Minnesota AG charges home health agency owner with $3 million Medicaid fraud

Austin Knudsen, Attorney General of Montana
Austin Knudsen, Attorney General of Montana
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Minnesota Attorney General Keith Ellison has announced felony charges against Mohamed Abdirashid Omarxeyd, the owner of Guardian Home Health Services in Minneapolis. Omarxeyd faces eight counts of theft by false representation after allegedly defrauding the Minnesota Medical Assistance (Medicaid) program of more than $3 million.

According to state officials, between January 2020 and January 2024, Guardian Home Health Services submitted fraudulent claims for a variety of home care services. These included personal care assistant services, companion care, homemaking, respite care, individualized home supports, and comprehensive community support services. Some of these service categories have been identified as high-risk provider types by the Minnesota Department of Human Services.

The criminal complaint states that former employees admitted they did not provide the claimed services but still worked with Omarxeyd to submit false claims. Investigators found evidence that both recipients and responsible parties were paid while Guardian billed Medicaid for unprovided services in their names. Financial records showed that over $2 million from Guardian’s accounts went to Omarxeyd, his wife, and unrelated companies he owned during the period when the fraud took place.

Attorney General Ellison commented on the case: “Defrauding programs that provide healthcare to low-income Minnesotans is a truly despicable act. That’s why I charged one such fraudster who stole over $3 million from the people of Minnesota. This action is the latest in our ongoing work to root out fraudsters and hold accountable those who steal from Medicaid. Since I first took office, my team and I have prosecuted over 300 cases of Medicaid fraud and won over $80 million in restitution and recoveries, and we will continue to do all we can to protect our tax dollars and the services Minnesotans rely on.”

The investigation involved multiple agencies including the Minnesota Bureau of Criminal Apprehension, Minnesota DHS Forensic Lab, Medicaid Fraud Control Unit (MFCU), Maple Grove Police Department, Bloomington Police Department, Brooklyn Park Police Department, as well as an administrative referral from the Minnesota DHS Medicaid Provider Audits and Investigations Division.

The MFCU investigates cases involving theft from Medicaid as well as exploitation or abuse of vulnerable individuals. The unit receives most of its funding from a federal grant provided by the U.S. Department of Health and Human Services; for fiscal year 2026 this amounts to approximately $5 million in federal funds with about $1.7 million coming from state resources.



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