Four Minnesota Men Plead Guilty to $2.2 Million Medicaid Fraud Using AI
Four Minnesota men pleaded guilty to wire fraud for defrauding Minnesota's Housing Stability Services Program of $2.2 million by submitting fraudulent claims for services never provided to approximately 350 people. When questioned, they used ChatGPT to fabricate supporting documentation to conceal the scheme.
What happened
Four Minnesota men—Moktar Hassan Aden, 31, Mustafa Dayib Ali, 29, Khalid Ahmed Dayib, 26, and Abdifitah Mohamud Mohamed, 27—pleaded guilty on July 24, 2026, to wire fraud for defrauding Minnesota's Housing Stability Services Program of approximately $2.2 million between April 2022 and April 2025.
The men operated Brilliant Minds Services LLC, a Medicaid provider enrolled in the program designed to help seniors, people with mental illness, disabilities, or addictions find and maintain housing. They signed up approximately 350 people for the housing program and submitted thousands of claims for services that were never provided or were significantly inflated, without actually assisting the Medicaid recipients.
When asked to provide supporting documentation for their claims, the defendants fabricated records using ChatGPT in an attempt to conceal their theft.
Reported impact
Taxpayer dollars intended to provide shelter and support for the homeless and needy were diverted to the defendants instead of benefiting the vulnerable populations served by the Housing Stability Services Program.
Index analysis
The defendants intentionally used AI-generated fake records to mask a systematic billing fraud against a government healthcare program, exploiting both the program's design and vulnerable populations who were supposed to benefit from it.
Governance controls
The case resulted from collaboration between the U.S. Attorney's Office for the District of Minnesota and the Health Care Fraud Strike Force, which is part of ongoing efforts to combat fraud in government programs.
Classification
Sources and evidence
This record was researched and written by the Index, based on the following original reporting.