At Subcommittee Hearing, Republicans’ Selective Outrage About Fraud Does Not Apply to the Trump Administration

Washington, D.C. (January 21, 2026)—Today, Rep. Jamie Raskin, Ranking Member of the House Judiciary Committee, and Rep. Lucy McBath, Ranking Member of the Subcommittee on Crime and Federal Government Surveillance, led Democrats in debunking Republicans’ false narratives about fraud, as they refuse to condemn President Donald Trump’s pardons for serial fraudsters, devastating cuts to oversight, and abuse of the Oval Office for personal enrichment.

The hearing included testimony from: Dylan Hedtler-Gaudette, Acting Vice President, Policy and Government Affairs, Project on Government Oversight; Jennifer Larson, Founder and CEO, Holland Autism Center and Clinic; Nick Shirley, YouTuber and content creator; and Scott Dexter, Former Wyoming, MN police officer; former fraud investigator, Minnesota Department of Human Services.

Since 2021, Democrats—at the federal and state level—have been investigating and prosecuting the Minnesota fraud schemes Republicans have suddenly decided to seize on. 

• Ranking Member Raskin said: “It is true that social services fraud and serious fraud occurred in Minnesota. That’s why under President Biden, the Department of Justice opened multiple criminal investigations that to date have already resulted in more than 90 people being charged and 64 people being convicted of federal criminal offenses. Indeed, Minnesota lawmakers acted to root out and prevent fraud going forward in the public benefits program. That’s why last year, the Minnesota legislature passed legislation to empower the governor to cut off payments or to claw back funds whenever fraud is detected. And that’s why Governor Walz appointed the first ever Director of Program Integrity to make sure the state is effectively investigating and preventing fraud and corruption in their programs. The fraud in Minnesota was discovered not by a right-wing social media influencer who’s been harassing people in communities all over Minnesota in recent weeks, but by the hard work of real local investigative journalists, brave whistleblowers and state and federal auditors.” 
   
• Mr. Hedtler-Gaudette fact-checked right-wing clickbait YouTuber Nick Shirley’s unsubstantiated fraud allegations: “Personally, I, took a look at some of what had been done to try and backstop what Mr. Shirley indicated in his video by professional journalists at CBS and by professional oversight practitioners like the Inspector General in Minnesota. And as it turns out, they had a difficult time substantiating what Mr. Shirley was claiming to be true in his video. And in fact, they found countervailing evidence, including having been provided security footage by one of those daycares of children being dropped off the very day that Mr. Shirley was supposedly there. So I think, in my view, I err on the side of believing the professional journalists at CBS and the professional oversight practitioners at the inspector general office.” 

House Republicans have been silent while President Trump has enriched himself, pardoned some of the worst fraudsters in history, and gutted government oversight mechanisms.

• Ranking Member Raskin said: “The Administration has systematically undermined government oversight. The President has fired more than a dozen inspectors general, not for any cause, but seemingly just in retaliation for doing their jobs and to block unwanted investigations. President Trump has defunded the Council of Inspectors General on Integrity and Efficiency. He’s removed independent leadership at the Office of Special Counsel and Office of Government Ethics, blockading whistleblowers and numerous investigations. What is your assessment, Mr. Hedtler-Gaudette, what is your assessment of the Trump Administration’s apparent systematic opposition to internal oversight mechanisms in the federal government?” Mr. Hedtler-Gaudette said: “My assessment is that the last year or so has been one of the most anti-oversight, anti-accountability periods that I've witnessed in our federal government.”
   
• Ranking Member McBath said: “President Trump broke from historic norms and fired 17 inspectors general—people who serve as critical watchdogs and prevent waste, fraud and abuse. A federal judge held that these firings were illegal but also held that she could not reinstate these people due to their important roles. As a result, the president has been able to appoint acting inspectors general who have themselves been removed after informing congress that Trump officials are not cooperating with investigations. Mr. Hedtler-Gaudette, how do these frequent firings affect the ability of the inspector general offices to prevent and investigate fraud?” Mr. Hedtler-Gaudette said: “I think they fundamentally undermine it, and they also create a real chilling effect for the inspectors general, who are left the incentive to do something that could upset the powers that be becomes a bit of a risky proposition. And so, between the completely undermining them and the chilling effect, you are really dampening and damaging the ability to do real oversight.” 
   
• Ranking Member Raskin said: “President Trump has dismantled the infrastructure that actually prosecutes white collar crime and fraud in America, actually rooting out waste, fraud and abuse. The Trump DOJ gutted the Public Integrity Section at DOJ that prosecutes government officials who break the law, and nearly a year ago, his DOJ suspended enforcement of the Foreign Corrupt Practices Act, which prohibits foreign bribery, saying all bets are off. He’s gutted the Consumer Financial Protection Bureau, which is the first and the only agency devoted solely at the federal level to protect American consumers against being cheated by big financial corporations.” 

House Republicans are eliminating programs designed to help Americans care for their families—and also to prevent fraud. 

• Ranking Member McBath said: “Across the country, there are daycares, schools, hospitals, treatment centers, research facilities, nursing homes, fire departments, police departments, airports, and more that all depend on state or federal funding—not just to help those in need but to serve all of us. If President Trump succeeds in his attempt to freeze childcare funding across five states—which is temporarily blocked by a court order—the effects would ripple across families and businesses throughout our economy. It would affect more than 500,000 children, their parents, the businesses and organizations where those parents work, and the many people who depend on those businesses to fulfill needs in their communities. That’s the fallout from just one program, addressing one need, across only five states. If President Trump continues this assault on critical programs, the harms could be far greater.”