Nick Shirley is back in California, and Part 2 of his Golden State fraud investigation is already delivering.
His confrontation with one woman who answered the door in the teaser clip Shirley just released, is something Newsom is going to have a very hard time explaining.
San Diego Facility Enrolled 14 Children the State Has Never Seen
Gavin Newsom's state visited a San Diego daycare, confirmed no children were present, and cut the checks anyway.
Nick Shirley showed up to ask why.
Shirley visited Hayden Serra Family Child Care in San Diego.
According to state inspection records, the facility had 14 children enrolled.
Zero were present when inspectors arrived.
The state also cited the facility for missing children's records and the absence of a facility roster.
California's response to those inspection findings?
Keep sending money.
"These fraudsters are simply enrolling children on paper to receive government subsidies," Shirley said in the clip. "Even after the state visits these daycares and confirms there are no children actually there, the government and the state continue to give these daycares money."
The Conviction California Already Had on File
Here's the part that should make every taxpayer in America furious.
Shirley's team also visited Medina Learning Centre – and discovered that its listed backup facility was the UMI Learning Center, also in San Diego.
A federal court convicted UMI Learning Center in 2024 for running the identical scheme.
The president of the center, Mohamed Muriidi Mohamed, submitted false attendance records claiming 150 children were enrolled and being cared for – children who did not exist.
A federal judge sentenced him to 27 months in prison and ordered him to repay $3.7 million to the program administrators who had been defrauded.
His wife and two other family members pleaded guilty to the same charges.
So California had a federal conviction in its own backyard – same city, same playbook – and a facility listing that convicted operation as its backup is still registered and receiving state funds.
https://x.com/EricLDaugh/status/2038740552158421088“>https://x.com/EricLDaugh/status/2038740552158421088
Newsom Chose Mockery Over Accountability
When Shirley released Part 1 of his California investigation last month – a 40-minute video alleging $170 million in fraud across ghost daycares and sham hospice operations – Newsom's press office responded with a mocking meme on X.
Shirley's reply drew 275,000 likes. Newsom's post managed 26,000.
Even John Fetterman had seen enough. "Why can't you celebrate any journalist or any activist doing that?" the Pennsylvania Democrat said. "Shouldn't we agree to eliminate all the waste?"
The Trump administration had already moved past words.
On January 6, 2026, HHS froze federal childcare and family assistance funds for California, Colorado, Illinois, Minnesota, and New York, citing credible concerns about fraud and misuse of taxpayer money across state-administered programs.
California's answer was to file a lawsuit – not against the fraudsters, but against the federal government trying to stop them.
Newsom Has Everything He Needs to Act and Does Nothing
This isn't complicated.
Shirley built his entire investigation from public records – state inspection logs and CalWORKs data that any California resident can access.
He didn't need a whistleblower. He needed a camera and the willingness to show up.
The state's own inspectors had already confirmed the violations at Hayden Serra. Zero children present. Missing records. No roster. The paperwork exists. The citations were filed.
And California kept writing checks.
Newsom runs this system. The money doesn't go out by accident.
He has the inspection reports. He has the federal conviction from his own state. He has the HHS freeze letters spelling out exactly why Washington is alarmed.
Every time someone exposes it, he attacks them instead.
Part 2 of Nick Shirley's California investigation hasn't dropped yet.
Whatever he found is apparently worse than what he's already shown.
Newsom might want to get ahead of it.
He won't.
Sources:
- Dmitri Bolt, "Nick Shirley Drops a Teaser for Part Two of His Fraud Investigation in CA: More Childcare Fraud," Townhall, March 31, 2026.
- "President of UMI Learning Center Sentenced to 27 Months in Prison, Ordered to Pay $3.7 Million Back in Stolen Childcare Benefits," HHS Office of Inspector General, August 21, 2024.
- "President of San Diego School Sentenced for Multi-Million Childcare Benefits Fraud," Fox 5 San Diego, August 22, 2024.
- Emmy Griffin, "Nick Shirley Exposes More California Fraud," The Patriot Post, March 20, 2026.
- "Fraud Investigator Nick Shirley Goes Viral After Slamming Newsom," Fox News, March 2026.
- "HHS Freezes Child Care and Family Assistance Grants in Five States for Fraud Concerns," HHS.gov, January 6, 2026.
- "Nick Shirley Alleges $170M California Daycare Fraud in New Video," Fox 11 Los Angeles, March 2026.









