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Wednesday, January 7, 2026

California risks $250B fraud, GOP candidates claim after collecting whistleblower tips - AOL.com

Steve Hilton, who is running for governor, and Herb Morgan, who is seeking the state controller job, unveiled findings from their “CALIFRAUDIA” tip-line investigation — a damning review of the Golden State’s bloated welfare system, which they allege has become a piggy bank for scammers and political hacks.

The explosive allegations come after the duo collected hundreds of whistleblower tips through their website Califraud.com, painting a picture of systematic looting across major state programs.

“This is what you get from 16 years of one-party rule,” Hilton is expected to thunder at a Monday afternoon press conference in San Francisco. “Corruption, fraud and abuse on an epic scale. Gavin Newsom and the corrupt Democrat machine have stolen our money and handed it out to corrupt cronies and political front groups.”

“Who is Steve Hilton? We don’t respond to MAGA made-up numbers. In the actual world where adults govern, Governor Newsom has been cleaning house,” said Izzy Gardon, Newsom’s spokesperson, in a statement. “Since taking office, he’s blocked over $125 BILLION in fraud, arrested criminal parasites leaching off of taxpayers, and protected taxpayers from the exact kind of scam artists Trump celebrates, excuses, and pardons.”

The Republican candidates fired off a formal letter to Attorney General Pam Bondi and federal inspectors general demanding the FBI’s Public Corruption and Complex Fraud units swoop in to investigate.

They’re also demanding independent audits of...



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