Trump Accuses Governors Newsom and Walz of Widespread Fraud Amid Minnesota Scandal
WASHINGTON, D.C. — President Donald Trump launched a fierce attack on California Governor Gavin Newsom and Minnesota Governor Tim Walz on December 31, 2025, accusing their states of being “awash with fraud” amid ongoing investigations into alleged financial misconduct. In a series of posts on his social media platform, Trump labeled both governors as “Crooked Governors” and claimed that California and Minnesota are tied for first place in fraud cases, including election fraud.
Trump’s criticism extended to Rep. Ilhan Omar, D-Minn., whom he described as “an ungrateful loser” and accused of contributing to the fraud problem allegedly linked to illegal immigration from Somalia. “Much of the Minnesota Fraud, up to 90%, is caused by people that came into our Country, illegally, from Somalia,” Trump wrote. He further questioned Omar’s personal background and called for deportations, asserting, “Send them back from where they came, Somalia, perhaps the worst, and most corrupt, country on earth. MAKE AMERICA GREAT AGAIN!!!”
The former president’s remarks come amid heightened scrutiny of Minnesota’s handling of childcare funding. Federal authorities have been investigating allegations that the state funneled millions of taxpayer dollars to fraudulent daycare providers over the past decade. In response, the Department of Health and Human Services’ Deputy Secretary Jim O’Neill announced a freeze on all childcare payments to Minnesota and activated a nationwide system requiring justification and proof for all Administration for Children and Families (ACF) payments. This move underscores the gravity of the allegations and the federal government’s intent to clamp down on misuse of funds.
The Immigration and Customs Enforcement agency has also reportedly conducted probes into suspected fraud sites in Minnesota, following a potential $9 billion money trail tied to the scandal. These investigations have drawn bipartisan attention, with Minnesota House Fraud Committee Chair Kristin Robbins emphasizing the need to hold accountable those responsible for the fraud.
Governor Newsom’s office swiftly responded to Trump’s accusations by calling the former president “a deranged, habitual liar whose relationship with reality ended years ago.” The governor’s press office highlighted Newsom’s efforts to combat fraud, stating that his administration has blocked over $125 billion in fraudulent claims, arrested individuals exploiting taxpayers, and protected public funds from scams. The office also criticized Trump for pardoning individuals involved in criminal activities, contrasting it with Newsom’s approach.
While Fox News Digital reached out to the offices of Rep. Omar and Governor Walz for comment, no immediate responses were received. Governor Walz, who has faced criticism over Minnesota’s sanctuary laws and the fraud scandal, has maintained that his administration is cooperating fully with federal investigations and committed to rooting out corruption.
The controversy adds to the political tensions as the 2026 election cycle approaches, with Trump continuing to position himself as a champion against corruption and fraud. His comments also reflect ongoing debates about immigration policy and its impact on public resources, a central theme in his political rhetoric.
For more on the federal response to fraud allegations, visit the Department of Health and Human Services and the Administration for Children and Families. Details on immigration enforcement can be found at the Immigration and Customs Enforcement website.

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