Nicolai Haugsted
The president’s latest campaign against financial fraud comes after a New York court found him liable for similar misconduct.
The Trump administration is putting a financial incentive behind its latest campaign against fraud involving taxpayer money.
Federal officials have spent months promising tougher enforcement against the misuse of government funds, with Vice President JD Vance taking a leading role in the effort.
Now, according to several news outlets including AP News, the White House wants ordinary Americans to become part of that campaign, offering cash rewards to people whose information helps authorities uncover wrongdoing.
President Donald Trump and Vance announced a $25 million whistleblower initiative Tuesday, promising eligible tipsters payments of up to $30,000.
But the president also revealed an unusual detail about how the rewards could be distributed.
If several people claim credit for the same discovery, Trump says he will personally decide who gets the money.
Americans could earn thousands for reporting fraud
The initiative, officially called the Fraud Whistleblower Incentive Program, is designed to encourage members of the public to report suspected fraud involving federal programs and funds.
According to the White House, individuals whose tips lead to a fraud conviction or significant federal enforcement action could qualify for a reward of up to $30,000.
The Justice Department will administer the program, which has been allocated $25 million.
Speaking from the Oval Office, Trump said successful whistleblowers would receive a commission equivalent to 1% of the fraud their information helps uncover, subject to the program’s stated payment limits.
The president also explained how he intends to handle disputes between competing tipsters.
“I will be the arbitrator of all of these decisions,” Trump said, with Vance and other administration officials standing behind him.
“It’ll be a binding arbitration.”
Trump added that journalists would also be eligible to participate.
The announcement raises questions about how the administration will reconcile the president’s proposed personal involvement with the Justice Department’s responsibility for running the program.
JD Vance says taxpayer money is being stolen
The new initiative follows Trump’s decision in March to establish a federal task force dedicated to combating fraud.
Vance was placed in charge of the effort and has since become one of the administration’s leading voices on the issue.
During Tuesday’s announcement, the vice president described his work heading the task force as “fun.”
He also argued that fraudulent activity is depriving taxpayers of money intended for government programs.
“The president has said it must stop. It is stopping. And if you want to help us stop it, you get to share in the rewards,” Vance said.
The administration presents the whistleblower program as another way to identify suspected misconduct and recover public funds.
Critics, meanwhile, have accused Trump and members of his family of benefiting financially from the presidency through their business interests.
The White House rejects those criticisms and maintains that the president acts in the interests of the American public.
Trump has his own history with financial fraud
The president’s latest crackdown also comes with a notable piece of legal history.
Trump himself was found liable for financial fraud in a high-profile civil lawsuit brought by New York Attorney General Letitia James against him and the Trump Organization.
In 2024, Judge Arthur Engoron ruled that Trump and his businesses had repeatedly inflated the value of their assets to obtain more favorable financial terms from banks and insurers.
The judge initially ordered Trump to pay approximately $355 million, with interest subsequently pushing the amount significantly higher.
However, an appeals court overturned the massive financial penalty in August 2025, finding it excessive while leaving the underlying fraud liability intact.
Trump has consistently denied wrongdoing and characterized the lawsuit as politically motivated.
The case was a civil proceeding rather than a criminal prosecution, meaning Trump was found liable for fraud rather than criminally convicted.
Still, the previous ruling adds an unusual dimension to a new initiative that places the president at the forefront of efforts to expose financial misconduct.
Conservative influencer brought into the spotlight
Tuesday’s announcement also featured Nick Shirley, a 24-year-old conservative influencer whose online investigations have attracted attention from Trump administration officials.
Shirley gained prominence after publishing a video last year alleging that members of Minnesota’s Somali community were operating fraudulent childcare centers to obtain federal subsidies.
The allegations generated significant attention among conservative activists and prompted scrutiny of the facilities.
However, state inspectors reported that the childcare centers they examined were operating as expected.
Federal fraud investigations, searches and arrests also took place, although those developments do not establish that all the allegations in Shirley’s video were accurate.
The White House had indicated that Trump would present Shirley with a $10,000 check during the event.
But according to the Associated Press, no such presentation took place in front of the journalists attending.
Shirley nevertheless appeared at the announcement and spoke about the consequences of fraudulent activity.
“When you expose fraud, you help save America,” he said.
A guilty plea adds another dimension to the controversy
The administration has also pointed to a criminal case involving a Minnesota childcare operator as part of its broader argument about fraud.
In July, Fahima Mahamud pleaded guilty to wire fraud and conspiracy to defraud the United States.
According to the Justice Department, the case involved inflated reimbursement claims for meals purportedly served to children at her childcare center.
The White House says Mahamud appeared in Shirley’s video.
Her guilty plea establishes wrongdoing in her specific case, but it does not independently validate broader allegations about other childcare facilities or Minnesota’s Somali community.
The distinction is significant because allegations circulating online can attract considerable attention before investigators establish whether a crime has occurred.
