A 23-year-old YouTuber may have just uncovered what could be the biggest financial fraud of the century. Now, the legacy media is scrambling to regain control of a narrative that has already gone viral. Nick Shirley alleges that several Minnesota daycares received millions of taxpayer dollars through the state’s Child Care Assistance Program (CCAP) while providing no services.
Shirley reported, “In one day my crew and I uncovered over $110,000,000 in fraud, this is just the tip of the iceberg.” He has videos of purported billing records with multiple entries. However, when visiting the daycare centers, he found buildings with darkened windows and no staff or children on site.
Nick Shirley from his Minnesota fraud documentary – Nick Shirley, YouTube
One location misspelled “Learning” as “Learing” in its signage. Shirley reported that this center alone received $1.9 million in 2025 and $4 million in CCAP funding.
As alarming as a scheme to misallocate hundreds of millions in public funds is, many are equally concerned by the reaction of the mainstream press to Shirley himself.
Old Media on The New Media
Abby Phillip of CNN framed Shirley’s approach as politically motivated. She went on to emphasize that the daycares in question were for the Somali community, which she claims is under “daily attack.”
Mainstream media is more mad at me then they are at the FACT that billions of YOUR dollars are being used for fraudulent business
I am not an enemy of the people, they are
I’m with you, they are against you
Remember that
— Nick shirley (@nickshirleyy) December 31, 2025
“But you know, honestly, you knock on the door of a daycare center and you’re like, ‘Let me in, let me in,'” she said, referencing Shirley’s on-the-ground investigative approach. “What do you want people to do in that situation? Open the door and say come on in?”
To some, her remarks came across as an effort to move the conversation away from Shirley’s findings and focus on his tactics. The implication was that a verified journalist may have had a different experience at the daycares Shirley claims were completely vacant. Other professional journalists have questioned Shirley’s ability to accomplish all that he’s claimed.
Nick Shirley from his Minnesota fraud documentary – Nick Shirley, YouTube
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On Fox News’ The Five, regular panelist Jessica Tarlov said of Shirley, “There’s no way this kid walking around uncovered $100 million worth of fraud on his own. There have been tons of people working behind the scenes quietly, including independent local journalists that have been exposing this.” To many, this sounds like the old media in denial over the fact that a new media journalist uncovered a major scandal.
“I don’t know about the veracity of every single thing that he’s gone and seen — that’s being debated online — but obviously there’s a huge problem here,” Tarlov added. She agrees that Minnesota has an issue worth investigating, even as she expresses doubt about the person who brought it to national attention.
The Ripple Effect
Shirley and others credit online spaces like X for giving them a platform to share important stories. In an appearance on InfoWars with Alex Jones, Shirley thanked Elon Musk and said, “Because what he’s done has helped shape society in many ways. Whether it be the election, whether it be so we can all speak freely here in the United States. You’re seeing the ripple effect.”
🚨 JUST IN: Nick Shirley has created THOUSANDS more citizen journalists, Americans are now reporting they will do their own “investigative work” on fraudulent Somali care centers in their area
“I’ll be doing my OWN now! Let’s see if they cuss me out!” 🔥pic.twitter.com/vedDHeRwLB
— Eric Daugherty (@EricLDaugh) December 30, 2025
But Shirley may have started his own ripple effect as more individuals are going out to do the work that the legacy media seems to be neglecting. Users across multiple social media platforms are saying they will go out and do their own investigative work. The culture is moving faster than ever before, and people care more about getting information quickly than they do about having it delivered by legacy press.
While the press attempts to discredit him, state and federal agencies are taking Shirley’s findings very seriously.
Federal Agencies Respond
On Sunday, the office of Gov. Tim Walz pushed back against Shirley’s claims. “[Gov. Walz] has strengthened oversight — including launching investigations into these specific facilities, one of which was already closed,” a spokesperson said. But according to Shirley, the fraud has continued.
Tuesday evening, the FBI and Department of Homeland Security announced they were stepping in to investigate allegations of fraud, including at Minnesota child care centers. The U.S. Department of Health and Human Services also froze all child care payments to the state.
We have frozen all child care payments to the state of Minnesota.
You have probably read the serious allegations that the state of Minnesota has funneled millions of taxpayer dollars to fraudulent daycares across Minnesota over the past decade.
Today we have taken three actions… pic.twitter.com/VYbyf3WGop
— Deputy Secretary Jim O’Neill (@HHS_Jim) December 30, 2025
While Deputy Secretary of Health and Human Services Jim O’Neill didn’t mention Shirley by name when addressing the actions HHS was taking, he suggested that people were already familiar with allegations of fraud.
Deputy Secretary of Health and Human Services Jim O’Neill – LiveNow from Fox, YouTube
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As the investigation continues to ramp up, White House Press Secretary Karoline Leavitt appeared on Fox News Wednesday morning. She praised the new media, and Shirley specifically, for the work that has been done in exposing corruption and fraud. “And since Nick Shirley’s journalism really brought this issue to light,” she said, “we have surged resources across the board to the state.”
🚨 BREAKING: Karoline Leavitt says people “WILL BE IN HANDCUFFS” after Nick Shirley’s journalism on Minnesota fraud.
“The DOJ as we speak is executing search warrants and subpoenas. People WILL BE IN HANDCUFFS.”pic.twitter.com/MRlquLnCc1
— The Patriot Oasis™ (@ThePatriotOasis) December 31, 2025
Conclusion
While Americans wait to see what the legal and political fallout will be, it’s clear that the new media has the attention of the White House and many concerned citizens. Shirley and others like him are doing investigative work that can no longer be easily dismissed by the legacy media.
What do you think of Nick Shirley’s findings and the legacy media’s response? Let us know in the comments!
