An autism center run by a longtime friend of Minnesota Democratic Senate candidate Peggy Flanagan is currently under investigation by the state for alleged fraud. The Minnesota Department of Human Services (DHS) confirmed to Fox News Digital that it has open investigations into Milestone Development Centers, operated by Nimco Ahmed, and Spectrum Therapy Center.
Milestone Development Centers and Spectrum Therapy Center were previously terminated from the Medicaid program several months ago as part of the Minnesota Revalidate 2026 process, which verifies that agencies have required credentials and comply with state and federal regulations. Both providers have appealed their terminations.
Nimco Ahmed, identified as the CEO of Milestone, was featured alongside Flanagan in a viral video posted on Somali TV. In the video, Flanagan, wearing a hijab, defended the Somali community, stating, "The Somali community is part of the fabric of the state of Minnesota." Ahmed, a Somali immigrant and a Democratic-Farmer-Labor Party activist, has reportedly been friends with Flanagan for approximately 25 years.
The news of the investigation has drawn criticism toward Flanagan, who has served as Minnesota's lieutenant governor since 2019. Critics have questioned why more action was not taken to address the fraud scandal during her tenure.
According to a report by Alpha News, a former therapist at Milestone described a lack of qualified oversight and unqualified practitioners. The therapist also claimed to have observed potential billing fraud red flags, although they were not involved in the billing process. The therapist stated that session notes, which are crucial for billing Medicaid, were not consistently documented or signed by practitioners.
Ahmed reportedly told Alpha News that questions about the care at her center were biased and that the outlet pursued the story because of her Somali heritage. She denied any lack of oversight, affirmed that clients had autism diagnoses, and maintained that the center complies with state requirements and undergoes regular audits.
Fox News Digital has reached out to Flanagan’s campaign and Milestone for comment.