Trump admins new way to bludgeon blue states, accuse of fraud then cut off funds

[BlueWaveNeverEnd]

https://www.politico.com/news/2026/01/12/brace-for-impact-trump-turns-fraud-into-new-weapon-against-blue-states-00719401

‘Brace for impact’: Trump turns fraud into new weapon against blue states


SACRAMENTO, California — Donald Trump has found a new way to bludgeon blue states: accuse them of fraud, then move to cut off their money.

The attacks ramping up across the map — from Albany and Springfield to Denver and Sacramento — follow Minnesota Gov. Tim Walz ending his reelection campaign amid allegations of welfare fraud in his state, a case Trump’s MAGA allies seized to cast similar aspersions at other Democratic leaders.

The Trump administration cited unproven fraud allegations last week as it put a hold on $10 billion in child care funding to five Democratic-run states. The Department of Justice announced it’s launching a new division of fraud enforcement, pointing to Minnesota’s “fraud epidemic.” And in California, acting U.S. Attorney Bill Essayli said he’s pursuing additional charges of fraud involving state homelessness programs after railing for months against Gov. Gavin Newsom’s management of state spending.

“I’ll say one thing about our president: He told us he was going to do this,” Manhattan Democrat Liz Krueger, the influential chair of the New York Senate Finance Committee, said of the administration’s funding cuts. “He told us he was going to punish blue states. We have to brace for impact, we have to use our legal skills, our amazing attorney general, and endless lawsuits to at least hold them back.”

[leftstreet]

1. Every accusation is a confession

He's the king of fraud, so naturally that's what his mind runs to

DURec

[Diamond_Dog]

2. Government by revenge.

Why does every single photo of him show him with his pie hole wide open. It’s disgusting.

[lapfog_1]

3. we need to not pay federal taxes.

The entire reason our country exists as a country was taxation without representation.

Cutting off funding to blue states is a declaration of financial war against not only our elected representatives, but taxpayers in those states.

We should claim "states rights" and require corporations and private employers to not pay federal withholding tax at least equivalent to the cost of replacing the services that the US government refuses to fund ( if not entirely ).

It is past time for a separation, if not a divorce.

[tritsofme]

4. This has always been a silly idea. Even if states manage to steal tax dollars

intended for the federal government, those individuals and businesses will still owe what they owe, only now with interest and penalties, along with some federal felony charges for whoever implemented the scheme.

[lapfog_1]

5. glad you think it is silly

They can't do all the things you claim without a trial. And in this case, since the states are involved, I don't think it would be a tax court trial.

The SCOTUS can't ever claim "states rights" again for US passed legislation ( or court decisions ) if they are selective on how they impose federal law.

At the very least it will expose the hypocrisy on the right.

[tritsofme]

6. Those consequences are why no state would ever actually do this.

Let’s stay in the reality based community.

[Bayard]

7. You can commit fraud, or be a domestic terrorist

Depends on the day of the week.