Trump Launches Fraud Tip Program and Rewards Nick Shirley

President Donald Trump and Vice President JD Vance planned to announce a $25 million federal whistleblower initiative at the White House on Tuesday, Oct. 20, 2026, offering Americans up to $30,000 for information that leads to fraud convictions or significant federal enforcement actions. The Justice Department will administer the program, which aims to uncover misuse of taxpayer funds.

During the Oval Office event, Trump also planned to present independent journalist Nick Shirley with a $10,000 check for his reporting on suspected fraud at Minnesota child care centers, according to White House officials cited by multiple news outlets.

The Fraud Whistleblower Incentive Program, known as WHIP, will accept submissions through fraud.gov. Under the administration's stated eligibility rules, a tip must lead to a successful fraud conviction or a significant federal enforcement action to qualify for a reward; submitting an allegation alone is insufficient.

White House spokeswoman Lauren Bis described the administration's position on suspected misuse of public money in a statement reported by Fox News Digital and other outlets.

"Every day, President Trump's Task Force to Eliminate Fraud is zeroing in on the rampant abuse of taxpayer dollars and giving Americans the accountability they deserve. This administration has zero tolerance for individuals who steal from Americans," said Lauren Bis, White House spokeswoman.

The announcement builds on an anti-fraud task force Trump established in March, with Vance serving as chairman. The initiative coordinates federal efforts to investigate suspected fraud, strengthen eligibility checks and prevent improper payments across government programs.

Shirley attracted national attention in December 2025 after publishing a video questioning whether several Minnesota child care centers associated with the state's Somali community were operating legitimate businesses while receiving federal subsidies. The video showed facilities that appeared empty and included interviews with people who said they had not seen children at the locations.

The video prompted attention from Trump administration officials and conservative activists. According to Fox News Digital, the White House credited Shirley's reporting with helping spur increased FBI and Department of Homeland Security resources in Minnesota, where investigations, searches, arrests and additional charges followed.

However, the video's allegations did not establish that every featured center had committed fraud. Minnesota Public Radio reported that inspectors found the centers were operating as expected, underscoring the distinction between the video's claims and independently established findings.

One person featured in the video, Fahima Mahamud, pleaded guilty in July to wire fraud and conspiracy to defraud the United States, according to the White House and the Justice Department's account of the case. Prosecutors said she submitted inflated reimbursement claims for meals allegedly served to children at her child care center.

Fox News Digital reported that Mahamud, the former CEO of Future Leaders Early Learning Center, obtained more than $4.6 million through fraudulent child care assistance claims and $850,000 through a federal child nutrition program connected to the Feeding Our Future scandal. The White House cited her guilty plea when discussing Shirley's reporting.

Shirley previously defended his work following criticism of his investigation, pointing to the criminal case involving Mahamud.

"Well, numbers don't lie, and convictions don't lie either," Shirley previously told Fox News Digital.

The new program also arrives as Trump and Republican leaders emphasize government fraud ahead of the November midterm elections. USA Today reported that the administration has incorporated the issue into its broader political messaging, including criticism of states led by Democrats over oversight of public assistance programs.

Congressional Republicans have also focused on Minnesota's social services fraud cases. In March, the House Oversight and Reform Committee questioned Minnesota's governor and attorney general about the scandal, according to USA Today.

The federal government already has a mechanism for certain fraud whistleblowers under the False Claims Act, which allows individuals to bring civil lawsuits on the government's behalf and potentially receive part of any recovery, according to the Justice Department. The administration's proposed $25 million initiative would establish an additional incentive for tips leading to qualifying criminal convictions or significant federal enforcement actions.