Trump targets Minnesota fraud allegations, says ‘we’re going to get to the bottom of it’

Trump rails against alleged $18 billion social services fraud in Minnesota, calling it a 'giant scam' during Mar-a-Lago remarks on New Year's Eve.

President Donald Trump speaks to guests during a New Year’s Eve event at his Mar-a-Lago home on Dec. 31. (Joe Raedle/Getty Images)

"He was talking about the Somalia population and not very nicely," Trump said.

Trump's comments came as Minnesota has been hit with widespread fraud allegations, with losses estimated at up to $1 billion, and federal prosecutors have indicted and charged dozens of people in connection with the alleged fraudulent activity.

White House press secretary Karoline Leavitt issued a stark warning Wednesday that "people will be in handcuffs" as fallout expands from widespread fraud allegations under Minnesota Gov. Tim Walz.

MINNESOTA FRAUD COMMITTEE CHAIR CLAIMS WALZ 'TURNED A BLIND EYE' TO FRAUD WARNINGS FOR YEARS

Gov. Tim Walz has come under scrutiny since the fraud issue came to light in Minnesota. (Al Drago/Bloomberg via Getty Images)

Leavitt added that the Trump administration has increased federal resources to Minnesota, with multiple agencies conducting investigations relating to the alleged fraud.

On Tuesday, the U.S. Department of Health and Human Services said it would freeze all child care payments to Minnesota, amid mounting scrutiny over accusations of fraud involving child daycare centers across Minnesota.

Michael Sinkewicz is a writer for Fox News Digital. Story tips can be sent to michael.sinkewicz@fox.com

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