things started getting really intense for me like on my social media and then people even saying things like to [her brother] Gus and stuff, I think that's when he was really like, "Okay, like, I need to evaluate what's best for the state and then I need to evaluate what's best for my family"', she recalled.

Her brother Gus, who has special needs and captured hearts during the Democratic National Convention last summer, became a particular target. Hope had previously posted a now-deleted TikTok video raging against critics: 'I'm talking about this because whilst my family and I are always gonna be the bigger people, the president calling my dad what he did has unleashed a f–king s–tstorm regarding offensive language towards me and my family and specifically my brother'.

A Dramatic Fall From Grace

Until his announcement on Monday, Walz had been widely seen as the front-runner heading into November, as Democrats have won statewide elections in Minnesota consistently since 2006. His withdrawal has thrown the race into chaos, with Senator Amy Klobuchar reportedly considering a bid after meeting with Walz over the weekend.

The White House wasted no time attacking the outgoing governor. 'His only statement should be apologising to hardworking Minnesotans for allowing their tax dollars to be misused so badly', White House spokeswoman Abigail Jackson said, adding that dropping out wouldn't shield him from consequences.

Hope insisted her father made the right call, framing it as putting Minnesota first. 'I think it's because he's everything Trump will never be', she said defiantly. For Walz, the decision marks a dramatic fall from grace. Less than 18 months ago, he stood on stage at the Democratic National Convention accepting the vice-presidential nomination. Now, he'll leave office in January 2026, his political future uncertain.