Agents Raid Two Minnesota Autism Centers in Medicaid Fraud Probe

Search warrants targeted providers in St. Louis Park and Edina as state and federal authorities investigate suspected Medicaid fraud.

ST. LOUIS PARK, MN — State and federal investigators searched two Twin Cities autism-service providers Thursday as part of active Medicaid fraud investigations, Minnesota Attorney General Keith Ellison’s office said.

Agents executed search warrants Oct. 29 at Iska Inc. in St. Louis Park and Bright Horizon Therapy Center in Edina. Both businesses provide Early Intensive Developmental and Behavioral Intervention services, known as EIDBI, along with other services funded through Medicaid. Authorities have not announced criminal charges against either provider, and the searches do not establish wrongdoing.

Investigators from the Minnesota Medicaid Fraud Control Unit worked with the FBI and the U.S. Department of Health and Human Services Office of Inspector General, according to the attorney general’s office. Other agencies participating in investigative activity Thursday included IRS criminal investigators, U.S. postal inspectors and the Minnesota Bureau of Criminal Apprehension, according to local reporting. The FBI described the operations as court-authorized investigative activity and said the investigation remains active.

Agents began working at the St. Louis Park location early Thursday, before the center normally opened, according to employees interviewed by FOX 9. Investigators also arrived at Bright Horizon in Edina before 8 a.m. Witnesses reported seeing agents remove records, boxes and files. Attempts by local news organizations to reach the businesses for comment Thursday were unsuccessful.

FOX 9 reported that both centers were closed following the searches. Employees told the station that Iska normally operates seven days a week and serves about 10 to 15 children each day. Officials had not said Thursday how long the centers might remain closed or what arrangements, if any, were being made for families receiving services there.

State records reviewed by FOX 9 showed that Iska previously failed a Minnesota Department of Human Services site visit and received a correction order in 2024. The provider was later disenrolled during a state revalidation effort in May, with records citing a failed site visit. Those administrative actions are separate from any determination of criminal liability.

The searches come amid heightened scrutiny of Minnesota’s EIDBI program. The Medicaid-funded benefit provides medically necessary services to people under age 21 with autism spectrum disorder or related conditions. Federal officials said earlier this year that claims under the program increased from more than $600,000 in 2018 to more than $400 million in 2025.

Federal prosecutors announced charges in May against defendants accused in separate schemes involving Minnesota Medicaid programs. One case involved an alleged $46.6 million scheme targeting the EIDBI program. Prosecutors alleged in that case that Medicaid was billed for services that were not provided and that improper payments were made to attract participants. Those allegations involve separate defendants and do not establish that Iska or Bright Horizon engaged in similar conduct.

Thursday’s searches also follow an earlier round of enforcement activity involving autism-service providers. In April, Minnesota’s Medicaid Fraud Control Unit joined federal investigators in executing warrants at five locations operated by four businesses participating in the EIDBI program. Authorities said those searches were part of continuing efforts to investigate suspected misuse of Medicaid funds.

Ellison said his office would continue working with federal agencies to investigate Medicaid fraud and protect public funds. His office said its Medicaid Fraud Control Unit has secured 358 convictions since 2019 and obtained about $90 million in judgments and recoveries. Those figures cover the unit’s broader enforcement work and are not specific to Thursday’s investigation.

No arrests or charges tied to the searches at Iska and Bright Horizon had been announced as of Thursday evening. Authorities have not publicly described the evidence underlying the warrants or said when investigators expect to disclose additional findings.

Author note: Last updated October 30, 2026.