Prosecutors charge 5 people in a Minnesota housing fraud scheme

MINNEAPOLIS (AP) — Five new defendants have been charged in connection with a Minnesota housing services fraud scheme, a prosecutor said Thursday

Two defendants pocketed $750,000 instead of helping Medicaid recipients find stable housing, First Assistant U.S. Attorney Joe Thompson said during a news conference. Prosecutors allege they used the proceeds to travel to international destinations, including London, Istanbul and Dubai.

One defendant submitted $1.4 million in fraud claims, using some to purchase cryptocurrency. Federal officials say he fled the country after receiving a subpoena.