Trump Announces California’s Time Has Come – ‘Fraud Investigation’ Underway

President Donald Trump announced Tuesday that California’s gamut of federally funded programs will now come under federal scrutiny.

“California, under Governor Gavin Newscum, is more corrupt than Minnesota, if that’s possible???” Trump posted Tuesday on .

“The Fraud Investigation of California has begun. Thank you for your attention to this matter!” Trump wrote.

Recent weeks have revealed massive fraud in Minnesota that centered around housing and social services programs.

Why is it so stunningly easy to defraud the State of California? 1.2 million fake community college applications. $32 billion in unemployment fraud. $24 billion in homeless funds lost. $17 billion on a nonexistent High-Speed Rail. $650 million on a cancelled 911 system. We need… pic.twitter.com/e8ZWiD6ffu

— Kevin Kiley (@KevinKileyCA) January 1, 2026

Trump’s post follows a report that California will be among five states targeted for a funding freeze that covers many social services programs, according to The New York Times.

The Times report said money heading to Minnesota, New York, California, Illinois, and Colorado through the Temporary Assistance for Needy Families will be paused. The report said the states collectively will be blocked from getting about $7 billion in funding.

President Trump announces fraud investigation into California under Gavin Newsom, declares it “more corrupt than Minnesota” pic.twitter.com/lp98AaLYE6

— America (@america) January 6, 2026

A further $2.4 billion from the Child Care Development Fund will be blocked, the report said, as well as another $870 million in social services grants.

Andrew Nixon, a representative of the Department of Health and Human Services, said what has been uncovered in Minnesota was one trigger for the freeze.

“Democrat-led states and governors have been complicit in allowing massive amounts of fraud to occur under their watch,” he said. “Under the Trump administration, we are ensuring that federal taxpayer dollars are being used for legitimate purposes.”

It’s been 5 years since the State Auditor found the Newsom Administration allowed $32 billion in unemployment fraud after ignoring “repeated warnings.” Yet the Auditor just found that billions in EDD fraud continues to this day.

California is truly America’s Fraud Capital. pic.twitter.com/8AWbOQrpBP

— Kevin Kiley (@KevinKileyCA) January 5, 2026

On Monday, Trump teed off on Democratic Minnesota Gov. Tim Walz, the 2024 Democratic vice president candidate, after Walz announced he would not seek a third term in office.

“Minnesota’s Corrupt Governor will possibly leave office before his Term is up but, in any event, will not be running again because he was caught, REDHANDED, along with Ilhan Omar, and others of his Somali friends, stealing Tens of Billions of Taxpayer Dollars,” Trump posted on .

“I feel certain the facts will come out, and they will reveal a seriously unscrupulous, and rich, group of ‘SLIMEBALLS,’” Trump posted.

“Governor Walz has destroyed the State of Minnesota, but others, like Governor Gavin Newscum, JB Pritzker, and Kathy Hochul, have done, in my opinion, an even more dishonest and incompetent job. NO ONE IS ABOVE THE LAW!” Trump wrote.

Earlier this week, the Trump administration unleashed an immigration crackdown on Minnesota, sending about 2,000 agents and officers from U.S. Immigration and Customs Enforcement and Homeland Security Investigations to focus on the Minneapolis-St. Paul region, according to CBS News.

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