Trump Officially Declares ‘War On Fraud,’ Vance to Lead

The Center SquarePublished: February 25, 2026

WASHINGTON, DC - FEBRUARY 24: U.S. President Donald Trump delivers the State of the Union address during a joint session of Congress in the House Chamber at the Capitol on February 24, 2026 in Washington, DC. Trump delivered his address days after the Supreme Court struck down the administration's tariff strategy, and amid a U.S. military buildup in the Persian Gulf threatening Iran. (Photo by Kenny Holston-Pool/Getty Imag

(The Center Square) - President Donald Trump officially declared a "war on fraud" during his State of the Union address on Tuesday night. He named Vice President JD Vance as the leader of the task force to fight fraud.

Trump claimed Somali fraud is up to $19 billion in Minnesota, greater than has previously been reported. He said it was "the kind of corruption that shreds the fabric of a nation."

Trump suggested the efforts to tackle fraud could be used to balance the federal government's budget. The U.S. national debt is more than $38 trillion.

WASHINGTON, DC - FEBRUARY 24: Vice President JD Vance and Speaker Mike Johnson applaud as U.S. President Donald Trump delivers the State of the Union address during a joint session of Congress in the House Chamber at the Capitol on February 24, 2026 in Washington, DC. Trump delivered his address days after the Supreme Court struck down the administration's tariff strategy, and amid a U.S. military buildup in the Persian Gulf threatening Iran. (Photo by Kenny Holston-Pool/Getty Images)

"The Somali pirates who ransacked Minnesota remind us that there are large parts of the world where bribery, corruption and lawlessness are the norm, not the exception," Trump said.

Trump blamed unrestricted immigration and open borders for the fraud issues. He said fraud leads to higher medical bills, car insurance, rent and taxes

Fraud allegations resurfaced in November when reports stated millions of taxpayers' dollars were stolen from the state's welfare system and sent to a Somali-based terror group. Dozens have already been convicted on fraud charges.

The allegations continued after conservative content creator Nick Shirley visited day care centers in Minnesota, alleging $110 million in fraud were spent in the child care centers. Minnesota Gov. Tim Walz dropped out of the race for another term after allegations of fraud intensified.

Trump suggested California, Massachusetts and Maine are "even worse" in terms of fraud.

The president said the "war on fraud" began four months ago but stated he was officially announcing it on Tuesday night. The Trump administration has taken steps to cut funding for child care programs in states across the country.

The administration froze $10 billion in federal child care funding to California, Colorado, Illinois, Minnesota and New York in January. Courts have sued to stop the freeze of funds. The administration has also sought to implement more rigorous verification methods for federal payments to child care facilities across the country.

Trump did not specify new details of the "war on fraud" during his address.

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Filed Under: Fraud, Donald Trump, politics

Categories: State News