Trump formally names Vance chair of fraud task force — with California, New York among states in crosshairs

by Steve Nelson, NY Post, March 1, 2026

WASHINGTON — President Trump signed an executive order Monday afternoon formally creating a benefits-fraud task force chaired by Vice President JD Vance as part of his state-focused “war on fraud.”

Vance joined Trump in the Oval Office for the event, the details of which were first reported ahead of time by The Post.

“It seems that it’s usually in blue states. If it’s in a red state, we’re going there too,” said Trump, focusing his ire on the social-services scandal in Minnesota.

Trump joked that Vance would fulfill his fraud-czar duties with greater zeal than former Vice President Kamala Harris embraced her role as President Biden’s border czar.

“This will not be like a Kamala where she was put in charge of the border and she never went there. JD, right, you promise?” the president said, with Vance agreeing.
 

It is my belief that EVERY DOLLAR of our $38 Trillion Debt was money STOLEN by the Communists pretending to be Democrats to fund the overthrowing of our nation and the destruction on Western Civilization. Stopping the Fraud in no where near enough! Lots of people need to go to… https://t.co/ZG4doVYZos

— Tom Zawistowski (@TomZWTPC) March 17, 2026

A document describing the order said that, in addition to Minnesota, “there is strong reason to believe similar vulnerabilities exist in California, Illinois, New York, Maine, and Colorado, where insufficient safeguards and weak oversight increase the risk of large-scale fraud.”

“We know California is many times worse, but Minnesota is terrible,” Trump said.

“They’re all terrible. Those cities are terrible. New York is terrible. What’s going on in Chicago, Illinois, with that slob of a governor, is terrible.”

Vance spoke about fraud in Minnesota, including phony autism care at facilities run by Somali-American immigrants.

“Unfortunately, that kind of fraud is one example of probably hundreds just within the state of Minneapolis, and then it’s repeated and replayed all over the United States of America,” Vance said.

The Trump administration estimates fraud in Minnesota alone at $19 billion, with dozens charged criminally. Democratic Gov. Tim Walz expressed regrets during a recent congressional hearing and noted that he has accepted responsibility by ending his re-election campaign.

“We started to figure out one big hole that existed is that the agencies of the government weren’t actually talking to each other,” Vance said.

“So Treasury would have evidence of financial fraud but wasn’t talking to the Department of Justice about it. Health and Human Services had evidence of Medicaid fraud but wasn’t talking to the Department of Treasury about it.”

Federal Trade Commission Chairman Andrew Ferguson will assist Vance as vice chair of the Task Force to Eliminate Fraud and White House aide Stephen Miller will serve as senior adviser. Cabinet members will participate as necessary.

The EO instructs the task force to develop a comprehensive national strategy against fraud impacting programs administered with state and local governments to provide housing, food, medical and financial assistance.

The order calls for the development of anti-fraud standards such as proof of identity and other documentation requirements, as well as audits.

“In states across the country, fraudsters are depriving vulnerable citizens of basic social services, stealing billions of your tax dollars, and eroding America’s social fabric,” a Vance spokesperson told The Post.

READ: Nick Shirley Exposes Lavish 'Hospice' Industry in New California Fraud Investigation

“This fraud has happened on such a massive scale that it’s endangering the future viability of America’s entire social safety net.

The task force will form on the heels of Trump nominating Colin Macdonald to serve as the Justice Department’s first assistant attorney general for fraud enforcement.

Vance’s planned role leading the task force was first reported by CBS News on Feb. 4.

Trump announced the initiative at his annual State of the Union address to Congress this past Feb. 24.

The following day, Vance and Dr. Mehmet Oz, administrator of the Centers for Medicare & Medicaid Services, announced that $259.5 million in Medicaid funds for Minnesota would not be reimbursed due to fraud concerns — giving Democratic Gov. Tim Walz 60 days to submit a “corrective action plan” or face further withholdings.

The VP also announced a national pause on firms that can seek subsidies through Medicare for durable medical equipment like canes and walkers.

Here is the Executive Order:

ESTABLISHING THE TASK FORCE TO ELIMINATE FRAUD: Today, President Donald J. Trump signed an Executive Order creating the Task Force to Eliminate Fraud, which will advise the President and coordinate government-wide efforts to combat widespread fraud, waste, and abuse in Federal benefit programs.

• The Vice President will serve as Chair of the Task Force, the Chairman of the Federal Trade Commission will serve as Vice Chairman, the Assistant to the President for Homeland Security will serve as Senior Advisor, and an Executive Director will manage daily operations. Relevant cabinet secretaries and heads of government agencies will serve as Task Force members.
• The Order directs the Task Force, on behalf of the President, to coordinate a comprehensive national strategy to stop fraud, waste, and abuse across Federal benefit programs, including housing, food, medical care, and cash assistance administered with State and local partners, in order to protect these benefits for eligible Americans.
  • The Task Force will coordinate measures to improve eligibility verification, implement pre-payment controls, detect high-risk fraud trends, and disrupt and dismantle fraud networks and the mechanisms through which fraud is committed.
  • The Task Force will also coordinate development of minimum anti-fraud requirements to prevent exploitation of taxpayer-funded benefits, including proof of identity and documentation requirements, risk controls, and audit and remedial actions, while each member agency’ works to develop a measurable implementation plan.
• The Task Force will provide frequent updates to the President regarding its work.

STOPPING FRAUD, WASTE, AND ABUSE IN FEDERAL BENEFITS: President Trump is restoring the integrity of taxpayer-funded safety-net programs that have been exploited by illegal aliens, criminals, foreign gangs, bureaucrats, and non-governmental organizations.

• States administer many of these benefit programs funded by the Federal Government, yet some have embraced policies that avoid individual eligibility validation, permit self-certification, and expand eligibility far beyond Congressional intent, while refusing to even share enrollee data necessary for reasonable Federal oversight — creating systemic vulnerabilities that enable fraud at massive scale.
  • In July 2025, 21 states filed a lawsuit in California seeking to block the federal government from even conducting a basic review to determine whether their enrollees are in fact eligible for taxpayer-funded benefits under the Supplemental Nutrition Assistance Program.
• In Minnesota alone, Medicaid fraud could total billions. Nearly 9% of food stamp spending is in error, and scams like Feeding Our Future stole nearly $250 million intended for needy children.
  • Hundreds of millions in Federal childcare funding were stolen by an organized ring involving Somali immigrants, spent to purchase cars, property, and luxury travel, and even allegedly funneled to one of Africa’s most heinous terror groups — all while State officials ignored or failed to detect the fraud.
• There is strong reason to believe similar vulnerabilities exist in California, Illinois, New York, Maine, and Colorado, where insufficient safeguards and weak oversight increase the risk of large-scale fraud.
• Fraud and mismanagement of these programs constitute theft from American taxpayers and eligible beneficiaries, contribute to inflation in essential goods and services, and add to the national debt.
• The Biden Administration weakened Federal oversight by reducing commonsense verification safeguards, expanding access without adequate controls, tolerating unacceptable error rates, and creating conditions in which fraud was institutionally enabled and tolerated.
• President Trump is committed to safeguarding Federal benefits for American citizens who are truly in need, rather than allowing them to become a free pass for fraud.