00:00Trump claims fraud probe of California is underway following Minnesota controversy.
00:05One day after Tim Walz announced he would not seek re-election, President Donald Trump turned his focus west.
00:12On Truth Social, he accused California of being more corrupt than Minnesota and declared that a federal fraud investigation into California had officially begun.
00:22Trump's post followed headlines about Minnesota's alleged misuse of public programs involving child care and non-profit funding worth tens of millions of taxpayer dollars.
00:32The long-running probe intensified pressure on Walz, who stepped aside from the 2025 gubernatorial race, citing political weaponization.
00:41While Walz framed the investigation as a partisan attack, Republicans argued the allegations revealed serious oversight failures.
00:48Several GOP lawmakers on Capitol Hill described the Minnesota case as a warning about mismanagement within Democrat-led states.
00:57Trump expanded his criticism by accusing Walz of being caught, red-handed, in what he called a massive taxpayer scheme.
01:05He warned similar problems were forming in California, broadening his focus to another major Democratic-led state.
01:12Conservative criticism of California centers on high taxes, homelessness, and heavy public spending.
01:18Governor Gavin Newsom has repeatedly defended state policies, rejecting corruption claims and clashing with Republican leaders over the direction of California's government.
01:28A nonpartisan state audit placed Newsom's administration and several agencies on a high-risk list.
01:34The report cited weak internal controls and poor financial tracking, noting potential vulnerability to fraud, without confirming wrongdoing.
01:42Trump suggested his administration may pursue formal investigations into California, though details remain undisclosed.
01:51Democrats criticized his tactics as politically motivated.
01:54With scrutiny growing in both Minnesota and California, political stakes continue to rise nationwide.
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