WASHINGTON—Daily Wire investigative reporter Luke Rosiak will testify before the United States Senate this week on a federal DEI program riddled with waste, fraud, and abuse.
Rosiak will address lawmakers during a Senate Small Business and Entrepreneurship Committee hearing titled &#8220;Running Government Like a Small Business: Cut Waste, Crush Fraud.&#8221; He will speak on the 8(a) program, one of the largest and oldest DEI initiatives in the country, which affects contracts at almost all federal agencies. Rosiak has led the charge in exposing problems with 8(a), which sets aside government contracts for firms run by members of certain &#8220;disadvantaged&#8221; classes, largely racial and ethnic minorities.
Rosiak, who last month won the<a href="https://www.dailywire.com/news/daily-wires-luke-rosiak-wins-investigative-journalism-award-for-best-doge-reporting" target="_blank" rel="noopener"> 2025 Dao Prize</a> for his work covering extraordinary government waste, has exposed countless<a href="https://www.dailywire.com/news/core-part-of-minority-contracting-program-is-illegal-judge-said?author=Luke+Rosiak&amp;category=News&amp;elementPosition=5&amp;row=0&amp;rowType=Vertical+List&amp;title=The+Core+Part+Of+This+Federal+Race-Based+Contracting+Program+Is+Illegal%2C+Judge+Says" target="_blank" rel="noopener"> 8(a) program abuses.</a> The Department of Justice found that the 8(a) program had been exploited to carry out a<a href="https://www.justice.gov/opa/pr/usaid-official-and-three-corporate-executives-plead-guilty-decade-long-bribery-scheme" target="_blank" rel="noopener"> $550 million bribery scheme</a> over several decades. The program became vulnerable to abuse through &#8220;pass-through&#8221; fraud, in which minority-owned businesses would win a federal contract through a no-bid process, collect a cut of the funds, and then subcontract another company to do the actual work needed for the contract.
Treasury Secretary Scott Bessent and Small Business Administration Administrator Kelly Loeffler are investigating the misuse, which independent journalist James O&#8217;Keefe describes as a potential<a href="https://x.com/JamesOKeefeIII/status/1980344367014429114" target="_blank" rel="noopener"> $100 billion scandal</a>.
The upcoming hearing aims to highlight the full extent of the waste, fraud, and abuse that investigators say took place. Senator Joni Ernst (R-IA), who chairs the small business committee, recently introduced the<a href="https://www.ernst.senate.gov/news/press-releases/ernst-introduces-bill-to-halt-fraud-filled-sba-program" target="_blank" rel="noopener"> Stop 8(a) Contracting Fraud Act</a> to place a hold on all new no-bid federal contracts until the 8(a) program, dramatically expanded under President Joe Biden as part of a DEI initiative, undergoes a full audit.
While Rosiak will focus on fraud within the 8(a) program, two other witnesses will address additional areas of waste, including misuse of COVID funds and USAID grants: Open the Books CEO John Hart, and Courtney LaFountain, Acting Director of the Government Accountability Office.
“If a small business treated their finances like the government treats tax dollars, they would go out of business,” Ernst said. “This has always been an issue in Washington, but under Joe Biden it became an all-you-can-eat buffet of waste, fraud, and abuse with criminals and con artists cashing in while hardworking Americans were left out in the cold. I look forward to hearing from our expert witnesses on where Congress should focus our continued efforts to downsize the bloated bureaucracy, increase government efficiency, and best serve small businesses.”
The hearing will take place on Wednesday, December 10 at 2:30 p.m.

IMG_3502

Daily Wire’s Luke Rosiak Will Testify Before The Senate On Massive Federal DEI Scheme

Daily Wire

Fraud

Joni Ernst

Luke Rosiak

Senate

Federal immigration authorities nabbed violent Somali offenders, including a gangbanger and a pedophile, as part of a recent operation targeting Minneapolis.
More than 100 ICE officers from across the country were deployed to Minneapolis this week to target roughly 500 Somalis with deportation orders, Homeland Security sources recently revealed to <a href="https://www.dailywire.com/news/trump-admin-sends-ice-to-minneapolis-to-nab-hundreds-of-somali-illegal-immigrants?author=Jennie+Taer&amp;category=News&amp;elementPosition=5&amp;row=0&amp;rowType=Vertical+List&amp;title=Trump+Admin+Sends+ICE+To+Minneapolis+To+Nab+Hundreds+Of+Somali+Illegal+Immigrants">The Daily Wire</a>. Within less than a week, ICE took several violent offenders off the streets.
Among them was Abdulkadir Sharif Abdi, a former member of the Gangster Disciples and current member of the Vice Lord Nation gang, according to the Department of Homeland Security. Abdi also had convictions for fraud, receiving stolen property, receiving a stolen vehicle, vehicle theft, and multiple probation violations.
The feds also snatched pedophile Sahal Osman Shidane, who was convicted of criminal sexual conduct with a minor aged 13-15, according to the Department of Homeland Security.
The Trump administration placed the blame on the &#8220;sanctuary&#8221; leaders in Minnesota who allow illegal immigrant criminals to walk out of jails and onto the streets.
“Sanctuary policies and politicians like Tim Walz and Minneapolis Mayor Jacob Frey allowed these pedophiles, domestic terrorists, and gang members to roam the streets and terrorize Americans,” Homeland Security Assistant Secretary Tricia McLaughlin said in a statement Friday.
“ICE law enforcement are risking their lives to protect Minnesotans while their own elected officials sit by and do nothing. No matter when and where, ICE will find, arrest, and deport ALL criminal illegal aliens,&#8221; McLaughlin added.
The Trump administration set its sights on Minnesota after fraudsters in the sanctuary state allegedly stole billions of taxpayer funds, funneling cash from state welfare programs through fake nonprofits and shell companies back to Somalia — and even Somali terrorist group Al-Shabaab, City Journal <a href="https://www.city-journal.org/article/minnesota-welfare-fraud-somalia-al-shabaab" target="_blank" rel="noopener">reported</a> last month.
Much of the fraud has been tied to the state&#8217;s massive Somali population. Seventy-eight Somalis have so far been charged for their alleged roles in the fraud operation, White House Press Secretary Karoline Leavitt revealed during a recent press conference.
In one case, a nonprofit allegedly used federal funds meant to feed thousands of children during COVID to buy homes, luxury cars, and real estate in Turkey and Kenya, according to one example provided by Leavitt.

Untitled design – 2025-12-05T100321.233

ICE Nabs Violent Somalis Including Gangbanger And Pedophile In Minneapolis Raids

ICE Nabs Somali Gangbanger Fraudster, Pedophile In Minneapolis Raids

Crime

Illegal Immigration

Immigration and Customs Enforcement

Minneapolis

Somalia

Democrat Rep. Ilhan Omar (MN) suggested on Wednesday that Trump supporters might use violence against Somali migrants, while she brushed off a massive Somali-connected fraud scandal in Minnesota that cost taxpayers billions of dollars.
Omar <a href="https://www.cnn.com/2025/12/03/us/video/donald-trump-immigration-somali-somalia-ice-deportation-border-illegal-jake-tapper-lead">told</a> CNN host Jake Tapper that Trump&#8217;s comments about the fraud scandal, and, in particular, Somali immigrants, &#8220;creates fear.&#8221;
&#8220;And there is a possible danger that a lot of the people who follow the president have exhibited violence in many cases, especially in my case, whenever he has said something about me that is derogatory or says I&#8217;m a threat to the country, I have gotten death threats,&#8221; the Democrat said.
&#8220;There are so many people that have been incarcerated over the years that have been encouraged by the president&#8217;s words,&#8221; Omar claimed. &#8220;And so there is fear for Somalis, not just in Minnesota, but across the country, that some of these people might attack and harm them.&#8221;
&#8220;And so, to me, it is important for us, one, to remind folks that we are Americans,&#8221; she added. &#8220;We’re not going anywhere, and we will continue to be in this country. And two, that Minnesotans are resilient, and we will continue to thrive.&#8221;
Further, Omar brushed off the fraud scandal when she was pressed about its concentration in Minnesota by Tapper. The rep merely blamed a lack of &#8220;guardrails&#8221; because the schemes started during COVID, though Omar notably did not condemn the fraud during the segment.
The fraud scheme in Minnesota deals with billions of stolen taxpayer dollars during the tenure of Democrat Gov. Tim Walz. Notably, it&#8217;s been largely tied to the Somali community, and some stolen money was allegedly funneled to Al-Shabaab terrorists, according to <a href="https://www.city-journal.org/article/minnesota-welfare-fraud-somalia-al-shabaab">City Journal</a>.
<blockquote class="twitter-tweet" data-media-max-width="560">
🚨🇺🇸 JAKE TAPPER ASKS OMAR WHY MINNESOTA FRAUD GOT SO OUT OF CONTROL&#8230; SHE BLAMES &#8220;GUARDRAILS&#8221;
CNN&#8217;s Jake Tapper pressed Rep. Ilhan Omar on why the $1 billion Feeding Our Future fraud scheme involving mostly Somali perpetrators spiraled so badly in her state.
Her answer… <a href="https://t.co/wacQffwL8S">pic.twitter.com/wacQffwL8S</a>
— Mario Nawfal (@MarioNawfal) <a href="https://twitter.com/MarioNawfal/status/1996395142001864889?ref_src=twsrc%5Etfw">December 4, 2025</a></blockquote>
Trump on Tuesday railed against Somali migrants, who he said &#8220;ripped off&#8221; taxpayers and, generally, contribute &#8220;nothing&#8221; to the U.S., citing a welfare rate of 88%.
&#8220;I hear &#8230; Somalians ripped off that state for billions of dollars, billions, every year,&#8221; the president said. &#8220;And they contribute nothing. Their welfare [rate] is like 88% — they contribute nothing.&#8221;
&#8220;I don&#8217;t want &#8217;em in our country, I&#8217;ll be honest with you. Some will say, &#8216;Oh, that&#8217;s not politically correct.&#8217; I don&#8217;t care,&#8221; Trump continued. &#8220;I don&#8217;t want them in our country.&#8221;
&#8220;Their country is no good for a reason, their country stinks, and we don&#8217;t want them in our country. I could say that about other countries, too,&#8221; he said. &#8220;We have to rebuild our country — our country is at a tipping point. We can go one way or the other, and we are gonna go the wrong way if we keep taking in garbage into our country.&#8221;
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Referring to Omar and &#8220;her friends,&#8221; Trump added, &#8220;These aren&#8217;t people who work; these aren&#8217;t people who say, &#8216;Let&#8217;s go, let&#8217;s make this place great.&#8217; These are people who do nothing but complain, and from where they came from, they got nothing.&#8221;
&#8220;When they come from hell, and they complain and do nothing but b****, we don&#8217;t want them in our country. Let them go back from where they came from and fix it. We don&#8217;t want them in our country,&#8221; he said.
<blockquote class="twitter-tweet" data-media-max-width="560">
🚨BREAKING: President Trump has HAD IT with these illegal aliens that are RIPPING-OFF our Country.
&#8220;Somalians—They contribute nothing!&#8221;
&#8220;I don&#8217;t want them in our country, I&#8217;ll be honest with you. Some will say that it is not politically correct. I DON&#8217;T CARE!&#8221;
&#8220;Their country… <a href="https://t.co/SjUf4M8XT6">pic.twitter.com/SjUf4M8XT6</a>
— The Patriot Oasis™ (@ThePatriotOasis) <a href="https://twitter.com/ThePatriotOasis/status/1995934088042082811?ref_src=twsrc%5Etfw">December 2, 2025</a></blockquote>
Reacting to Trump&#8217;s comments, Omar claimed Trump often uses &#8220;very bigoted, xenophobic, Islamophobic, racist rhetoric.&#8221;
&#8220;I’m not shocked, because we know that the president oftentimes resorts to very bigoted, xenophobic, Islamophobic, racist rhetoric when he is trying to scapegoat and deflect from the actual failures that he has himself,&#8221; she said. &#8220;We know that this administration has not fulfilled the majority of the promises that they’ve made, whether it is bringing costs down, whether it is the tariffs that are decimating businesses in the United States, whether it is the possible war crimes that his defense secretary is committing.&#8221;
<blockquote class="twitter-tweet" data-media-max-width="560">
Rep. Ilhan Omar responds to Trump&#8217;s attacks: He&#8217;s trying to &#8216;deflect&#8217; from his &#8216;failures&#8217; 
Watch the full video: <a href="https://t.co/v0DRknaiiC">https://t.co/v0DRknaiiC</a> <a href="https://t.co/bpZ0KxMxLf">pic.twitter.com/bpZ0KxMxLf</a>
— The Lead CNN (@TheLeadCNN) <a href="https://twitter.com/TheLeadCNN/status/1996373733494382763?ref_src=twsrc%5Etfw">December 4, 2025</a></blockquote>
Omar has notably used extreme language when it comes to President Trump. Just last month, the rep seemed to openly threaten anyone &#8220;collaborating&#8221; with the Trump administration.
<blockquote class="twitter-tweet">
Shockingly dangerous: Ilhan Omar openly threatens anyone &#8220;collaborating&#8221; with the Trump administration during a recent organizing call for May Day Strong.
She tells her radical base to make them &#8220;pay a costly price&#8221; at a time when their &#8220;price&#8221; is increasingly assassination. <a href="https://t.co/NpAghfrAV1">pic.twitter.com/NpAghfrAV1</a>
— Tudor Dixon (@TudorDixon) <a href="https://twitter.com/TudorDixon/status/1996583701744959943?ref_src=twsrc%5Etfw">December 4, 2025</a></blockquote>
Related: <a href="https://www.dailywire.com/news/tim-walz-just-unleashed-a-paid-leave-plan-for-minnesota-that-includes-illegal-immigrants?author=Amanda+Prestigiacomo&amp;category=News&amp;elementPosition=0&amp;row=0&amp;rowType=Vertical+List&amp;title=Tim+Walz+Just+Unleashed+A+Paid+Leave+Plan+For+Minnesota+That+Includes+Illegal+Immigrants">Tim Walz Just Unleashed A Paid Leave Plan For Minnesota That Includes Illegal Immigrants</a>

Rep. Ilhan Omar Holds News Conference To Discusses Changes Required To Address Systemic Racism

Ilhan Omar Says Trump Supporters Might Attack Somalis, Brushes Off Fraud Scandal

Donald Trump

Ilhan Omar

Islam

Minnesota

Politics

President Trump is now activating Immigration and Customs Enforcement to go after Somali illegal immigrants in Minneapolis. This follows the reports about large-scale Somali welfare fraud, including the attempt by many members of the Somali community to defraud the federal and state governments during the pandemic. A lot of that money ended up going in remittances back to Somalia.
On Tuesday, President Trump’s overall take was that the United States needs to radically limit immigration from places like Somalia.
That is correct, because not all countries are going to be equally useful as sources of migrants to the United States. The people who come from many of these countries do not have any sort of cultural habits that mesh well with the United States.
The president <a href="https://www.mediaite.com/politics/trump-declares-i-dont-want-somalis-in-the-us-that-is-not-politically-correct-i-dont-care/">stated</a> that he doesn&#8217;t want Somalis in the United States, saying:
<blockquote>I hear they ripped off — Somalians — ripped off that state for billions of dollars, billions every year, billions of dollars, and they contribute nothing. The welfare is like 88%. They contribute nothing. I don&#8217;t want them in our country. I&#8217;ll be honest with you. Somebody will say, &#8216;that&#8217;s not politically correct,&#8217; I don&#8217;t care. I don&#8217;t want them in our country. Their country&#8217;s no good for a reason.</blockquote>
When the president says, as a general point, that he does not want Somalis in the country,  that they&#8217;re coming from a culture that does not mesh well with the United States, is he wrong about that? As a general rule, is that wrong?
On Tuesday, the administration unveiled a new regulation that would prevent immigration applications from citizens of 19 countries already covered by President Trump&#8217;s travel bans. Right now, there&#8217;s a travel ban that says if you&#8217;re coming from Iran, Venezuela, or Haiti, you&#8217;re not going to get a travel visa. Now he&#8217;s extending that into a pause on all immigration applications from those 19 countries.
All of this raises the question as to whether the United States ought to block immigration from third-world countries. According to the Migration Policy Institute, from 2015 to 2019, Somalis, of all sub-Saharan African immigrants, had the lowest levels of educational attainment. Only 14% held a bachelor&#8217;s degree or higher. Of all immigrants from sub-Saharan Africa, Somali-headed households were the poorest immigrants who came into the United States, and had the lowest median income at $32,000. Somalis in the United States had a 37% poverty rate. Extremely poor, extremely uneducated. Somalis had the highest rates of being uninsured in terms of health insurance: 18%. Somalis had the highest naturalization rate of any of these groups.
<a href="https://www.dailywire.com/episode/ep-2326-trump-blasts-somali-immigrants-media-explodes"><img loading="lazy" decoding="async" class="size-large wp-image-974957" src="https://dw-wp-production.imgix.net/2025/09/511983dad25841c8b1ec058d75769bbe-1024x171.webp" alt="DailyWire+" width="1024" height="171" srcset="https://dw-wp-production.imgix.net/2025/09/511983dad25841c8b1ec058d75769bbe-1024x171.webp 1024w, https://dw-wp-production.imgix.net/2025/09/511983dad25841c8b1ec058d75769bbe-300x50.webp 300w, https://dw-wp-production.imgix.net/2025/09/511983dad25841c8b1ec058d75769bbe-768x128.webp 768w, https://dw-wp-production.imgix.net/2025/09/511983dad25841c8b1ec058d75769bbe-1536x256.webp 1536w, https://dw-wp-production.imgix.net/2025/09/511983dad25841c8b1ec058d75769bbe-2048x341.webp 2048w" sizes=" (max-width: 1024px) 100vw, 1024px" /></a>
So they come here extremely poor, extremely uneducated, with a low income and wealth trajectory. And then they get naturalized at a super-high rate because they want to stay, which anyone would want. This is an amazing country. That, however, does not mean we have an obligation to take in everybody.
When they do earn money, a huge percentage of that money gets sent back to Somalia. And some of that money goes to terrorist groups like al-Shabaab.
This is what President Trump is railing against. You may not like his language. You may think that it&#8217;s colorful or purple or whatever, and that&#8217;s fine. Anyone can be critiqued for the language that they use.
But his general point, that the United States cannot afford to take in waves of extremely poor immigrants who do not cohere with the American system, that we cannot afford to bring in hundreds of thousands of people with actual allegiances to war-torn countries like Somalia, who then take a disproportionate share of our welfare dollars, is true.
So when you hear the argument that this is a country of immigrants, well, yes, it is certainly true that this was a country of settlers, and then it was also a country of immigrants. But the kinds of immigrants you take in help define your country, and the systems that they meet here help define your immigrants.
The reason so many people have left their home countries over the course of centuries to come to the United States is because the United States was a place that guaranteed opportunity, but it did not guarantee a gigantic welfare system that actively prevented assimilation.
We changed our own immigration system. We changed our own incentive structure. And then we were surprised when different people came.
The current argument being made is as though we are welcoming people from Eastern Europe or Italy or Ireland or Germany circa 1903, when there were no robust federal welfare systems in the United States. The income tax wasn&#8217;t even constitutional at that point. There were no robust welfare systems, even at the state level. There was no real attempt by the government to get involved in propping up people who were wildly poor, to the tune of not having to assimilate or get a job.
And so that drew a different kind of person. Yes, it drew people who were desperate, but the people who were desperate recognized that their path forward lay in embracing Anglo-American legal ideas, lay in embracing Biblical values , and embracing and assimilating to American rights and responsibilities, because that was the social safety net.
The social safety net was that you join a community, you come here, you join a church, your friends and your family help you out. But then it is your job to learn English. It is your job to go out and get a job. It is your job to put your kids in the local public school and make sure that they get educated the way Americans ought to be educated.
That is why the assimilated project in the United States was extremely successful up until the welfare era.
And then the welfare era began, and everything changed. And it doesn&#8217;t mean that we didn&#8217;t have extreme conflict over immigration prior to the welfare system. There was huge controversy over the levels of Chinese and Jewish immigration in the early part of the 20th century, and before that, huge levels of ire over Irish immigration in the 1840s, 1850s.
Immigration has always been a real hot point in American politics, because when new people come to a country, the question is, are they going to become part of the system or are they going to tear down the system from within?
The great guarantor that people were going to assimilate was the fact that they didn&#8217;t have a choice. The incentive structure drove them toward assimilation. It drove them toward participation in the American Dream.
And then came the welfare system and an incentive structure that said, “Come here and we give you free stuff; we demand nothing of you; you can do basically whatever you want in terms of employment; you can send all your money back home; you don&#8217;t have to actually try to get involved in the Anglo-American project.”
And we were surprised when we drew a different type of immigrant? That&#8217;s ridiculous.
It&#8217;s the same thing as saying, “I have a donut shop, and my donut shop is a prestige donut shop. You come in here, you can get the best of the best donuts. We go in the back every morning, and we handcraft our donuts. They&#8217;re amazing.”
The constituency drawn to that kind of donut shop is going to be of one particular sort of clientele. But then you decide that you&#8217;re going to change your policy, and you just hang a sign in the front window that says “free donuts.” Who do you think is going to show up? It&#8217;s going to be a very, very different constituency. Pretending otherwise is silly.
This is not the fault of the people attempting to come to the United States. This is the fault of our authorities. This is the fault of the elite in our society who claimed that you could change the entire incentive structure, taking people from cultures that have nothing in common with the United States, and somehow those two things could logically coexist within a similar project.
It&#8217;s ridiculous. And then, of course, if you point this out, you are bigoted or racist.
No, it&#8217;s not bigoted or racist to say that if people come from a place that does not have anything in common with the United States, and there is no actual incentivization toward assimilation, they&#8217;re not going to assimilate.

US-POLITICS-TRUMP-CABINET

Trump Blasts Somali Immigrants

Ben Shapiro

Immigrants

Opinion

Somalis

Terrorists

Welfare

President Trump Orders Hundreds More National Guard Troops to D.C. After Shooting Of Guardsmen

Another Violent Attack From An Immigrant Proves We Need Denaturalization

Afghanistan

Deportations

illegal immigrants

Immigration and Customs Enforcement (ICE)

Matt Walsh

Tim Walz

Virginia

Jurors are outraged after a Minnesota judge overturned the conviction of 45-year-old Abdifatah Yusuf for stealing $7.2 million through a fraudulent health care company.
Yusuf was <a href="https://www.ag.state.mn.us/Office/Communications/2025/08/12_Yusuf.asp">convicted</a> in August of defrauding the state’s Medicaid program after investigators said that he ran a health care company without an office building, operated out of a mailbox. On Thursday, Minneapolis Judge Sarah West acquitted Yusuf, arguing that the prosecution’s case was built on circumstantial evidence.
According to <a href="https://www.ag.state.mn.us/Office/Communications/2024/docs/YusufAbdifatah_Complaint.pdf">prosecutors</a>, Yusuf operated an agency called Promise Health Services that perpetrated &#8220;fraudulent documentation, over-billed claims, recipients denying they received services, and recipients receiving unlawful kickbacks.&#8221; Prosecutors said that Yusuf used Promise to fund a lavish lifestyle that included spending $22,000 on furniture, $80,000 on luxury clothing, and $42,000 on cars. He was found guilty of six counts of aiding and abetting theft by swindle (over $35,000).
After news of the acquittal broke, jurors spoke out, saying that the evidence in the case was clear.
&#8220;It was not a difficult decision whatsoever. The deliberation took probably four hours at most. Based off of the state&#8217;s evidence that was presented, it was beyond a reasonable doubt,&#8221; jury foreperson Ben Walfoort <a href="https://www.kare11.com/article/news/local/courts-news/hennepin-county-judge-tosses-out-jurys-guilty-verdict-in-72-million-home-healthcare-fraud-case/89-cbbdfb26-eb5d-40cc-8a19-a17c8602c8bf">told</a> local NBC affiliate KARE 11. “I am shocked. I&#8217;m shocked based off of all of the evidence that was presented to us and the obvious guilt that we saw based off of the said evidence.&#8221;
Another juror echoed the sentiment.
&#8220;We didn&#8217;t take our job lightly,” a juror told KARE 11. “We went through a lot of evidence and discussed a lot, took our time, but we all came to an agreement pretty easily.&#8221;
In a 55-page order, West acknowledged that there was widespread fraud at Promise, but said the state failed to establish a link between Yusuf and the fraud.
“The State’s Case was based substantially on circumstantial evidence. The State details evidence of fraud at Promise, some of which was direct evidence,” she wrote. “However, nearly all purported evidence of Mr. Yusuf’s alleged involvement in the fraud or from which the jury must have made inferences of the same is circumstantial.”
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West, who was appointed to Minnesota’s Fourth Judicial court by Democrat Governor Mark Dayton, said that she was &#8220;troubled by the manner in which fraud was able to be perpetuated at Promise Health.&#8221;
Prosecutors have appealed West’s decision, asking for a reexamination of the evidence and the judge’s decision.
Ian Birrell, Yusuf’s lawyer, said that the ruling proved his innocence.
&#8220;Judge West’s 55-page order meticulously considered the facts and faithfully applied the law. It affirms what we have maintained from the very beginning: that Abdifatah Yusuf did not commit fraud or racketeering,&#8221; he told The Daily Wire. &#8220;The Court’s Order affirms the fundamental principle that justice requires both fairness and proof. We appreciate the Court&#8217;s thorough consideration of all the proceedings and we are confident Mr. Yusuf’s innocence will be affirmed through the appeal process.&#8221;

MixCollage-25-Nov-2025-12-56-PM-814

Jurors ‘Shocked’ After Minneapolis Judge Throws Out $7.2 Million Fraud Conviction

Courts

Judge

U.S.

Under Minnesota Democrat Governor Tim Walz, billions of taxpayer dollars have been stolen, reportedly funneled through fake nonprofits and shell companies, and — alarmingly — some of that money <a href="https://www.city-journal.org/article/minnesota-welfare-fraud-somalia-al-shabaab">has ended up in the hands</a> of the al-Qaeda-linked terrorist group Al-Shabaab.
As one law-enforcement source bluntly put it: “The largest funder of Al-Shabaab is the Minnesota taxpayer.”
Much of the fraud has been traced to Minnesota’s Somali community, where politically connected fraudsters have allegedly exploited numerous loopholes in the state’s welfare system. The Medicaid Housing Stabilization Services (HSS) program, designed to help seniors, addicts, and the disabled secure housing, quickly became a cash cow for fake providers. Payments soared from $2.6 million to more than $104 million in just a few years. Operators often ran companies out of dilapidated storefronts, billing for services they never intended to provide.
“What we see are schemes stacked upon schemes, draining resources meant for those in need. It feels never-ending,” U.S. Attorney Joseph Thompson said. “I have spent my career as a fraud prosecutor and the depth of the fraud in Minnesota takes my breath away.”
Meanwhile, the Feeding Our Future nonprofit turned a $3.4 million federal child nutrition program into a $200 million fraud machine, as <a href="https://www.breitbart.com/politics/2022/09/23/doj-47-in-minnesotas-somali-community-charged-with-stealing-250m-in-covid-19-funds-from-child-nutrition-program/">Breitbart</a> reported. Executives fabricated meal counts and invoices, pocketed millions, bought luxury cars, and purchased real estate in the United States, Turkey, and Kenya.
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“Our investigation reveals, for the first time, that some of this money has been directed to an even more troubling destination: the al-Qaida-linked Islamic terror group Al-Shabaab,” City-Journal <a href="https://www.city-journal.org/article/minnesota-welfare-fraud-somalia-al-shabaab">reported.</a> “According to multiple law-enforcement sources, Minnesota’s Somali community has sent untold millions through a network of ‘hawalas,’ informal clan-based money-traders, that have wound up in the coffers of Al-Shabaab.”
Fraudsters didn’t stop there. Minnesota’s Medicaid autism programs exploded from $3 million in 2018 to $399 million in 2023, with Somali-run centers inflating diagnoses and paying parents kickbacks to enroll children in therapy programs they didn’t need. Thompson called this a sprawling “network” of fraud, one that has stolen billions from taxpayers while leaving state officials seemingly asleep at the switch.
Meanwhile, the media and Democratic establishment have largely ignored the issue, leaving ordinary Minnesotans to foot the bill, while their money funds international terrorism.

Somali Muslims in the United States

Minnesota’s Somali Welfare Fraud: Taxpayer Cash Funneled To Terrorist Group

Terrorism

terrorist

State Attorney General Letitia James (D-NY) called on Monday for the mortgage fraud charges against her to be dropped, arguing in a 22-page filing that President Donald Trump&#8217;s administration had engaged in &#8220;outrageous government conduct&#8221; in bringing the case in the first place.
Attorneys representing James argued in the filing that the charges themselves were &#8220;patently unconstitutional,&#8221; according to a CBS News <a href="https://www.cbsnews.com/news/letitia-james-mortgage-fraud-charges-dropped-outrageous-government-conduct/?ftag=CNM-00-10aab7e&amp;linkId=879195998">report</a>. They claimed that several officials within the Trump administration had embarked upon &#8220;months of unethical behavior&#8221; culminating in the allegation that she&#8217;d bought property in the state of Virginia, calling it a &#8220;second home&#8221; to secure a lower interest rate but instead turning it out as a rental property.
&#8220;If this brazen, continuous disregard for the law and the Constitution is not outrageous government conduct, nothing is,&#8221; the attorneys claimed, naming Fair Housing Finance Authority (FHFA) Director Bill Pulte, top Justice Department official Ed Martin, and interim U.S. Attorney Lindsey Halligan in the filing.
Pulte was the one who sparked the investigation into the New York Attorney General — who had herself run on a platform of &#8220;getting Trump&#8221; and then willed a case into reality in her attempt to follow through. Pulte referred James for prosecution, but her attorneys claimed that he had &#8220;transformed the little-known agency into a weapon to be brandished against President Trump&#8217;s political enemies.&#8221;
They also attacked the Justice Department&#8217;s special attorney for mortgage fraud, Ed Martin – who called for James to resign shortly after the charges were filed — arguing that he &#8220;has engaged in a well-documented series of actions that cannot be described as anything but outrageous.&#8221;
&#8220;The letter was not an attempt to investigate the facts, nor did it hide his plain intention to pressure the sitting Attorney General of New York to resign from office or face criminal prosecution,&#8221; the lawyers said, also asserting that it represented a violation of &#8220;various codes of professional responsibility and ethics,&#8221; among other things.
They were equally displeased with Halligan, and claimed that the case against James amounted to &#8220;vindictive prosecution.&#8221;
The attorneys concluded by claiming that the Trump administration was out to &#8220;punish AG James for daring to take a stand against the President—both in this Court and by making the investigation of her so public and intrusive that the pre-trial process itself serves as punishment.&#8221;

New York State Attorney General Letitia James makes an

Letitia James Wants Her Fraud Case Tossed Because Of ‘Outrageous Government Conduct’

Letitia James Wants Her Fraud Case Tossed Because Of 'Outrageous Government Conduct'

Lawfare

Letitia James

California Democratic Congressman Eric Swalwell faces a potential federal investigation after President Donald Trump&#8217;s top housing official referred him to the Department of Justice over alleged mortgage and tax fraud on Thursday.
Swalwell is accused of making false statements on loan documents related to a house in Washington, D.C., according to a letter Director of the Federal Housing Finance Agency Bill Pulte sent to Attorney General Pam Bondi, NBC News <a href="https://www.nbcnews.com/politics/trump-administration/trump-administration-eric-swalwell-federal-criminal-probe-mortgage-rcna243518">reported</a>. The allegations stem from Swalwell&#8217;s purchase of a $1.2 million home in the nation&#8217;s capital that he reportedly claimed as his primary residence.
By claiming the D.C. home as his primary residence, Swalwell qualified for millions of dollars&#8217; worth of loans and refinancing, the New York Post <a href="https://nypost.com/2025/11/13/us-news/eric-swalwells-1-2-million-dc-home-target-of-doj-mortgage-fraud-criminal-referral/">reported</a>. His campaign has also faced scrutiny over payments made to a Haitian American staffer that totaled over $360,000 and for expenditures on luxury hotels and car services, according to <a href="https://www.foxnews.com/politics/trump-doj-opens-mortgage-fraud-probe-eric-swalwell-congressman-vows-keep-fighting-back">Fox News</a>.
Swalwell becomes the fourth Democrat in recent months to face mortgage fraud allegations after Pulte also sent the DOJ criminal referrals for Sen. Adam Schiff (D-CA), New York Attorney General Letitia James, and Biden-appointed Federal Reserve Board Governor Lisa Cook. Swalwell told NBC News that the criminal referral didn’t surprise him, arguing that it is politically motivated.
&#8220;As the most vocal critic of Donald Trump over the last decade and as the only person who still has a surviving lawsuit against him, the only thing I am surprised about is that it took him this long to come after me,&#8221; Swalwell said.
Other Democratic lawmakers argued that the Trump administration is targeting one of the president&#8217;s most vocal critics.
&#8220;It’s no longer shocking that Trump uses his power to target an outspoken opponent—that’s the hallmark of authoritarianism. What’s remarkable is that he did it less than 24 hours after signing a bill letting 8 GOP senators embezzle $500k–$1M from taxpayers,&#8221; <a href="https://x.com/RepLiccardo/status/1989070897932824686">wrote</a> Rep. Sam Liccardo (D-CA).
&#8220;Donald Trump is once again weaponizing government to punish those who speak out against his dangerous and disastrous policies. He should know my colleague @RepSwalwell is someone who never backs down or bends the knee to a tyrant,&#8221; <a href="https://x.com/RepZoeLofgren/status/1989070929226576012">added</a> Rep. Zoe Lofgren (D-CA).
For years after being elected to Congress, Swalwell struggled with finances. According to a Washington Free Beacon <a href="https://freebeacon.com/politics/eric-swalwell-is-a-financial-mess/">report</a> from 2019, he had still failed to pay off his student loans after graduating in 2006 and had accumulated credit card debt.
Swalwell, who has been in Congress since 2013, gained notoriety for his role in pushing the Trump-Russia collusion hoax during Trump&#8217;s first term. The Democratic congressman has also been criticized over his relationship with a suspected Chinese spy, a relationship he had while he sat on the House Intelligence Committee.

Eric Swalwell

Eric Swalwell Faces DOJ Criminal Probe Over Mortgage Fraud Accusations

Eric Swalwell Referred To DOJ For Criminal Investigation After He's Accused Of Mortgage Fraud

Department of Justice

Mortgages

Trump Administration

For decades, a portion of all federal contracts has been &#8220;set aside&#8221; for minority- and women-owned businesses, which can be awarded millions of dollars with little or no competition.
The 8(a) program, operated by the Small Business Administration, is meant to help &#8220;socially and economically disadvantaged businesses.&#8221; But in practice, the program has led to open corruption and the waste of hundreds of billions of dollars, with &#8220;disadvantaged&#8221; firms often simply &#8220;partnering&#8221; with a non-minority firm that owns 49% of the company, but does much of the work.
Take ATI Government Solutions, a firm that claimed Native American ownership to get 8(a) status. Its website focuses on its &#8220;Tribal Advantage: <a href="https://atisolutions.us/tribal-advantage/">Procurement Advantages</a> for Government and Industry by Partnering with ATI,&#8221; even though all the executives listed on its <a href="https://atisolutions.us/team/">leadership page</a> appear to be white.
Last month, <a href="https://x.com/JamesOKeefeIII/status/1981042870460252398" target="_blank" rel="noopener">O’Keefe Media Group</a> published an undercover video in which Anish Abraham, senior director at ATI Government Solutions, acknowledged that his company was a “pass-through” that got a $100 million contract, kept $65 million, and paid another firm $45 million to do the work.
Melayne Cromwell, a black woman who previously worked as director of contracts at ATI, was also captured saying the firm only does 20% of the work. “A lot of our subcontractors bid on contracts that were perfect in their industry, but because they weren’t Native American, they wouldn’t win it, so we bid on it for them, and they became our subcontractor,” she said.
Now, top officials say set-aside contracting, a mainstay of the Washington swamp, could be changing for good.
Sen. Joni Ernst (R-IA), the chair of the Senate Committee on Small Business, wrote to SBA&#8217;s inspector general October 30, saying &#8220;over the years an egregious pattern has emerged where a special subset of 8(a) participants, the &#8216;Super 8(a)’s,&#8217; may be taking undue advantage of their ability to obtain sole-source awards in unlimited amounts.&#8221;
&#8220;I request the SBA OIG immediately investigate ATI, its Super 8(a) parent entity Susanville Indian Rancheria, and its network of 8(a) subsidiaries,&#8221; she wrote in a letter obtained by The Daily Wire.
On Saturday, SBA Administrator Kelly Loeffler said that &#8220;As part of our ongoing investigation into ATI Government Solutions, SBA has uncovered and now suspended a network of SEVEN additional companies connected to its CEO Firmadge Crutchfield.&#8221;
&#8220;Their names have been provided to law enforcement. Thank you to every federal agency that has joined us in the effort to crack down on fraud in the 8(a) Program for &#8216;socially and economically disadvantaged&#8217; small businesses.&#8221;
Ernst told The Daily Wire &#8220;I will not rest until every last fraudster is held accountable and the program is reformed. Administrator Loeffler has done a tremendous job and I am confident that she will ensure that exploitation of the SBA’s small business programs is no longer excused or overlooked.”
Ernst said in her letter that the Biden administration &#8220;tripled the 8(a) contracting goals from 5 percent to 15 percent,&#8221; but when she requested reports that are required to be filed with the SBA by certain minority-contracting firms to monitor for fraud, she found that &#8220;Biden’s SBA failed to track and retain them.&#8221;
&#8220;It is obvious that the Biden Administration’s indifference toward meaningful oversight in the 8(a) program allowed swindlers and fraudsters to treat federal contracting programs like personal piggy banks&#8230; Small business contracting programs were never intended to function as welfare systems for favored classes or give no-bid contracts to do-nothing companies,&#8221; she wrote.
&#8220;Penalties against rulebreakers have not been swiftly and resolutely imposed. Deterrence has completely failed&#8230; This stops now,&#8221; she continued.
She requested &#8220;All documents and communications related to any disciplinary or corrective actions SBA has taken on 8(a) firms over the last 5 years, including suspensions, disbarments, and removals from the 8(a) Program initiated by the SBA,&#8221; and asked:
<ul class="ul-list" data-mark="*">
<li class="md-list-item">When would a contractor be suspected of violating the limitations on subcontracting?</li>
</ul>
<ul class="ul-list" data-mark="*">
<li class="md-list-item">What is the specific process that occurs when a prime contractor is suspected of having violated the limitations on subcontracting, up to and including resolution?</li>
</ul>
<ul class="ul-list" data-mark="*">
<li class="md-list-item">Have any contractors been found to have violated the limitations on subcontracting over the last 5 years?</li>
</ul>
Ernst also wrote to the SBA&#8217;s Inspector General, who has found abuse of minority contracting programs for decades.
She said there is little reason to believe anyone is actually tracking whether the minority-owned company actually does at least half of the work, as required, rather than having their &#8220;partner&#8221; or subcontractors do it.
&#8220;While this requirement is designed to restrict small businesses from acting as pass-through companies for ineligible firms, in practice, weak enforcement of this rule leaves the door open for abuse,&#8221; she wrote. &#8220;In the coming days and months, I expect to see significant 8(a)-related accountability actions and investigations initiated.&#8221;
In June, Walter Barnes III, the founder of contractor Vistant (previously known as PM Consulting Group, or PMCG), pleaded guilty to paying bribes in exchange for <a href="https://www.dailywire.com/news/usaid-800m-migration-feds-bribes" target="_blank" rel="noopener">$544 million</a> in USAID contracts. The court documents established that Barnes&#8217; firm got contracts through being a black-owned firm; then, when it earned so many millions of dollars that it &#8220;graduated&#8221; from the 8(a) program, it would enter into 49%-51% &#8220;partnerships&#8221; with other firms that still had disadvantaged status. A USAID contracting official was able to ensure that contracts went to the people who paid him bribes because his minority status gave him the power to &#8220;sole-source&#8221; awards, instead of being obligated to give it to the lowest-price firm.
This year, the Justice Department stated that Vistant, as a corporation, was guilty, but granted it a deferred prosecution agreement. Despite more than a half-billion dollars going to a firm that was involved in massive fraud, the company is still eligible for contracts, and the government has continued to send it work through partnerships with &#8220;disadvantaged&#8221; firms.
The Daily Wire reported in June that the government allowed Vistant to tap into potential contracts amounting to as much as $800 million through a partnership with CollaborateUp, a &#8220;small business&#8221; <a href="https://www.dailywire.com/news/usaid-800m-migration-feds-bribes">operating out of a house</a>.

SBA Administrator Kelly Loeffler and Senate Small Business Chair Joni Ernst

Feds Crack Down On Minority Contracting Schemes, D.C.’s Worst-Kept Secret

Kelly Loeffler

Small Business Administration

Joe Sanberg, a top California Democrat activist who decried the corruption of big Wall Street banks and started a company marketed as the &#8220;cleaner&#8221; alternative, actually propped that company up through blatant fraud, he admitted Thursday.
Sanberg and other high-profile Democrats started the carbon-credit platform and online banking app Aspiration Partners Inc., promising to plant trees and not invest in polluting industries. Its motto was &#8220;clean rich is the new filthy rich.&#8221; It was once a star of the &#8220;environmental, social, and governance (ESG)&#8221; movement that blended corporate finance with leftist politics, and counted actors Leonardo DiCaprio and Robert Downey Jr. as investors.
But it was instead a scheme as corrupt as any on Wall Street, with Sanberg concocting fake customers for his tree-planting services to try to dupe investors into a $2 billion valuation, the Department of Justice said. Sanberg faces up to 40 years in prison after pleading guilty to two counts of wire fraud, according to the <a href="https://www.justice.gov/opa/pr/aspiration-partners-co-founder-charged-and-agrees-plead-guilty-248m-scheme-defraud-investors" target="_blank" rel="noopener">Department of Justice</a>.
Sanberg is a key player in California politics, a Gavin Newsom donor who personally spent $11 million backing a ballot initiative to raise the state&#8217;s minimum wage to $18 an hour. Voters blocked the initiative by one percentage point in 2024. A 2019 <a href="https://www.theatlantic.com/politics/archive/2019/03/joe-sanberg-mulls-long-shot-presidential-campaign/586087/">Atlantic</a> story headlined, &#8220;Joe Sanberg Dares Trump to Call Him a Socialist,&#8221; said &#8220;the multimillionaire investor says the Democrats’ progressive agenda is best for jobs and economic growth.&#8221;
But “this so-called ‘anti-poverty’ activist has admitted to being nothing more than a self-serving fraudster, by seeking to enrich himself by defrauding lenders and investors out of hundreds of millions of dollars,” according to Bill Essayli, the Acting U.S. Attorney of the Central District of California.
Aspiration was set up to have companies pay it for &#8220;carbon credits,&#8221; with Aspiration promising to pay third parties to plant trees in Africa that would offset their emissions. But the United States Postal Inspection Service said Sanberg &#8220;built a business on a lie to boost the company&#8217;s value and line his own pockets.&#8221;
The findings raise questions about the broader world of &#8220;carbon credits&#8221; and whether they amount to one big company paying another big company money in exchange for fantasy indulgences, based more on partisan marketing than any real-world impact.
Sanberg also faces civil <a href="https://www.sec.gov/files/litigation/complaints/2025/comp26382.pdf" target="_blank" rel="noopener">Securities and Exchange Commission charges</a> that say he propped up fake customers to bolster his appearance.
&#8220;To make it appear as though Aspiration’s business was rapidly growing, Sanberg recruited friends, associates, small businesses, and religious organizations and presented them to Aspiration as bona fide customers who were fully committed to paying large sums of money&#8221; for the tree-planting services,&#8221; the SEC charging documents explain.
In reality, they were not going to pay, and Sanberg himself funded initial payments purporting to be from the customers to make them look real.
&#8220;Through his fraud, Sanberg raised more than $300 million from investors who falsely believed Aspiration had a thriving environmental sustainability services business,&#8221; it says. Sanberg owned 30% of the company and took $100 million in loans backed by his shares.
Sanberg founded the company with Andrei Cherny, who worked for Bill Clinton and Al Gore, ran the Arizona Democratic Party, and ran for Congress in 2024. The SEC complaint said Sanberg texted Cherny in 2020 saying, &#8220;if you don’t get me the money tomorrow we are all f…ed. Get me the money. Your turn to figure it out like I have for so long. Wire it to the [Sanberg-entity] account. If you don’t then [the lender] will foreclose. This will give you a good taste of what I have to experience every day. I hate you and I hate this company and I don’t want to work anymore with you [ ]. You are so oblivious to what you’ve forced me to have to do.&#8221;
In 2021, Aspiration attempted to go public through a SPAC, giving prospective investors projections based on the fraud, the SEC said. The &#8220;greenwashing&#8221; firm touted that revenue was &#8220;up 584%&#8221; due in part to &#8220;Enterprise Sustainability Services.&#8221; That year, the company funneled $3.6 million to Sanberg, with Cherny signing a $475,000 contract, for example, &#8220;in exchange for Joseph Sanberg&#8217;s services related to Aspiration&#8217;s Sustainable Impact Services.&#8221;
Sanberg aligns himself publicly with unions, but privately, management sacked the company. In January 2022, the board gave him an $8 million cash bonus, &#8220;despite having low cash reserves.&#8221; That year, Aspiration had $104 million in revenue that didn&#8217;t actually exist, and its outside auditor resigned due to &#8220;characteristics of fraud.&#8221;
The effort to go public through a SPAC collapsed in 2023, but not before taking $300 million from investors, including former Microsoft CEO Steve Ballmer.
The investigation that began during the Biden administration after Sanberg and another investor, board member, and high-profile Democrat donor, Ibrahim Alhusseini, stiffed a lender. When the lender sued, documents unearthed in discovery showed that Alhusseini had gotten the loans based on fake financial statements.
<div id="attachment_854215" style="width: 1017px" class="wp-caption aligncenter"><img loading="lazy" decoding="async" aria-describedby="caption-attachment-854215" class="size-large wp-image-854215" src="https://dw-wp-production.imgix.net/2025/01/GettyImages-517390558-1007x576.jpg" alt="Actress and activist Jane Fonda embraces Ibrahim AlHusseini at a Champions of our Planet's Future gala in 2016 in Beverly Hills. (Photo by Michael Buckner/Variety/Penske Media via Getty Images)" width="1007" height="576" srcset="https://dw-wp-production.imgix.net/2025/01/GettyImages-517390558-1007x576.jpg 1007w, https://dw-wp-production.imgix.net/2025/01/GettyImages-517390558-300x172.jpg 300w, https://dw-wp-production.imgix.net/2025/01/GettyImages-517390558-768x439.jpg 768w, https://dw-wp-production.imgix.net/2025/01/GettyImages-517390558-1536x879.jpg 1536w, https://dw-wp-production.imgix.net/2025/01/GettyImages-517390558-2048x1172.jpg 2048w" sizes=" (max-width: 1007px) 100vw, 1007px" />Actress and activist Jane Fonda embraces Ibrahim AlHusseini at a Champions of Our Planet&#8217;s Future gala in 2016 in Beverly Hills. (Photo by Michael Buckner/Variety/Penske Media via Getty Images)</div>
That matter was referred to the FBI, which said that AlHusseini sent investors falsified bank statements that made it seem like he had assets “worth between approximately $80 million to $200 million&#8230;. In fact, AlHusseini’s brokerage account during this period held between approximately $2,000 and $15,000.&#8221; The fake bank statements had a telltale sign of all ending in dollar amounts with 43 cents.
The Daily Wire exclusively reported that AlHusseini, who is from Saudi Arabia and was a board member for the far-left, anti-Israel group CodePink, was arrested last October and <a href="https://www.dailywire.com/news/exclusive-green-investor-climate-change-activist-charged-with-securities-fraud" target="_blank" rel="noopener">held in jail</a> until December, when wealthy Democrat environmentalists, including CodePink founder Jodie Evans, put up their homes as $3 million bail.
Prosecutors said AlHusseini was a <a href="https://www.dailywire.com/news/career-doj-prosecutor-dismissed-fraud-case-against-dem-megadonor-hours-before-trump-took-office" target="_blank" rel="noopener">flight risk</a> as he transferred $300 million to Saudi Arabia, and put his Venice mansion in his brother&#8217;s name. A New York civil court found him in contempt of court for avoiding paying the lender he stiffed, while—as the lender told the judge—he “donated at least US $22,100.00 to United States political candidates” such as Cori Bush and Alexandria Ocasio-Cortez, and spent $16,000 at the Four Seasons hotel in Greece and $10,000 on Gucci clothes in New York.
Alhusseini turned on Sanberg, who was himself <a href="https://www.dailywire.com/news/california-politico-and-anti-poverty-activist-arrested-for-alleged-green-finance-fraud" target="_blank" rel="noopener">arrested</a> in March, The Daily Wire reported.
Sanberg was <a href="https://web.archive.org/web/20190328043932/https://www.ozy.com/politics-and-power/is-this-blue-apron-investor-aiming-for-the-white-house-on-a-poverty-platform/90556">reportedly considering</a> a Democratic presidential run ahead of the 2020 election, traveling to meet with party activists in early primary states. He was a fierce defender of California&#8217;s Newsom during the 2021 attempt to recall the governor.

Joe Sanberg

California ‘Anti-Poverty Activist’ And Dem Mega-Donor Pleads Guilty To Massive Carbon-Credit Scam

California

Environment

President Donald Trump called for a top official at the Federal Reserve to step down after she was accused by federal officials of mortgage fraud. 
Trump said Wednesday that Lisa Cook, a member of the Federal Reserve Board of Governors, should step down after Federal Housing Finance Agency Director Bill Pulte called for the Justice Department to investigate her over alleged mortgage fraud. 
“Cook must resign, now!!!” Trump <a href="https://truthsocial.com/@realDonaldTrump/posts/115061104213677946">wrote</a> on Truth Social.  
In an August 15 letter to Attorney General Pam Bondi, Pulte said that Cook falsely claimed primary residency at the same time for two homes she owned in Michigan and Georgia in order to get better interest rates. 
Pulte wrote in his letter that Cook “has falsified bank documents and property records to acquire more favorable loan terms, potentially committing mortgage fraud under the criminal statute. This has included falsifying residence statuses for an Ann Arbor, Michigan-based residence and an Atlanta, Georgia-based property in order to potentially secure lower interest rates and more favorable loan terms.”
In follow-up posts on X, Pulte targeted Cook over the allegations. 
“How can this woman be in charge of interest rates if she is allegedly lying to help her own interest rates?” he <a href="https://x.com/pulte/status/1958162017468154310">wrote</a>, <a href="https://x.com/pulte/status/1958158594374873358">adding</a> in another, “Do not declare two principal residences in President Trump’s America. Mortgage fraud is a serious crime and must be prosecuted as such.”
Senator Rick Scott (R-FL) <a href="https://x.com/SenRickScott/status/1958140416835940434">responded</a> to the criminal referral by demanding that an independent inspector general be established to investigate the Fed. 
“The lack of accountability at the Federal Reserve under Chair Powell is out of control!” Scott posted on X. “This is exactly why we need to pass my bill to establish an independent inspector general at the Fed ASAP.”
When reached for comment by The Daily Wire, a media relations assistant for the Federal Reserve said that “we don’t have anything to share at the moment, but will be back in touch asap.”
Cook later released a statement on the calls for her to step down.
“I learned from the media that FHFA Director William Pulte posted on social media that he was making a criminal referral based on a mortgage application from four years ago, before I joined the Federal Reserve. I have no intention of being bullied to step down from my position because of some questions raised in a tweet,&#8221; she said. &#8220;I do intend to take any questions about my financial history seriously as a member of the Federal Reserve and so I am gathering the accurate information to answer any legitimate questions and provide the facts.”
Cook was appointed to the board of governors by President Joe Biden and is slated to stay on the board until 2038. She previously worked on the Council of Economic Advisers under President Barack Obama and at Harvard University’s Kennedy School of Government.
Trump has repeatedly battled with the Fed over interest rates, demanding that Chair Jerome Powell lower rates. 
“Could somebody please inform Jerome ‘Too Late’ Powell that he is hurting the Housing Industry, very badly? People can’t get a Mortgage because of him,” he <a href="https://truthsocial.com/@realDonaldTrump/posts/115057827631877948">posted</a> on Truth Social on Tuesday. “There is no Inflation, and every sign is pointing to a major Rate Cut.”
This story has been updated with comment from Cook.

US-UKRAINE-RUSSIA-CONFLICT-SUMMIT-TRUMP

Trump Calls For Fed Official To Resign ‘Now’ After Mortage Fraud Allegations

Federal Reserve

Interest Rates

Jerome Powell

Pam Bondi

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