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calendar_month Oct 02, 2026

Rand Paul Touts Potential $4 Billion Savings From Trump’s Anti-Fraud Push: ‘All in Nearly Two Years’

Sen. Rand Paul (R-Ky.) highlighted the Trump administration’s reductions in government waste, improper health enrollments, and Social Security fraud.

In a post on X on Thursday, Paul said the administration had “clawed back nearly $1 billion” in spending targeting illegal immigrants and diversity, equity, and inclusion programs.

He also claimed that officials uncovered $500 million in waste in federal health benefits and cancelled 315,000 unauthorized Obamacare enrollments, saving taxpayers about $2.2 billion.

Paul further cited 17 defendants charged in a $1.3 million Social Security fraud case, presenting the actions as evidence of broader federal anti-fraud efforts.

All in nearly two years,” the Senator wrote.

Considering the amounts mentioned by Paul, it’s about $3.7 billion in spending cuts, identified waste and fraud, projected savings and alleged losses.

Trump Administration Targets Federal Waste

In September, White House said Trump used a “pocket rescission” to cut nearly $1 billion in spending it characterized as wasteful, including $567 million in HHS services for non-citizens, $15 million in DHS programs for illegal aliens, $25 million in Education programs for non-citizens, $15 million for DOJ’s Community Relations Service, $10 million for the Minority Business Development Agency and other programs the administration characterized as DEI-related.

The White House said on Oct. 1 that the Office of Personnel Management identified $500 million in fraud and waste in federal health benefit programs.

In August, CMS said it canceled about 315,000 unauthorized enrollments covering more than 760,000 people as of Aug. 31, 2026, and expects the action to result in the return of roughly $2.2 billion in advance premium tax credit payments.

Between Aug. 21 and Sept. 18, 2026, DOJ prosecutors charged 17 defendants across 11 federal districts over multiple alleged Social Security fraud involving more than $1.3 million in intended losses.

DOJ Steps Up Anti-Fraud Enforcement

The Fraud Division, established April 7, supports the White House’s Task Force to Eliminate Fraud, chaired by Vice President JD Vance. Officials have cited billions of dollars in suspected fraud identified across small-business loans, Medicaid reimbursements, government contracts, and student aid.

Vance’s anti-fraud task force and the General Services Administration (GSA) identified $1.22 billion in suspected fraud tied to five HHS COVID-era contracts that continued paying out after the pandemic emergency ended. GSA said it stopped an additional $41 million in payments and will pursue recovery and refer suspected wrongdoing to law enforcement.

Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.

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