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Federal Agents Placed on Leave Following Minneapolis Shooting; 'Ghost Student' Scam Under Investigation

2026-01-29

The BareStory

Federal agents involved in the shooting of Alex Pretti in Minneapolis have been placed on paid administrative leave, according to sources familiar with the matter. On January 28, 2026, the Department of Homeland Security submitted an initial report regarding the killing to Congress. Reports indicate that former President Trump has shifted his tone regarding the incident, while the portrayal of Pretti by some officials has sparked a backlash centered on Second Amendment rights.

Separately, investigators are examining a "ghost student" scam reportedly costing millions of dollars. The scheme allegedly involves thieves using stolen or fake identities to enroll in colleges and fraudulently apply for federal financial aid, including Pell grants and loans.

In broader national developments, the U.S. government faces a potential shutdown due to a legislative standoff over funding for the Department of Homeland Security. Additionally, the Federal Reserve announced on Wednesday that it would maintain current interest rates. These events coincide with severe winter weather affecting large portions of the country, causing power outages in the South and widespread travel disruptions as a Nor’easter threatens the East Coast.

Left Perspective

  • Administrative response to the shooting
  • Scrutiny of financial aid fraud
  • Stability in monetary policy

Right Perspective

  • Backlash over the victim's portrayal
  • Shifts in leadership rhetoric
  • Legislative conflict regarding funding

How it may affect me

As a U.S. reader: Federal services could be disrupted or suspended if the current legislative standoff regarding funding for the Department of Homeland Security results in a government shutdown.

Residents in the South and East Coast face immediate risks of power outages and widespread travel delays due to severe winter storms and an approaching Nor’easter.

Borrowing costs for loans and mortgages are expected to remain stable in the near term following the Federal Reserve's decision to maintain current interest rates.

Federal financial aid systems may see increased scrutiny as investigators address a multi-million dollar scheme involving stolen identities used to fraudulently obtain Pell grants and loans.

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