JD Vance announces new assistant AG for nationwide fraud crackdown after Minnesota allegations

WASHINGTON, DC: Vice President JD Vance said on Thursday, January 8, that the Trump administration will soon name a new assistant attorney general tasked with investigating and prosecuting fraud, following allegations that childcare centers in Minnesota improperly siphoned off federal funds intended to help low-income families.

The appointment, Vance said, could come “in the next few days” and represents a direct response to claims that millions of taxpayer dollars were diverted through fraudulent billing and false claims tied to federally funded childcare and nutrition programs.

“We know that the fraud isn’t just happening in Minneapolis. It’s happening in states like Ohio, it’s happening in states like California,” Vance told reporters.

Position will have nationwide jurisdiction and special-counsel powers

According to Vance, the newly created assistant attorney general position will carry nationwide jurisdiction and be empowered to coordinate investigations across federal agencies.

“To help coordinate this remarkable interagency effort from the Trump administration, and to make sure that we prosecute the bad guys and do it as swiftly and efficiently as possible we are creating a new assistant attorney general position,” Vance said.

He added that while the official’s work will initially “start and focus primarily in Minnesota,” the scope of the investigation will extend across the country.

Vance said the role will have “all the benefits, all the resources, all the authority” typically granted to a special counsel, but will operate within the executive branch, reporting directly to the Vice President and President Donald Trump.

JD Vance cites Senate support for fast confirmation

Vance said that he has already spoken with Senate Majority Leader John Thune, who he said pledged to move quickly on confirming the nominee once announced.

“He has promised me swift confirmation for this official,” Vance said, signaling the administration’s intent to move rapidly amid mounting political scrutiny over federal spending oversight.

The announcement comes against the backdrop of longstanding allegations in Minnesota involving childcare centers accused of exploiting federal assistance programs designed to support low-income families.

Vance framed the issue as a betrayal of both taxpayers and vulnerable families. “The American people have been defrauded in a very nationwide way. And the families who were supposed to benefit from these programs were cheated,” he said.

The new assistant attorney general will work closely with the Justice Department, inspectors general, and state and local authorities to identify fraud networks, recover misspent funds where possible, and bring criminal charges against those responsible.

During a recent interview Vance was asked whether Minnesota Governor Tim Walz should resign over the fraud allegations.

"I think Tim Walz should resign. I almost feel bad for the guy, except for the fact that he should have seen this. Whether there was something criminal, whether he was aware of the fraud, which would be criminal or whether he simply looked the other way, it’s a massive, massive failure of government," Vance replied.