Day Care Center Under Scrutiny After Viral Fraud Claims

A day care center in Minneapolis, known as the Quality Learning Center, has come under intense scrutiny following a viral video that alleges fraudulent activities. The video, released by conservative content creator Nick Shirley, features a sign at the center with a misspelling of the word “learning,” which Shirley highlighted as indicative of broader issues within the facility. The clip, posted on December 26, 2023, has prompted increased immigration enforcement and a freeze on federal funding, along with harsher rhetoric against the Somali community from former President Donald Trump.

Shirley’s claims center on various day care facilities in Minneapolis, particularly those serving the Somali community. He argues that the state government, led by Governor Tim Walz, has allowed fraud to proliferate in Minnesota. “These are not real businesses,” Shirley stated in an interview with CNN’s Whitney Wild. In contrast, a manager at the Quality Learning Center, Ibrahim Ali, refuted these allegations, asserting that “there’s no fraud going on whatsoever.”

Investigations into fraud within Minnesota’s day care sector have been ongoing for several years. According to Melinda Williams, an Assistant U.S. Attorney, “98 individuals have been charged in our ongoing fraud against the government cases.” Notably, no formal fraud charges have been filed against the Quality Learning Center itself.

The center is a substantial recipient of public funding, having received nearly $10 million from the Child Care Assistance Program (CCAP) since 2019. For the fiscal year 2025, it was projected to receive an additional $1.9 million. Information provided to CNN by the state House Republican Caucus indicates that these figures were sourced from the Minnesota Department of Human Services, which did not respond to requests for confirmation.

Concerns regarding the Quality Learning Center date back several months. State House Speaker Lisa Demuth noted that the House fraud committee had raised issues about such facilities earlier in the year, including the Quality Learning Center, during a hearing in February. The CCAP provides financial assistance to eligible working parents, who apply directly to the state rather than to the centers. A budget forecast indicates that the program is expected to cost the state $56 million in 2025, with an additional $101 million anticipated from federal sources.

The Quality Learning Center underwent its most recent inspection on June 23, 2023, which, according to the state, is conducted without prior notice. Tikki Brown, Commissioner of the Minnesota Department of Children, Youth, and Families, stated that ongoing investigations have not revealed fraud among the centers highlighted in Shirley’s video. New inspections were said to be scheduled for the following week, but the department did not confirm whether these visits had taken place or what the outcomes were.

Ali defended the center’s operations, claiming the video was filmed before the facility opened for the day. He asserted that the center serves between 50 to 80 children daily and that its posted hours are from 2 PM to 10 PM. State records indicate that the center is licensed to care for up to 99 children.

Despite the lack of fraud charges, the Quality Learning Center has faced scrutiny for numerous licensing violations. Records show it has accumulated 121 violations between May 2022 and June 2025, including 10 violations in the most recent inspection. These include issues such as having unqualified staff and inadequate documentation for medications. Notably, the center’s license was placed on conditional status in June 2022 due to the “serious and chronic nature” of these violations.

As media attention surrounding the center heightened, the sidewalk outside the facility became busy with activity, including supporters of Shirley observing the entrance. Onlookers noted that children were arriving at the center, which contradicted earlier assertions from state officials that the facility had closed. This inconsistency has fueled speculation and conspiracy theories online.

While the Quality Learning Center’s license remains valid through the end of 2026, the conflicting statements regarding its operational status have raised questions. Ali attributed the misspelling on the sign to a graphic designer’s error and confirmed that efforts were underway to rectify it.

As the situation unfolds, the Quality Learning Center continues to be a focal point in discussions about child care regulation and fraud in Minnesota.