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White House "Minnesota and other Democratic states to investigate government subsidy fraud"
  • Yonhap News
  • January 1, 2026 at 8:47 AM
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  • Revit Spokesperson Announces Expansion of Investigation into Welfare Benefit Fraud Scandal


White House spokesperson Caroline LevittWhite House spokesperson Caroline Levitt. Reuters Yonhap News

The U.S. Donald Trump administration suggested on the 31st (local time) that the ongoing large-scale investigation and probe into welfare benefit fraud in Minnesota would extend to other Democratic states.


Caroline Levitt, White House spokesperson, said in an interview with Fox News that day, "While Minnesota is the priority right now, we know this has been happening in other 'Blue States' across the country."


"Look at California. Look at New York," she emphasized, "These states will all be subject to investigation and review under this administration."


Blue refers to the symbolic color of the Democratic Party, the current opposition party in the United States, and signifies states governed by governors from the Democratic Party.


The governor of Minnesota is Tim Walz, who was the Democratic vice-presidential nominee in the last presidential election. California and New York are also led by Democratic governors, Gavin Newsom and Kathy Hochul, respectively.


In Minnesota's case, a significant Somali immigrant community resides there, leading President Trump, who has been particularly sensitive to illegal immigration, to consistently pressure the community, including announcing plans for mass deportations of Somalis.


Furthermore, claims have emerged that some of the funds embezzled through subsidy fraud in Minnesota have been funneled to Islamic militant groups in Somalia, escalating the issue beyond simple corruption to a matter of 'national security'.


The situation has escalated into a 'subsidy embezzlement scandal' gaining national attention, especially after conservative YouTuber Nick Shirley recently released a video showing him visiting childcare facilities in Minnesota that received federal subsidies, only to find them to be ghost facilities with no children present.


The Federal Bureau of Investigation (FBI) and other federal agencies are currently conducting an investigation. The Department of Health and Human Services announced yesterday that it would freeze childcare subsidy payments to Minnesota.


When asked in the interview if 'President Trump wants to revoke the U.S. citizenship of Somalis who have been convicted of fraud', Levitt replied, "Of course. The Department of Homeland Security and the Department of State are currently reviewing it."


He further stated, "Across the country, progressive activists and judges will try to block and obstruct justice. However, they will not be able to stop a president and an entire cabinet acting on behalf of taxpayers who have been deceived by those who exploit our immigration system to enter the U.S. and then extort and steal American money without loving America or respecting its values, whether in Minnesota or across the nation," he emphasized.


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