Minnesota State Wire

Asad Mohamed Abshir has pleaded guilty to one count of money laundering in connection with the Feeding Our Future fraud scheme, as announced by Acting U.S. Attorney Joseph H. Thompson. This marks the 48th conviction in this extensive fraud case.

“This guilty plea is another step in exposing the staggering levels of fraud that have been hiding in plain sight across Minnesota,” said Acting U.S. Attorney Joseph H. Thompson. “This defendant laundered money meant to feed children and funneled it into a web of shell companies and luxury spending."

In 2020, Abshir, along with his brother Abdinasir Abshir, operated a non-profit called Stigma Free International under the sponsorship of Feeding Our Future. They claimed to run a food distribution site in Mankato, Minnesota, but did not provide the meals they reported. Over 2020 and 2021, they falsely claimed to have provided 1.6 million meals to children.

Abdinasir Abshir received approximately $750,000 from this scheme. Asad Abshir used $77,353 of the fraudulent proceeds to purchase a truck, which has been seized for forfeiture along with $424,762.51 from his shell company’s bank account.

“Asad Abshir’s guilty plea underscores a troubling intersection of deception and exploitation within federal assistance programs designed to nourish vulnerable populations,” said FBI Minneapolis Special Agent in Charge Alvin M. Winston Sr.

The investigation was conducted by the FBI, IRS – Criminal Investigations, and the U.S. Postal Inspection Service.

Abshir entered his guilty plea before Judge Nancy E. Brasel in U.S. District Court. His sentencing will be scheduled later.

Acting U.S. Attorney Joseph H. Thompson and Assistant U.S. Attorneys Matthew S. Ebert, Harry M. Jacobs, and Daniel W. Bobier are prosecuting the case with Assistant U.S. Attorney Craig Baune handling asset seizure and forfeiture.