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JD Vance warns blue state officials could face prison over billion-dollar fraud epidemic

Video JD Vance details efforts to combat rampant fraud across US Vice President JD Vance discusses the rampant fraud across U.S. government programs and details the White House Anti-Fraud Task Force's findings, including billions in fraudulent contracts and benefits paid to deceased.

Vice President JD Vance predicted federal investigators will uncover criminal wrongdoing tied to alleged taxpayer-funded welfare fraud in states including California.

Vance told Fox News' Kayleigh McEnany the administration’s anti-fraud task force is looking into whether government officials enabled the alleged scams. He warned that anyone who covered up the abuse "ought to go to prison."

"I guarantee there's [going to] be some criminal wrongdoing that we're [going to] find, because there's so much wrongdoing, somebody had to know what they were doing," Vance said in an exclusive interview on "Saturday in America."

Vance was named chair of an anti-fraud task force focused on rooting out alleged fraud in states including California and Minnesota. On Wednesday, the vice president, alongside Centers for Medicare & Medicaid Services Administrator Dr. Mehmet Oz, announced the administration would defer $1.3 billion in federal Medicaid funding to California due to oversight concerns.

JD VANCE ANNOUNCES MULTI-STATE FRAUD TASK FORCE IN WAKE OF MINNESOTA SCANDAL

Vice President JD Vance spoke during a news conference on anti-fraud initiatives in the Indian Treaty Room of the Eisenhower Executive Office Building on May 13, 2026, in Washington, D.C. The Trump administration warned states they could lose Medicaid funding if they fail to comply with federal anti-fraud statutes. (Daniel Heuer/Bloomberg via Getty Images)

Vance said the federal government has shut down fraudulent hospice centers and issued 22 subpoenas tied to an alleged fraud ring in Minneapolis. The task force also announced a six-month freeze on new Medicare enrollments for hospice and home care providers.

Now, he says, state officials who knew about fraud and failed to act should face consequences.

"When I hear about a report that says to the governor, 'Here's all this fraud,' and he doesn't do anything about it, I ask myself, 'Was anybody engaged in criminal wrongdoing? Was anybody in his office engaged in criminal wrongdoing?'" Vance said.

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"I am [going to] promise the American people we're going to look into that stuff, we're [going to] investigate it, and we're [going to] take it seriously," Vance added. "Because if there was criminal wrongdoing, then people ought to go to prison for it."

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In posts on X, Newsom’s office said the governor has acknowledged fraud concerns and previously expressed willingness to work with federal officials to combat them. In a separate response to Vance on X regarding an alleged fraud operation in the Los Angeles area, Newsom wrote:

Vice President JD Vance delivered remarks at Bangor International Airport on May 14, 2026, in Bangor, Maine, during a trip promoting the administration’s anti-fraud initiatives. (Tierney L. Cross-Pool/Getty Images)

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"The Trump Administration — home to the biggest fraudsters on Earth — is trying to blame California for issues with THEIR federal programs. Glad to see the Feds finally taking seriously the fraud in the programs they themselves manage...only 15 months after Trump took office."

On Wednesday, Vance said the task force is sending letters requiring states to show they are actively combating Medicaid fraud.

"If they do not aggressively prosecute Medicaid fraud, we are going to turn off the money that goes to these anti-fraud units," Vance warned.

Fox News Digital reached out to Gavin Newsom's office for comment but did not immediately receive a response.

Madison is a writer for Fox News Digital on the Flash team.

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