McMahon slams Walz over 'ghost student' fraud in Minnesota

By 
 December 17, 2025

Education Secretary Linda McMahon has dropped a bombshell on Minnesota Gov. Tim Walz, accusing him of turning a blind eye to a staggering financial aid scam that’s fleeced taxpayers for millions.

McMahon’s sharp rebuke, delivered in a recent letter, centers on a scheme involving “ghost students” who fraudulently secured $12.5 million in federal grants and loans without ever stepping foot in a classroom, while Walz’s administration seemingly looked the other way.

The issue first came under scrutiny when the Education Department uncovered a disturbing trend of fake students exploiting the federal student aid application process in Minnesota.

Exposing the Ghost Student Scandal

According to department findings, a staggering 1,834 fraudulent applicants in the state pocketed taxpayer money, often splitting a small cut with complicit colleges while keeping the lion’s share for themselves.

The methods behind this deceit are as sophisticated as they are sinister, with fraudsters reportedly using AI bots, international crime networks, and even identities of the deceased to game the system.

It’s a scheme that raises serious questions about oversight, especially when millions in public funds are vanishing into thin air without so much as a textbook being opened.

McMahon’s Scathing Critique of Walz

In her letter, McMahon didn’t hold back, writing, “Shame on you, Governor Walz, for allowing this to happen—and for benefiting from it.”

She’s clearly fed up, and who can blame her when hard-working Americans are footing the bill for phantom enrollees while real students struggle to afford college?

McMahon also tied this fiasco to broader concerns about financial mismanagement in Minnesota, pointing to reports of welfare fraud scandals that have plagued Walz’s tenure.

Linking Fraud to Larger Failures

Describing the situation as a “massive scandal of welfare fraud in Minnesota,” McMahon painted a picture of systemic negligence under Walz’s watch that’s hard to ignore.

Her words sting with truth—when taxpayers see their money siphoned off by scams, whether in education or welfare, it erodes trust in government at every level.

Adding fuel to the fire, McMahon called for Walz to step down, urging him to “make way for more capable leadership” in the face of these mounting controversies.

A Call for Accountability Now

While the Education Department has made strides, announcing it’s blocked over $1 billion in student aid fraud nationwide since January, the specifics of which states are hardest hit remain unclear.

Still, Minnesota’s $12.5 million loss is a glaring black eye for Walz, and it’s fair to wonder why safeguards weren’t in place to catch this sooner.

McMahon’s letter is a wake-up call, not just for Minnesota but for every state, to tighten the reins on federal aid programs before more money slips through the cracks—and a reminder that leadership matters when it comes to protecting the public trust.

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