Federal Judge Allows White House to Pause Medicaid Payments to Minnesota Amid Fraud Concerns
A federal judge has declined to block the Trump administration from pausing over $240 million in Medicaid payments to Minnesota. The decision follows a February announcement by federal officials, including Vice President JD Vance, to freeze $259 million in Medicaid funding due to concerns over fraud. Minnesota Attorney General Keith Ellison filed a lawsuit against the federal Centers for Medicare and Medicaid Services and the U.S. Department of Health and Human Services, seeking a temporary injunction to reinstate the payments. Judge Eric Tostrud ruled against the injunction, stating that the courts must wait for federal agencies to complete their investigations. While acknowledging Minnesota's concerns about the unprecedented size and timing of the funding freeze, Tostrud noted that the freeze likely complies with federal regulations.