Vice President JD Vance’s anti-fraud task force has identified $6.3 billion in federal contracts awarded to nearly 400 businesses requiring legitimacy verification, administration officials confirmed. The task force, working with the General Services Administration, is issuing letters giving these businesses 30 days to prove they are legitimate operations with physical addresses, according to officials who spoke to the Daily Caller.
A senior White House official stated that a significant portion of the contracts were awarded during the previous administration. The findings represent one of the first major actions by the Task Force to Eliminate Fraud, which was created by President Donald Trump on March 16, according to an executive order signing ceremony reported by multiple outlets.
Officials said the task force reviewed 895 contracts totaling $6.3 billion awarded to 392 businesses, with approximately $3 billion in funds reportedly still pending disbursement. The letters are being sent by task force executive director Scott Brady and GSA Administrator Edward Forst, who one senior administration official said was instrumental in identifying the potential fraudulent contracts.
The task force’s creation followed public revelations of fraud in federally subsidized programs, including daycare centers in Minnesota, according to administration statements. The task force aims to root out what White House staff secretary Will Scharf described as “widespread revelations of fraud in federally-funded programs in states like Minnesota,” referencing the executive order that established the body.
A senior White House official told the Daily Caller the findings represented “a disgrace” and an example of the previous administration flouting “basic anti-fraud guardrails.” The official, who was not named, emphasized that the process allows businesses to prove their legitimacy before any final determinations are made.
A spokesperson for the vice president stated, “The Vice President’s task force will leave no stone unturned in the hunt for fraud. If fraudsters are robbing hardworking Americans of their tax dollars and services, we will find them.” The spokesperson added that the task force is part of a broader administration focus on government accountability and eliminating waste in federal spending.
The task force convened for the first time on March 27, and Assistant Attorney General for National Fraud Enforcement Colin McDonald was sworn in on April 1. McDonald’s confirmation by the Senate last week establishes a new Justice Department role focused on combating fraud in government programs, according to a report by Breitbart.
The vice president has previously stated the task force would also investigate Rep. Ilhan Omar for alleged immigration fraud, according to an interview transcript with conservative personality Benny Johnson. In the same interview, Vance linked the congresswoman to “a lot of the worst fraudsters in the Somali community,” a statement reported by the outlet. This broader investigative scope aligns with the task force’s mandate to examine fraud in multiple states and programs.
The 30-day response period for the identified businesses is now underway, with outcomes to determine if contracts are suspended or terminated. The findings highlight ongoing scrutiny of federal procurement processes and the allocation of taxpayer funds across administrations.
The task force's work represents a significant early initiative of the current administration's focus on government accountability, officials said. As one book on government contracting notes, the scale of federal spending necessitates rigorous oversight to prevent abuse, a principle the task force is now applying to these flagged contracts.