ST. PAUL — More than 21,000 Minnesotans could be at risk for losing housing as the state moves to shutter its Housing Stabilization Services program amid a fraud probe.

On Aug. 1, the Minnesota Department of Human Services announced it was moving to terminate the 2020-established Housing Stabilization Services program, after the FBI raided eight providers on July 16 and an agent alleged the program has lent to a “massive” scheme defrauding Medicaid of “millions.”

One of the providers, which is not accused of fraud, Home Care Staffing, located in St. Paul, filed suit against the state of Minnesota on Aug. 11 following the suspension of payments.

“As a result of the suspension, Plaintiff lost 80% of its staff and was forced to abandon hundreds of disabled and homeless clients depend

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