While Trump sharply cuts foreign aid, past abuses from the Obama-Biden era keep piling up

Ahalf billion dollar fraud and bribery scheme conducted by a USAID contract officer and three conspirators that went undetected for a decade. American-bought equipment stolen by a terror group. Millions of dollars in food that spoiled in warehouses. These are but a few of the wasteful — if not corrupt ways — millions of USAID dollars have been lost.

While President Donald Trump has sharply cut foreign aid from the auspices of USAID and shifted what remains to the State Department, the massive abuse of America’s generosity to foreign countries over a decade of Obama-Biden governance is coming into clearer focus. 

A Just the News review of audits and investigations of the USAID and State Department inspectors general over the last year chronicles billions of dollars lost, stolen, defrauded, or wasted because of mismanagement or years of neglect.

In many cases, tax money was given away without regard to whether the recipients could responsibly spend it or could keep it out of the hands of terrorists or other enemies, the audits show.

For instance, the USAID inspector general recently revealed that the federal government kept funding the United Nations Relief and Works Agency for Palestine Refugees (UNRWA) despite evidence that 101 of its employees or associates had ties to terror groups like Hamas, including: 

  •  A deputy school principal serving as an al-Qassam deputy company commander in the Ain Gallout/5th infantry battalion.
  • A deputy school principal serving as squad leader for the Khan Younis Brigade/2nd infantry battalion. 
  • A teacher serving as squad leader in Hamas’ military security department/intelligence unit who tracked assignment of explosive devices.
  • A teacher serving as a platoon commander of the Central Brigade/Al Quds 2nd Battalion.
  • A math & computer teacher with ties to an al-Qassam intelligence squad.
  • A teacher with expertise as a sniper for Hamas.
  • A teacher and Hamas soldier with orders to bring two anti-tank missiles to a prescribed location during the October 7 terror attacks
  • A school principal who served as an operative of the Hamas East Jabaliya Battalion, and coordinated communications with other suspected Hamas members during the October 7, 2023 atrocities committed against Israel 

Similarly, the same USAID watchdog revealed that the Yemen-based terror Ansar Allah — also known as the Houthis—walked away with about $122,000 worth of U.S. government-funded equipment from a USAID-funded aid organization.

$17 million of the $21 million of food aid stored in warehouses was not distributed to emergency food providers. Some good-intentioned aid also was wasted by bad management and logistics, the audits show.

For instance, about $17 million of the $21 million of food aid stored in Djibouti warehouses was not distributed to emergency food providers.

That included $10 million of goods at risk of reaching its best-used-by date prior to arriving at its intended destination. About $2.9 million of food aid had already spoiled due to significant packaging defects by the vendor, investigators reported.

To make matters worse, taxpayers incurred at least nearly $500,000 in storage costs for spoiled, unusable food. And another $1.5 million in food became infested because USAID “did not enforce temperature control requirements,” eventually requiring additional fumigation costs, the memos stated.

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When The Rule Of Law Fails

The Fracturing: When Marble Crumbles Beneath Velvet

Observe the edifice. Not the facade of columned grandeur that photographs well for tourist brochures, but the load-bearing structures that sustain civic order. The mortar between stones has been leaching for decades, replaced with expedient compounds that harden briefly then powder under pressure. What appears solid to casual inspection reveals, upon closer examination, the honeycombed fragility of termite-gnawed timber.

The rule of law – that abstraction upon which millions have wagered their lives, their fortunes, their sacred honor – has not been abolished. Far more insidiously, it has been instrumentalized. Transformed from constraint upon power into weapon wielded by power. The distinction matters. Abolition would provoke resistance. Instrumentalization induces learned helplessness, the conditioned response of laboratory animals who no longer attempt escape because previous attempts have been punished.

Consider the mechanism. Statutes remain on codified pages. Precedents still fill bound volumes. Theatrical performances of judicial process continue in robed solemnity. But the outcomes – the actual distribution of force, property, liberty – now proceed according to criteria that cannot be publicly acknowledged without unraveling the legitimacy upon which enforcement depends. The law has become Schrodinger’s cat: simultaneously alive and dead, its state determined only upon observation, and then retroactively justified through reasoning so tortured it would extract confessions from stone.

Heavy stillness pervades courthouse corridors where verdicts arrive prepackaged. Muffled air absorbs the footsteps of attorneys who have learned that vigorous advocacy risks bar sanctions, that certain defendants cannot be acquitted regardless of evidence, that particular prosecutions must proceed regardless of merit. Where once adversarial collision generated truth through friction, now choreographed collusion produces predetermined outcomes with the mechanical inevitability of assembly-line fabrication.

The Inversion: How Protection Became Predation

Examine the metamorphosis of institutions whose founding purpose was circumscription of state violence. Police forces established to apprehend actual predators now function as extraction mechanisms, their revenue-generation priorities transforming citizens into quarry. Courts erected to adjudicate disputes now operate as processing facilities, their dockets clogged with statutory violations that lack injured parties, their calendars dominated by plea arrangements that obviate evidentiary examination. Legislatures convened to express popular will now manufacture complexity so impenetrable that compliance becomes impossible, thereby manufacturing the criminality that justifies expansion.

The inversion is nearly complete. The FBI – originally chartered to investigate interstate criminality – now devotes substantial resources to manufacturing terrorism through entrapment of vulnerable individuals, then publicizing these manufactured plots as justification for expanded surveillance. The IRS – created to fund legitimate governance – now functions as political enforcement arm, its audit selections targeting ideological opponents with statistical improbability that defies random explanation. The regulatory apparatus – ostensibly protecting consumers – now serves as barrier to entry for competitors of established conglomerates, its compliance costs crushing small enterprise while manageable for entities that can afford dedicated compliance departments.

Each institution, examined individually, displays symptoms of capture. Examined collectively, they reveal systemic transformation. The heavy stillness of bureaucratic inertia now serves not popular interest but consolidated power. The muffled air of administrative process now muffles dissent rather than amplifying resolution. Where footsteps once dissolved into the marble floors of public buildings as citizens approached for redress, now those same footsteps echo ominously as warnings to others who might seek similar remedy.

The Dissolution: Precedents of Collapse

Historical memory – when not actively suppressed – offers instruction. Rome’s transition from republic to imperium did not occur through single coup but through incremental usurpations, each justified by emergency, each ratified by senatorial acquiescence, each establishing precedent for subsequent expansion. The Weimar Republic’s dissolution proceeded through “legal” mechanisms: emergency decrees, enabling acts, judicial appointments that transformed interpretation rather than overturning text. The Soviet Union’s constitutional guarantees – extensive on paper – provided no protection against party-state fusion that rendered law irrelevant to power.

American exceptionalism – the comforting delusion that geography or founding documents confer immunity to these patterns – has prevented recognition of their local manifestation. But the patterns are unmistakable to unprejudiced observation. Executive orders that bypass legislative process. Judicial opinions that discover meanings in constitutional text invisible to centuries of prior readers. Administrative regulations that carry criminal penalties despite absent legislative authorization. Each instance, defended as isolated necessity, contributes to cumulative precedent that transforms limited government into unlimited discretion.

The weathered limestone arches of Monticello and Independence Hall – physical remnants of founding generation aspirations – now frame populations whose understanding of those aspirations has been systematically eroded through educational institutions that treat constitutional limitations as obstacles to be overcome rather than protections to be preserved. The brutalist concrete contours of contemporary government buildings – deliberately imposing, alienating, inhuman – materialize the relationship between state and citizen that has replaced the founding vision: not service but domination, not representation but management, not consent but submission.

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Californians Are Prepared To Run Their State Into The Ground

According to recent polling, the California Voter ID initiative is in danger of losing this November, even though a supermajority of Americans across the political spectrum support Voter ID. Meanwhile, a 5% billionaire tax looks likely to win, even though the evidence against such proposals could not be clearer: higher taxes mean more rich people will flee to low-tax states, thus further depleting California’s already dwindling coffers.

What’s the matter with California voters? Why are they so addicted to failure? Why do they celebrate the continued demise of their once-great state?

The state of California remains the land of fruits and nuts, and all common-sense reforms are failing. This is a hard pill for many to swallow on the right in general, among Republicans in particular, and for the rest of the world watching, but Democrats don’t care. Power is the game, and the rest is chicken feed.

They dominate the voter rolls two-to-one.

They control every level of government.

They run the unions.

They have forced a hostile political takeover of big business, too. Chevron, pharmaceutical companies, and major financial firms are all trying to get a seat at the table to protect themselves.

Meanwhile, every major identity politics special interest runs riot in the state. From LGBT to Black Liberation, to everything in between, the left-wing smorgasbord of “give me money” hunkers down on Democratic lawmakers, demanding their piece of the increasingly receding budget.

The Democratic Socialists of America have been on a tear across California, taking over major city councils and pushing out weak Democratic lawmakers for the last ten years. The 2024 election witnessed a particular bloodbath for the party’s more establishment wing.

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Beyond the Ukraine War, NATO and Europe Are Still Dependent on the US

The Ukraine war has underscored NATO and Europe’s continued reliance on the United States for defense. Ukraine’s air defense is running short of Patriot interceptors, and Europe has not been able to close the gap on its own. President Volodymyr Zelensky told reporters that Ukraine has only about a tenth of the interceptors it needs from the United States.

The Chatham House reports that the Ukraine Contact Group of European states pledged $4 billion for Ukrainian air defense in June 2026, including more than $1 billion earmarked for Patriots, but notes that it remains doubtful the United States will supply the missiles. Europe does not build the Patriot system itself, and Ukrainian-made Patriots are not a near-term solution. Analysts cited by Chatham House estimate it would take 18 to 24 months just to establish a pilot production line domestically.

European governments have responded by purchasing American-made systems for Ukraine rather than replacing them with European production. Germany pledged more than $2 billion in military aid, including Patriot interceptors, while Estonia, Finland, Lithuania, and Sweden joined the fast-track purchasing program. However, the arrangement still relies on American manufacturing capacity rather than an independent European supply.

Four years into the war, Europe has not built the domestic capacity to cover its own air defense needs, let alone Ukraine’s, leaving Kyiv’s interceptor stocks dependent on U.S.-made weapons.

Beneath the missile shortfall sits a deeper dependency: NATO lacks sufficient independent capacity in satellite intelligence and reconnaissance, strategic airlift, air-to-air refueling, command-and-control infrastructure, and nuclear deterrence, relying heavily on the United States for all five. The NATO Intelligence Fusion Centre, based at RAF Molesworth in the UK, brings together NATO and partner-nation analysts to produce shared intelligence assessments on military threats and terrorism for the alliance as a whole.

Though housed in Britain, the Fusion Centre was established with the United States as the “framework nation,” meaning American intelligence architecture and staffing underpin an institution that operates as a multinational NATO body. The Supreme Allied Commander Europe, who oversees NATO’s intelligence and surveillance forces, has by convention always been an American general.

A Kiel Institute report, produced with Bruegel, states that Europe depends heavily on the US not only for deployable troops but also for ‘strategic enablers,’ pointing to continued reliance on American systems for critical modern military capabilities even as European defense budgets have surged. Sven Biscop of the Egmont Royal Institute told Defense News that Europe is “almost completely dependent” on U.S. intelligence for satellite capability and everything that goes with it, adding that closing the gap will take time. The United States operated 246 military satellites as of 2023, compared with 49 for all of European NATO combined, led by France with 15, according to the same reporting.

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Schools forced into borrowing cash because Chicago is late on taxes

A “perfect storm” of convoluted bureaucracy caused Cook County, Illinois to spend 10 years and $63 million building a property tax billing software that did not work. 

Because tax collection was delayed, Chicago Public Schools were forced to take a loan to stay operational, incurring $33 million in interest costs.

Key facts: A July 21 report from the Cook County inspector general found that the contractor designing the tax billing software, Tyler Technologies, received conflicting information from three different government agencies involved with the project.

The county Assessor’s Office helmed the first stage of the project. But when a new assessor was elected, he added new requirements that delayed the project.

The Treasurer’s Office gave input later on, and asked Tyler Technologies to use different home ownership data than the Assessor’s Office had provided, according to the IG report.

The Treasurer’s Office staff also reportedly argued with Tyler Technologies about how to design the tax billing software. This created an “openly adversarial” work environment, according to the audit. At one point, county staff were told to intentionally withhold necessary data from Tyler Technologies, the report stated.

Eventually, the county hired another contractor just to serve as a liaison between government officials and Tyler Technologies.

The county also required Tyler Technologies to hire a local project manager, but the first three managers departed because of “knowledge gaps or interpersonal conflicts with county employees,” according to the IG report.

The Treasurer’s Office began using the new tax software in late 2025, even though the county’s Bureau of Technology warned that there were “hundreds of errors.” County homeowners have still not received their 2025 tax bills as of Aug. 8, 2026.

The Clerk’s Office and Treasurer’s Office said Tyler Technologies did not assign enough staff to the project, and that its programmers were not always present at meetings about technical issues, the report states. But the audit also noted that Tyler Technologies’ staff sometimes voluntarily worked seven days a week and without pay to try and resolve issues with the tax system.

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WHAT COULD GO WRONG? Detroit Public Schools Now Offering Students Cash Prizes Just for Showing Up

Public schools in the city of Detroit are now rewarding students for attendance with cash prizes and gift cards. Apparently, no one has told the students that going to school and studying hard is in their best interests and acts as its own reward.

Even parents can get in on the action if their children have good attendance records.

How did we come to this in America? Why are we even bothering with public schools at this point?

FOX News reports:

Detroit schools offer students up to $1,000 for perfect attendance as program expands

Detroit Public Schools Community District (DPSCD) paid students up to $1,000 for perfect attendance and is expanding the incentive program to middle schoolers after district officials say it successfully reduced chronic absenteeism.

Now in its second year, the Perfect Attendance Pays initiative targets the winter months — from Jan. 5 to March 20 — when attendance historically dips across the district.

“DPSCD is continuing the Perfect Attendance Pays initiative for the 2026–27 school year for high school students and expanding it to include middle school students,” a district spokesperson told Fox News Digital Friday.

“At the middle school level, parents of eligible students with perfect attendance during each five-day cycle will receive a $50 gift card.”

District officials clarified that the financial incentives are not funded by taxpayers or standard state educational aid.

“The incentive is funded through interest generated through district funds awaiting to be used for facility projects. Federal and state revenue is not used to fund the incentive, nor is the incentive offered on fall or spring count days,” the spokesperson added.

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Mamdani’s Socialist Government Considering Subsidizing For-Profit Grocery Stores to Compete With State-Supported Ones

Recently, New York City Mayor Zohran Mamdani announced that he was making good on his campaign promise to bring down food costs by opening state-sponsored grocery stores that would sell goods at below cost. The stores will also not be required to pay taxes or rent.

By establishing these state-sponsored stores, Mamdani is not reducing food costs. He is reducing the price for consumers while placing a larger burden on taxpayers, most of whom will not be able to access the city stores.

To make matters worse, these stores are required to pay a “living wage,” which is estimated at more than double the minimum wage. Furthermore, they are required to provide healthcare and other benefits for employees. So, not only will the government have to supplement the lower prices of goods, but it will also have to support dramatically higher operating costs.

Apart from the fact that selling goods below cost in stores that cannot cover their operating expenses is an unsustainable model, the other problem with state-sponsored grocery stores is that they make it difficult for the private sector to compete. Private grocers and bodega associations have protested the decision. A bodega trade group, the United Bodegas of America, representing roughly 14,000 businesses, is preparing a lawsuit arguing that the taxpayer-subsidized stores create unfair competition, both on pricing and through the use of rent-free city land.

John Catsimatidis, CEO of Gristedes and D’Agostino’s, has threatened multiple times over more than a year to close, sell, or relocate his stores. Before the election, he told Fox Business, “If the city of New York is going socialist, I will definitely close, or sell, or move or franchise the Gristedes locations,” adding that he would also consider moving his corporate offices to New Jersey.

After Mamdani won the election, Catsimatidis predicted the plan “would collapse our food supply, kill private industry, and drag us down a path toward the bread lines of the old Soviet Union.” More recently, he has said he might relocate operations to Florida instead, citing declining sales and increased shoplifting that he attributes to city policy. He also said profitability has suffered for two years, making layoffs and operational scale-backs more likely. He has not announced a definite timeline for relocation or layoffs and is still evaluating his options.

On the unfair-competition point specifically, Catsimatidis told Fox News Digital, “The people that are going to run those five stores are not going to pay any real estate taxes, not going to pay any rent,” adding, “If I don’t pay any rent or real estate taxes, I can bring down the cost of a product 20% across the board.”

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San Francisco Dems move to break with state party to oppose ‘Billionaire Tax’

In a move signaling a deepening ideological rift within Northern California’s political establishment, leaders of the San Francisco Democratic County Central Committee (DCCC) are preparing to formally oppose Proposition 40, breaking ranks with the California Democrat Party.

The statewide measure, known as the Billionaire Tax Act, was narrowly endorsed by the state party’s executive board following an intense debate, setting the stage for an unprecedented local rebellion in one of the nation’s most left-wing strongholds.

To clear the path for this rare divergence, the San Francisco DCCC quietly altered its local bylaws to allow the party committee to take an independent position on statewide ballot initiatives when the state party’s stance conflicts with local priorities.

While state party rules strictly forbid local chapters from endorsing alternative candidates, ballot measures reportedly fall into a procedural loophole, allowing San Francisco leaders to break from the broader party platform.

Proposition 40 would levy a one-time 5% wealth tax on the state’s roughly 200 billionaires, generating an estimated $100 billion primarily designated to backfill projected federal cuts to Medi-Cal, California’s healthcare program for low-income residents, non-citizens and illegal aliens.

Despite the measure’s strong backing from healthcare unions, Senator Bernie Sanders (I-Vt.), and Representative Ro Khanna (D-Calif.), local party leaders in San Francisco have expressed deep skepticism over its economic ramifications.

San Francisco DCCC Chair Nancy Tung and prominent local “moderate” figures argue that the measure poses a severe threat to California’s fragile budget dynamics. Opponents warn that an aggressive targeted tax will accelerate an exodus of high-net-worth individuals and corporate headquarters out of San Francisco and the whole state, ultimately gutting broader income tax revenues.

In taking this stance, the local committee aligns itself with Democrat leaders who also oppose the proposition, including Governor Gavin Newsom (D-Calif.), gubernatorial candidate Xavier Becerra, Mayor Daniel Lurie and organizations like Planned Parenthood.

Meanwhile, the impending vote has notably drawn criticism from more far-left members inside the local committee, who argue that defecting from the state party “undermines Democrat unity” and “shields the ultra-wealthy from contributing to basic social safety nets.”

However, with more moderate members holding a majority on the committee, the local party is widely expected to vote against Proposition 40 ahead of the upcoming election.

Beyond the ideological issues, the potential break carries financial implications for local campaign operations. Aligning against the initiative positions the local party to receive substantial financial support from well-funded anti-tax committees, tech leaders and venture capitalists who are pouring tens of millions of dollars into defeating Proposition 40.

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Socialist Leader Says Quiet Part Out Loud: Affordability Pitch Masks “Guerrilla Class War” To “Bleed Enemy Dry”

We have extensively profiled how communism is on the rise in America and how the Democratic Party has served as its primary vehicle into mainstream electoral politics. The Marxists in the Democratic Socialists of America have a platform that, in the long run, has very little to do with affordability but everything to do with what some of their leaders have described, in their own words, as “destroying the nation from within.”

DSA members are hell-bent on breaking down capitalism and the current form of the United States as we know it. One of their tactics is to ignite a Marxist class war, or class struggle, which is a conflict between economic classes over wealth, political power and control of production.

The idea that DSA is seeking to start a Marxist class war is not based on speculation but is, yet again, part of the plan to destroy capitalism, according to DSA National Political Committee member Cliff Connolly.

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US Set to Impose 50% Tariffs on $20 billion Worth of Canadian Products

The United States is set to impose 50% tariffs on $20 billion worth of Canadian products early Saturday after last-ditch negotiations failed to resolve the latest strain in already tense relations between the historic allies.

President Donald Trump’s import taxes will hit about 5% of what Canada ships to the United States every year, including products ranging from hockey sticks to tongue depressors.

“Tonight, Canada declined to finalize the trade deal under the terms agreed earlier this week. Despite the U.S. offer to Canada to receive the best treatment of any major exporter to our market, new demands and walk backs of other commitments by Canada have upended the careful balance reached in the past days,” U.S. Trade Representative Jamieson Greer said in a statement read to reporters on a press call shortly before midnight.

Canadian Prime Minister Mark Carney responded, “Last-minute changes in the U.S. proposed terms were unfair, uneconomic, and called into question the reliability of any deal.”

Carney said his government would announce additional support for Canadian workers and businesses in the coming days.

Greer said the U.S. offer was “forward-looking” and included “a historic economic and national security partnership.”

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