Governor Tim Walz has ended his campaign for a third term amid a sprawling fraud probe that has resulted in more than 90 criminal charges since 2022. Republican lawmakers called the move an “easy way out” and demanded his immediate resignation, arguing it does not equal accountability. Federal prosecutors say alleged losses could exceed $1 billion and potentially reach up to $9 billion, and Walz’s meeting with Sen. Amy Klobuchar has triggered succession speculation.
Walz Ends Re-Election Bid; GOP Demands Immediate Resignation Amid Massive Fraud Probe

Democratic Governor Tim Walz announced Monday that he is ending his campaign for a third four-year term amid the fallout from a large fraud investigation in Minnesota. Republican lawmakers called the move insufficient and renewed demands that Walz resign immediately, saying dropping his campaign does not constitute accountability.
GOP Reaction and Calls for Resignation
Republican state leaders reacted swiftly. They characterized Walz’s decision as an attempt to avoid responsibility and said they will continue pressing all elected Democrats over what they describe as widespread mismanagement and failures to stop fraud.
“Don’t mistake Gov. Walz’s retirement for accountability,” Minnesota state Sen. Mark Koran said. “It’s an attempt to avoid it.”
“The Governor is taking the easy way out, but it’s not good enough,” state Sen. Michael Holmstrom added, calling for an immediate resignation.
Scope Of The Fraud Investigation
Federal and state prosecutors say more than 90 people have been charged since 2022 in what officials describe as one of the nation’s largest COVID-era fraud schemes. Many defendants are from Minnesota’s Somali community. Authorities allege fraudulent claims and money-laundering tied to meal and housing programs, daycare centers, and Medicaid services.
The U.S. attorney’s office in Minnesota has warned that the scope of the fraud could exceed $1 billion and has estimated it could rise as high as $9 billion, although investigations are ongoing and totals remain under review.
Political Context And Fiscal Criticisms
Walz launched his 2024 re-election campaign in September. In recent weeks he faced intensifying criticism from President Donald Trump, Minnesota Republicans and some Democrats over the scale of the fraud and state oversight failures.
GOP critics also accused the Walz administration and Democrats in the state of depleting an $18 billion surplus and approving roughly $10 billion in tax increases—claims Republicans say are further evidence of mismanagement.
Succession Speculation
On Sunday Walz met with U.S. Sen. Amy Klobuchar, a Democrat and former Hennepin County attorney, to discuss his decision, a source confirmed. That meeting has fueled speculation that Klobuchar or other high-profile Democrats could consider runs to succeed Walz.
What’s Next
Walz’s announcement removes him from the governor’s race but does not change his current status as governor. Republican calls for immediate resignation are likely to continue as prosecutors pursue the fraud investigation and as lawmakers debate oversight and legislative responses. The political fallout and potential candidate shifts in Minnesota will be watched closely ahead of the next election cycle.
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