FCC Investigating Potential Fraud in E-Rate Program in Minnesota 
Letters of Inquiry Mark First Step in Exploring Potential Wrongdoing 
   
WASHINGTON, May 15, 2026—Today, FCC Chairman Brendan Carr announced that the Commission has sent three Letters of Inquiry to Minnesota educational institutions to investigate potential misuse of federal funds disbursed through the E-Rate program.  This marks the latest effort by the Commission to combat fraud, waste, and abuse in Universal Service Fund (USF) programs.

The USF’s E-Rate program helps schools and libraries obtain affordable telecommunications and information services so students, teachers, and library patrons can take advantage of online opportunities.  The program has provided support to over 132,000 schools and libraries across the country by funding discounts on Internet access and Wi-Fi services.

Chairman Carr issued the following statement:

“The FCC is committed to stopping bad actors from defrauding our USF programs, including those who target our E-Rate program as a way to line their own pockets.  When billions of dollars are at stake, we need to ensure that the Commission’s programs are working efficiently and effectively.  By requesting critical program information from Minnesota educational institutions suspected of wrongdoing within this program, we’re taking that initial and critical step towards being well-informed, good stewards of federal dollars to ensure program funds are being used for their intended purposes.”

Additional Background Information:

Chairman Carr continues to conduct a top-to-bottom review of all USF programs to ensure taxpayer dollars are protected.  In April 2026, Chairman Carr announced the suspension of seven individuals involved in a multimillion-dollar fraud scheme targeting the E-Rate program.  As part of the FCC’s efforts to combat fraud, waste, and abuse in Universal Service Fund programs, the FCC recently voted on updates to its suspension and debarment rules that enable the agency to take quicker and more comprehensive action against wrongdoers.

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