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Fraud Is Costing Taxpayers Up To Half A Trillion Dollars A Year, And We’re Not Doing Enough To Stop It

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22.04.2026

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Fraud Is Costing Taxpayers Up To Half A Trillion Dollars A Year, And We’re Not Doing Enough To Stop It

The Trump administration has taken a series of significant steps against fraud, but so far they’re mostly going it alone.

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Consider two numbers, side by side, and keep them in mind as you read news stories about fraud in government-funded services.

First number, from a news headline last week: “New DOJ fraud division thwarted $340M in benefit schemes during first week.” That’s M for million.

Second number, released by the Government Accounting Office during the same week: “In 2024, we estimated that the federal government loses between $233 billion and $521 billion annually to fraud, based on data for fiscal years 2018 through 2022.”

So a quarter to half a trillion dollars a year in fraud is being pushed back in increments of millions. $521 billion is 521,000 millions, so $340 million is about 0.06 percent of the problem.

The Trump administration has taken a series of significant steps against fraud, but so far they’re mostly going it alone.

Congressional Republicans, reacting to the high-profile scandal that followed Nick Shirley’s video series on fraud in daycare, hospices, and medical transportation firms, have introduced a series........

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