Newsom had his eyes on the White House. But his hopes are being dashed in real time.
Now Gavin Newsom is sweating bullets after being hit with a devastating accusation.
Federal Prosecutor Labels Newsom ‘King of Fraud’ Amid California Probe
A top federal prosecutor in California has sharply criticized Governor Gavin Newsom over alleged failures in overseeing billions in taxpayer-funded homelessness programs. First Assistant U.S. Attorney Bill Essayli appeared on Fox & Friends and called Newsom the “king of fraud,” pointing to a lack of accountability in how the state has handled massive spending.
Essayli said, “California has spent $24 billion in the last five years on homelessness, and no one can account for where that money has really gone.”
He added, “We already charged millions of dollars in fraud,” and warned, “I can tell you more charges are coming, probably as soon as this month.”
The comments come as a federal task force he launched in April has begun filing charges. Two men face accusations of exploiting real estate projects tied to the state’s homelessness system for personal profit, involving millions in alleged fraud. Essayli described these cases as the “tip of the iceberg.”
Trump Administration Expands Nationwide Crackdown
The California investigation aligns with President Donald Trump’s broader push against misuse of taxpayer dollars in Democrat-led states.
Trump announced on Truth Social that “The Fraud investigation of California has begun,” and suggested the state could be “more corrupt” than Minnesota, where similar probes into childcare and social services fraud are underway.
Vice President JD Vance also weighed in, criticizing California’s welfare policies toward immigrants.
He told Fox News’ Jesse Watters, “California, more than almost any other state, has been so glaring and obvious about the fact that they’re giving welfare benefits to illegal aliens,” and “They’re getting rich off the generosity of the American taxpayer. The political corruption that enables it has got to stop.”
The federal efforts highlight concerns over oversight in states with large social programs, where billions in funding have raised questions about transparency and effectiveness.
Newsom’s Office Defends Record on Fraud Prevention
Newsom’s press office responded on X, defending the governor’s actions.
The statement said Newsom has “blocked over $125 BILLION in fraud, arrested criminal parasites leaching off of taxpayers, and protected taxpayers from the exact kind of scam artist Trump celebrates, excuses, and pardons.”
The exchange underscores ongoing tensions between the Trump administration and California leadership, as federal probes continue to scrutinize state spending and policies.
