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Minnesota Medicaid operator’s bankruptcy-to-riches rise crashes into fraud probe

News RoomBy News RoomMay 15, 2026No Comments4 Mins Read
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Minnesota Medicaid operator’s bankruptcy-to-riches rise crashes into fraud probe
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A Minnesota Medicaid-funded home care operator who once touted his climb from bankruptcy to multimillion-dollar businesses is under investigation by state officials over allegations that his companies failed to provide services they were paid to deliver to vulnerable clients.

Arnold Kubei, who came to the United States in 2007 as an asylee from Cameroon, went bankrupt in 2014 after a failed investment in a gas station, according to an interview he gave to a local media outlet in 2022. By 2021, however, Kubei was running a pair of home care businesses that he told the outlet had brought in a total of $3.7 million that year.

Now, the Minnesota Department of Human Services has suspended Kubei’s license to provide home and community-based services as it investigates allegations that he was failing to render the services the state was paying him to provide. 

Kubei’s companies were expected to help find community-based housing for the disabled, former convicts, nursing home residents, and other people who have difficulty finding permanent housing.

MAGNITUDE ‘CANNOT BE OVERSTATED’: FEDS SAY MINNESOTA FRAUD MAY BE MORE THAN $9B

The Minnesota Department of Human Services determined Kubei’s businesses presented an “imminent risk of harm to persons served” due to their failure to provide certain services.

Letters from the department sent in late April state that Kubei’s businesses were failing to ensure that their patients were adequately medicated, seriously injured patients lacked a contact to reach for assistance and some patients struggling with addiction relapsed “due to the lack of staff supervision to maintain their sobriety.” Kubei was also allegedly failing generally to provide patients with services “in response to identified needs as specified in their support plans.”

“The license holder and controlling individual are the subjects of a pending administrative investigation and pending administrative action related to fraud against Minnesota’s Medicaid program,” a letter from the Minnesota Department of Human Services to Kubei reads.

Home Sweet Home Minnesota alone has received nearly $3.2 million in taxpayer-funded payments since 2024, according to Alpha News’ review of Minnesota’s transparency database.

“People use fraud, fraud, fraud everywhere, to attack us with it,” Kubei told a local news outlet in April after his license was suspended. “We are not the guys. We are not the guys. We are the guys who want to collaborate with the Department of Human Services.”

“This is damaging of my reputation in this community. This is targeting. This is bullying,” he continued.

YOUTUBER TO TESTIFY BEFORE CONGRESS ON MINNESOTA’S MASSIVE $9B FRAUD NETWORK INVESTIGATION

Minnesota Gov. Tim Walz grimacing during a press conference.

After getting the businesses off the ground, Kubei reportedly appeared for an interview on the YouTube channel “Immigrant Money” detailing how he “went from bankruptcy to multimillions in just five years,” according to Alpha News. 

The video, which included footage of Kubei drinking champagne inside his home, was made private on the account before Fox News Digital could review it. Footage of the interview has since surfaced on other social media platforms, including X. 

MINNESOTA’S FRAUD SCANDAL WAS ‘SHOCKINGLY EASY’ TO PULL OFF, IS LIKELY WORSE THAN REPORTED: EX PROSECUTOR

Minnesota Gov. Tim Walz speaking at a press conference in Minneapolis

Kubei’s interview was preceded by a jingle, singing: “Immigrant money, immigrant money, I came from overseas and now I got the money.” 

“I urge you to come to my summit for me to teach you how these things are supposed to be done,” Kubei said in the interview, per Alpha News. “I figured it out.”

Fraud in Minnesota has become a national flashpoint, with Republicans alleging that state oversight failures combined with norms in some immigrant communities have exacerbated the problem. Assistant U.S. Attorney Joe Thompson claimed in December 2025 that the amount of fraud in the state’s Medicaid programs likely exceeds $9 billion since 2018.

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He has appealed his license suspension and is seeking to restore state-funded payments to his businesses. 

Kubei did not respond to a request for comment when reached by Fox News Digital on Friday.

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