This article examines ethicized discourses and the institutional exclusion of racialized EU migrants, focusing on a German city. Drawing on detailed microsociological analyses of communicative practices and administrative routines, it demonstrates how antigypsyist ideas persist despite changes in language, manifesting in indirect and coded forms within public and bureaucratic communication. The study identifies an organizational culture within the municipal administration characterized by deliberate obstacles to the social inclusion of so-called “poverty migrants.” The role of social welfare authorities is highlighted, employing criminalizing concepts such as “organized welfare fraud,” alongside techniques akin to predictive policing, targeting racialized EU migrants. The research illustrates how institutional practices and stereotypical knowledge intersect to reproduce systemic disadvantage. The findings underline the necessity of a structural perspective for critical engagement with and the dismantling of institutional racism against Roma.