Tag: taxes

Newsom’s Massive Fraud Scandal No One Is Talking About

Everybody’s buzzing about that Minnesota Medicaid mess with Gov. Tim Walz. Some are even calling it the largest fraud scandal ever. If only.

Blue-state fraud is undoubtedly a problem, and Walz should be held accountable if he did indeed look the other way. But what happened in the land of 10,000 lakes is tiny compared to the fraud in California under Gavin Newsom.

Heck, it makes Minnesota look like pocket change.

A fresh 92-page bombshell from the California State Auditor lays it all out.

“This latest report was issued by the state auditor, and that’s a nonpartisan position; that state auditor now puts eight state agencies on the high-risk list of agencies to watch out for, for things like fraud and mismanagement as well as waste,” Newsmax correspondent Heather Myers revealed last week.

“Here’s a look at that 92-page report. Newly added to the high-risk list is California’s food stamp program. If the state doesn’t get the improper payments under control, it could cost an extra $2.5 billion. Also on there is the Department of Finance, which was tasked with giving out COVID relief funds. Critics say $32 billion of that was taken by fraudsters. Then there are infrastructure issues like California’s deteriorating dams, and also the high-speed train that’s already cost taxpayers 18 billion without a single section of track complete.”

But wait, there’s more!

“Other reports cite $24 billion spent on the homeless issue that critics claim the state lost track of. More recently, there’s a report that says California cell phone users paid a surcharge for years to upgrade the state’s 911 system,” she added.

Tallied all up, California taxpayers lost $70 billion to fraud.

But here’s where things get really interesting. While pressure is on in Minnesota to get to the bottom of the state’s fraud, California seems to be under the radar.

Now get this. Right in the middle of the fraud apocalypse, a new ballot initiative seeks to impose a one-time 10% wealth tax on billionaires’ assets.

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DHS Says REAL ID, Which DHS Certifies, Is Too Unreliable To Confirm U.S. Citizenship

Only the government could spend 20 years creating a national ID that no one wanted and that apparently doesn’t even work as a national ID.

But that’s what the federal government has accomplished with the REAL ID, which the Department of Homeland Security (DHS) now considers unreliable, even though getting one requires providing proof of citizenship or lawful status in the country.

In a December 11 court filing, Philip Lavoie, the acting assistant special agent in charge of DHS’ Mobile, Alabama, office, stated that, “REAL ID can be unreliable to confirm U.S. citizenship.”

Lavoie’s declaration was in response to a federal civil rights lawsuit filed in October by the Institute for Justice, a public-interest law firm, on behalf of Leo Garcia Venegas, an Alabama construction worker. Venegas was detained twice in May and June during immigration raids on private construction sites, despite being a U.S. citizen. In both instances, Venegas’ lawsuit says, masked federal immigration officers entered the private sites without a warrant and began detaining workers based solely on their apparent ethnicity.

And in both instances officers allegedly retrieved Venegas’ Alabama-issued REAL ID from his pocket but claimed it could be fake. Venegas was kept handcuffed and detained for an hour the first time and “between 20 and 30 minutes” the second time before officers ran his information and released him.

Lavoie’s declaration says that the agents “needed to further verify his U.S. citizenship because each state has its own REAL ID compliance laws, which may provide for the issuance of a REAL ID to an alien and therefore based on HSI Special Agent training and experience, REAL ID can be unreliable to confirm U.S. citizenship.”

It’s the punch line to a bad joke with a 20-year windup. When Congress passed the REAL ID Act in 2005. It was sold as a post-9/11 security measure to create uniform standards for state IDs, including clearly listing citizenship or lawful immigration status. State IDs that conformed to the requirements would be marked with a star. Contrary to the cheeky first sentence of this story, DHS insists that REAL ID is not a national ID system, and that it doesn’t involve a centralized national database. (Civil liberties groups say it amounts to a de facto national ID system anyway.) 

The rub was that REAL IDs would be required for entry to federal property, including, most significantly for the average American, airport security checkpoints. But the law was widely unpopular. There was such low compliance from states that enforcement was delayed seven times over the years, until finally beginning this May.

The project should have been scrapped years ago. America somehow survived two decades of terrorism-free air travel without REAL IDs. As Reason‘s Scott Shackford wrote in 2021, “The government is demanding that Americans give up more of their privacy to the feds, subject themselves to additional inane bureaucracy, and carry around proof that we’re citizens to be able to fly, even though none of that makes us more secure.”

And now we discover that DHS doesn’t even consider the thing proof of citizenship.

In a court filing in response to DHS, the Institute for Justice noted how incredible this position is. “REAL IDs require proof of citizenship or lawful status,” the Institute for Justice wrote. “DHS is the very agency responsible for certifying that REAL IDs, including Alabama’s STAR IDs, satisfy this requirement.”

The law firm argues that DHS’ policy of allowing officers to disregard proof of lawful presence likely violates the Fourth Amendment and DHS’ own regulations.

When asked to comment on Lavoie’s declaration, a DHS spokesperson said in a statement to Reason: “The INA requires aliens and non-citizens in the US to carry immigration documents. Real IDs are not immigration documents—they make identification harder to forge, thwarting criminals and terrorists.”

But of course, Venegas is a U.S. citizen, so he is not required to carry non-existent immigration documents.

DHS’ statement to Reason when Venegas’ lawsuit was first filed insisted that, “What makes someone a target for immigration enforcement is if they are illegally in the U.S.—NOT their skin color, race, or ethnicity.”

The agency never responded to a follow-up question asking why, then, Venegas was targeted.

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False refugee study used by Dems to justify open borders — and massive spending

Even as massive fraud schemes are uncovered in Minnesota, orchestrated primarily by Somali refugees, Democrats are circling the wagons.

Refugees and asylum seekers provide a substantial net benefit to the United States, they claim, generating more wealth than they take from the government.

But that talking point is based on a federal study that was rejected in 2017 by the first Trump administration as methodologically unsound and preposterous in its conclusions. The study was resurrected and expanded by the Biden administration in 2024.

Today, 73% of Somali households have at least one member enrolled in Medicaid, and 89% of Somali families with children participate in at least one welfare program.

These realities stand in stark contrast to the glowing conclusions of the Biden report, which claims refugees and asylees add a net $8.25 billion annually to federal coffers.

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Trump Administration SUES Virginia for Giving Illegal Aliens In-State Tuition While American Taxpayers Foot the Bill

The Trump administration has launched a sweeping federal lawsuit against the Commonwealth of Virginia, accusing state leaders of openly defying federal immigration law by granting illegal aliens discounted in-state college tuition while forcing American citizens from other states to pay dramatically higher rates.

In a civil complaint filed in the U.S. District Court for the Eastern District of Virginia, the Department of Justice argues that Virginia’s tuition scheme blatantly violates federal law and must be permanently shut down.

The lawsuit seeks declaratory and injunctive relief to block the enforcement of Virginia statutes that classify illegal aliens as state “residents” for tuition and financial aid purposes.

At the center of the case is a law passed in 2021 and effective since 2022, which allows illegal alien students who meet specific residency and high school graduation criteria in Virginia to pay in-state tuition regardless of their immigration status. They can also qualify for state financial aid.

Meanwhile, American citizens from neighboring states—or even military families temporarily stationed elsewhere—are forced to pay out-of-state tuition rates that can be tens of thousands of dollars higher.

The DOJ complaint states plainly that Virginia’s policy gives preferential treatment to illegal aliens over U.S. citizens, calling the practice “squarely prohibited and preempted by federal law.”

“In direct conflict with federal law, Virginia law permits an alien who is not lawfully present in the United States to qualify for reduced in-state rates and state-administered financial assistance based on residence within the state but does not make United States citizens eligible for such benefits without regard to whether the United States citizens are Virginia residents,” the lawsuit reads.

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Biden Housing Scandal EXPLODES: HUD Report Reveals Over $5 Billion in Questionable Rental Aid, Including Payments to Dead People and Non-Citizens

A bombshell federal report has blown the lid off yet another massive Biden-era taxpayer scandal — this time inside the U.S. Department of Housing and Urban Development.

According to HUD’s own Fiscal Year 2025 Agency Financial Report, more than $5 billion in rental assistance payments during the final year of the Biden regime were flagged as “questionable” or improper, exposing systemic failures, nonexistent oversight, and breathtaking incompetence at the federal level.

Among the most jaw-dropping revelations: tens of thousands of payments were made to people who were already DEAD, and thousands more went to recipients who may not have even been eligible to receive taxpayer-funded housing assistance at all, the New York Post first reported.

Buried in the HUD report is a stunning admission that federal systems failed to stop payments to 30,054 deceased individuals who were either still listed as active tenants or continued receiving rental assistance after their deaths.

HUD officials acknowledged that only after cross-checking Treasury databases did they finally identify the scope of the problem — meaning for years, taxpayers were unknowingly footing the bill for people who no longer exist.

“[Over] 30,000 dead people receiving housing isn’t an accident — it was systematic fraud by Biden and the left. HUD will hold those who defrauded the American taxpayers accountable,” HUD Secretary Scott Turner wrote on X.

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Disgraced Former Prince Andrew Causing Fresh Outrage as He’s Spotted With His New, Free Land Rover 4×4

The never-ending royal perks.

Even after Andrew Mountbatten-Windsor lost all his royal titles and patronages, he still very far from a simple commoner.

In the last few days, the disgraced former Prince, former Duke of York has been pictured driving his brand new $100,000 Land Rover Defender – and outrage is building since it was likely given to him for free as a royal benefit.

Daily Mail reported:

“The former Duke of York, 65, took delivery of the new luxury 4×4 just before his last Christmas at Royal Lodge in Windsor.

Andrew looked furtive behind the wheel of the top-of-the-range Defender as he swept through the gates of his 30-room mansion over the weekend.”

Andrew’s car is brand new, only registered with the DVLA in early December.

Jaguar Land Rover has a 74-year-old deal with the Royal family, by which the royals are loaned a fleet of Land Rovers.

While Andrew has long benefitted from the deal, this new luxury car is sparking anger after his downfall.

“Jaguar Land Rover, a subsidiary of India’s Tata Motors since 2008, said: ‘We do not comment on any commercial client relationships’.”

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Citizen Journalist Descends On Ohio, Immediately Finds ‘First Signs Of Potentially Massive Somali Fraud’

The “Nick Shirley Effect” has begun, with Muckraker founder Anthony Rubin on the ground in Columbus, Ohio, home to the second-largest Somali community in the U.S., investigating daycare centers. This development comes less than a day after Ohio attorney Mehek Cooke said federal investigators are examining allegations that elements within Ohio’s Somali community defrauded millions of dollars from the state’s Medicaid system.

“The first Somali-affiliated daycare facility that we knocked on after landing in Columbus, Ohio, today did not answer,” Rubin wrote on X, alongside a video showing the daycare center, Great Minds Learning Academy.

Rubin continued, “A neighbor across the street told us, ‘I’ve never seen anybody come out of the building or go into the building.'”

On Sunday, Breitbart News published an interview with Ohio attorney Mehek Cooke, who alleges that members of the Somali community in Ohio have defrauded millions of dollars from the state’s Medicaid program. She said that authorities at the highest levels are investigating “what is happening in Ohio.”

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Guess Who Finally Showed Up at Minneapolis ‘Quality Learing Center’ This Week

YouTuber Nick Shirley did what no one in the legacy media bothered to do: he exposed the rampant fraud being perpetrated by Somali-run daycares in Minnesota by going to these “daycares” with a camera and asking questions. That’s it. That’s how easy it was for Shirley to amass more than 120 million views of his 42-minute story on X, and blow wide open the ongoing fraud scandal in the Land of 10,000 Lakes.

Shirley’s exposé was so damning that Governor Tim Walz was forced to respond, even though his statement — issued through a spokesperson — was “weak sauce,” as our Matt Vespa put it. 

“The governor has worked for years to crack down on fraud and ask the state legislature for more authority to take aggressive action,” the spokesperson said. “He has strengthened oversight — including launching investigations into these specific facilities, one of which was already closed.”

Sure.

One of the daycares, with the misspelled name, “Quality Learing Center,” supposedly cares for 99 children. When Shirley showed up, the building appeared empty.

Now, The New York Post is reporting that the owners are getting short-tempered with reporters and apparently trucking in those missing kids.

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Luxury cars and private villas: See how Minnesota fraudsters spent millions intended for hungry kids

Luxury cars, private villas and overseas wire transfers: CBS News obtained dozens of files and photos that reveal how Minnesota fraudsters blew through hundreds of millions in taxpayer dollars as part of one of the biggest COVID-era fraud schemes.

The files document a spending spree in which defendants, many of Somali descent, took taxpayer money meant to feed hungry children and used it to buy cars, property and jewelry. Videos show them popping champagne at an opulent Maldives resort. In a text message, one defendant boasts: “You are gonna be the richest 25 year old InshaAllah [God willing].”

The documents feature exhibits from a recent federal trial, many of which are being made public by CBS News for the first time. The exhibits include:

  • A confirmation email for a stay in an overwater villa with a private pool at Radisson Blu Resort Maldives
  • Lakefront property in Minnesota
  • Receipts showing wire transfers to China and East Africa
  • First class tickets to Istanbul and Amsterdam
  • A 2021 Porsche Macan
  • Stacks of cash, texted between defendants

At the sentencing of a defendant who used taxpayer funds for cars and the Maldives vacation, 24-year-old Abdimajid Mohamed Nur, U.S. District Judge Nancy E. Brasel admonished him, saying: “Where others saw a crisis and rushed to help, you saw money and rushed to steal.” He was sentenced to 10 years in prison and ordered to pay nearly $48 million in restitution for his role in the fraud scheme.

Nur is one of dozens who siphoned hundreds of millions in stolen taxpayer funds — with questions still swirling about where all the money went. The crime has drawn renewed attention in recent weeks: House Republicans last week launched a probe into Minnesota Democratic Gov. Tim Walz’s handling of the cases, and the Treasury Department said it will investigate whether money made its way to al Qaeda affiliate al Shabaab, which is based in Somalia. 

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Tim Walz Attacks President Trump After HHS Department Freezes Childcare Payments to Minnesota Amid Widespread Somali Fraud

Minnesota Governor Tim Walz attacked President Trump in his latest statement in response to allegations of rampant fraud in the Somali community.

Somali healthcare and daycare scammers may have stolen more than $9 billion in taxpayer money in Minnesota.

Walz lashed out at President Trump and accused him of letting fraudsters out of prison.

“We’ve spent years cracking down on fraud – referring cases to law enforcement, shutting down and auditing high-risk programs,” Walz said.

“Trump keeps letting fraudsters out of prison,” Walz said.

Later Tuesday, the Health and Human Services Department announced it is freezing all childcare payments to Minnesota amid allegations of widespread fraud.

“We have turned off the money spigot,” HHS Deputy Secretary Jim O’Neill said.

The HHS took three actions against the rampant fraud in Minnesota: All payments across the country will require justification and photo evidence before money is sent to a state.

All individuals in Nick Shirley’s video have been identified and audits have been demanded.

The HHS has also launched a fraud reporting hotline.

Walz lashed out at President Trump again.

“This is Trump’s long game,” Walz.

“We’ve spent years cracking down on fraudsters. It’s a serious issue – but this has been his plan all along,” Walz said.

“He’s politicizing the issue to defund programs that help Minnesotans,” Walz added.

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