President Donald Trump is accusing two blue-state governors of presiding over rampant fraud in a fiery social media blitz that’s got taxpayers on edge.
On Wednesday, December 31, 2025, Trump took to Truth Social and X to blast California Governor Gavin Newsom and Minnesota Governor Tim Walz, while federal actions in Minnesota underscore serious allegations of financial misconduct.
For hardworking Minnesota parents relying on child care programs, this is a gut punch, as the Department of Health and Human Services has frozen all related payments to the state, citing potential misuse of millions in taxpayer funds over the past decade.
Trump didn’t hold back, calling out both states for what he sees as systemic corruption, with a particular focus on financial and electoral irregularities.
“There is more FRAUD in California than there is in Minnesota, if that is even possible,” Trump declared in a Truth Social post on Wednesday, December 31, 2025.
While that’s a bold claim, it’s hard to ignore the federal response in Minnesota, which suggests there’s at least some fire behind the smoke.
The controversy heated up earlier when, on Tuesday, December 30, 2025, Deputy Secretary of Health and Human Services Jim O’Neill announced a freeze on child care payments to Minnesota.
This drastic step came amid reports of taxpayer dollars allegedly being diverted to fraudulent daycares, a scandal that could have cost millions over the years.
For taxpayers across America, this raises a question: if this is happening in one state, what’s stopping it elsewhere?
O’Neill also rolled out a nationwide policy, activating a “defend the spend system” for all Administration for Children and Families payments, requiring strict justification and evidence before funds are released.
This move signals a broader distrust in state-level oversight, a sentiment many conservatives share when it comes to progressive-led administrations.
After all, when millions are at stake, shouldn’t every dollar be accounted for before it leaves federal hands?
Minnesota Governor Tim Walz fired back, accusing Trump of politicizing the issue to harm working families, but his office offered no immediate detailed response to Fox News Digital on the allegations.
California Governor Gavin Newsom’s team, meanwhile, pointed to their efforts in blocking over $125 billion in fraud, though their sharp description of Trump as “a deranged, habitual liar” on their press office X account hardly builds bridges.
Such rhetoric might play well with their base, but for those of us who just want transparency, it feels like more deflection than defense—let the investigations speak, not the insults.
