Latest / The Ben Ferguson Podcast / Microsoft Fired Americans hired Foreign Visas plus China & Russia Deepen Defense Ties
Transcript
- 0:00Speaker 1: There is anger erupting right now as US brand fires
- 0:05Speaker 1: one thousand, six hundred employees after securing thousands of foreign
- 0:11Speaker 1: worker visas. One lawmaker now calling to end the H
- 0:16Speaker 1: one B foreign worker program entirely to prioritize American workers first. Now,
- 0:22Speaker 1: this also comes as the President was saying, you need
- 0:24Speaker 1: to pay a premium to secure these types of visas,
- 0:28Speaker 1: and of course a liberal judge is slapping that down.
- 0:32Speaker 2: You did, John good evening to you. This came out
- 0:34Speaker 2: of Boston. A federal judge in Boston ruled today the
- 0:37Speaker 2: one hundred thousand dollars payment the Trump administration demanded employers
- 0:42Speaker 2: pay to bring applicants from overseas to work here in
- 0:44Speaker 2: the US is considered a tax, and that the White
- 0:47Speaker 2: House doesn't have the power to unilaterally impose such a fees.
- 0:50Speaker 2: The latest court case that found President Trump unlawfully acted
- 0:53Speaker 2: without express congressional approval. The policy put into effect last
- 0:57Speaker 2: year up the fee from between two to five thousand
- 1:00Speaker 2: dollars to one hundred thousand dollars per application to have
- 1:03Speaker 2: employers bring up to between sixty five and eighty five
- 1:06Speaker 2: thousand high skilled foreign tech and university workers to the
- 1:10Speaker 2: United states each year with what's called a H one
- 1:12Speaker 2: B visa. According to court records last year, there were
- 1:16Speaker 2: about three to six years that these lasted. The H
- 1:19Speaker 2: one B program was created in nineteen ninety. The judge
- 1:22Speaker 2: today rights here the substance and application of the one
- 1:25Speaker 2: hundred thousand dollars payment reveal that it is a tax,
- 1:28Speaker 2: regardless of what the payment is called. The higher fees
- 1:31Speaker 2: were designed to prioritize US citizens over foreign workers. In
- 1:34Speaker 2: a statement, a White House spokeswoman says, the administration will
- 1:38Speaker 2: appeal and feel confident.
- 1:40Speaker 1: So there you can see how the present feels about
- 1:43Speaker 1: this issue and why. Well. A popularly US based gaming
- 1:47Speaker 1: brand owned by Microsoft is now facing a fury after
- 1:51Speaker 1: mass employee layoffs occurred in the wake of the company
- 1:54Speaker 1: being approved for thousands of foreign worker visas. Microsoft announced
- 1:59Speaker 1: that it will layoff four thousand, eight hundred people total,
- 2:03Speaker 1: and one thousand, six hundred from the corporation's Xbox division,
- 2:08Speaker 1: which makes and sells the dominant video game console you
- 2:12Speaker 1: not as Xbox. Meanwhile, Microsoft has also at the same time, well,
- 2:17Speaker 1: they've been approved to hire from foreign countries two thousand,
- 2:23Speaker 1: two hundred and seventy three employer sponsored non immigrant workers
- 2:28Speaker 1: under what is known as the H one B visa
- 2:30Speaker 1: program that all coming from the data from the US
- 2:34Speaker 1: Citizen and Immigration Services known as the USCIS. Now, there
- 2:40Speaker 1: are a lot of people that are angry about this,
- 2:42Speaker 1: claim that American jobs are being unfairly handed to foreigners
- 2:46Speaker 1: in an effort to cut labor costs, but at a
- 2:49Speaker 1: cost of leaving US workers well without a job. Quote.
- 2:53Speaker 1: A great way to fix this is to throw anyone
- 2:57Speaker 1: doing this in prison. That's what one you use are
- 3:00Speaker 1: on XD. Another one said, fire Americans and replace with
- 3:04Speaker 1: thousands of visa workers straight to jail and asset sezed. Now,
- 3:09Speaker 1: this story has happened over and over again, but it
- 3:12Speaker 1: seems to be getting worse. Another social media user said
- 3:16Speaker 1: it is the fault of our government for approving the
- 3:20Speaker 1: H one bs, referring to the visa saying our government
- 3:23Speaker 1: has sold us out of jobs at home and those
- 3:26Speaker 1: being moved to other countries. Another described the H one
- 3:30Speaker 1: B program as industrial scale job theft from Americans. Now, Microsoft,
- 3:36Speaker 1: to put in perspective, is the sixth largest beneficiary of
- 3:40Speaker 1: the H one B visa program. It's overwhelmingly dominated by
- 3:44Speaker 1: workers from India. The company has even more H one
- 3:48Speaker 1: B applications pending as well. Not to be clear, Microsoft
- 3:52Speaker 1: has employees worldwide, but most are in the United States
- 3:56Speaker 1: of America. Disproportionately. These decisions are based on one business
- 4:00Speaker 1: need not visa status. H one B employees were also
- 4:05Speaker 1: impacted by job eliminations in the US. Is what a
- 4:08Speaker 1: microspot Golly is what a Microsoft spokesman told Fox News
- 4:14Speaker 1: Digital when they were asked about the shocking layoffs. Quote,
- 4:18Speaker 1: every single employer is exploiting the H one B visa
- 4:21Speaker 1: program is what the Project for Immigration Reform said, and
- 4:26Speaker 1: lawmakers are even calling for a complete end to the
- 4:29Speaker 1: non immigrant visa program. This is insane. Legal immigration is
- 4:35Speaker 1: a major problem. These companies, especially big tech, are abusing
- 4:40Speaker 1: these immigration programs to replace American workers with foreign workers.
- 4:45Speaker 1: Is what Representative Riley Moore, a Republican from West Virginia, said,
- 4:49Speaker 1: saying no more, it's a long past time to end
- 4:52Speaker 1: the H one B scam. Now, Xbox CEO side of
- 4:57Speaker 1: the company's financial health for their layoffs, saying vote our
- 5:00Speaker 1: business today is not healthy. We are operating at margins
- 5:04Speaker 1: that are three to ten x lower than comparable platforms
- 5:07Speaker 1: and publishing businesses. They also added that the strategy is
- 5:12Speaker 1: to reset Xbox now. Many critics, however, claim that the CEO, well,
- 5:18Speaker 1: she's full of it, and also claiming that her Indian
- 5:22Speaker 1: heritage played a major role in firing the Americans given
- 5:26Speaker 1: the percentage of HEB workers from India. She was actually
- 5:29Speaker 1: born just to put in perspective in Wisconsin. But that
- 5:33Speaker 1: is the fight online now. The Vice President JD. Vance
- 5:37Speaker 1: also announced on Tuesday a large scale investigation into H
- 5:42Speaker 1: one B visas.
- 5:45Speaker 3: One of the reasons why I personally care so much
- 5:47Speaker 3: about fraud. I want to save every single one of
- 5:49Speaker 3: you money, but I also want to ensure that when
- 5:52Speaker 3: a young mom goes in to get some prenatal vitamins
- 5:55Speaker 3: and she can't afford them, she's able to get access
- 5:57Speaker 3: to them because a fraudster hasn't taken advantage of that program.
- 6:02Speaker 3: Part of what we're trying to do is to ensure
- 6:04Speaker 3: that these programs exist for the next generation. Look, just
- 6:08Speaker 3: take one of the biggest, the biggest federal programs out there,
- 6:13Speaker 3: Social Security. People to pay into Social Security for their
- 6:16Speaker 3: entire working lives every single day or every two weeks.
- 6:20Speaker 3: I should say, we get a paycheck and we see
- 6:22Speaker 3: on that paycheck, the amount of money that is going
- 6:25Speaker 3: to Social Security. I am worried that if we don't
- 6:28Speaker 3: stop sending Social Security checks to illlegal immigrants, that people
- 6:31Speaker 3: who paid into it for their entire lives are never
- 6:33Speaker 3: going to have access to that money. That's a scam
- 6:36Speaker 3: and it's totally unacceptable. So the most important thing we
- 6:39Speaker 3: can do to ensure those benefits exist for the people
- 6:43Speaker 3: who earn them is to make sure that the fraudsters
- 6:46Speaker 3: don't get them, that the American people.
- 6:48Speaker 1: Do jd Vance making it clear that all types of
- 6:52Speaker 1: fraud are exactly what they're going after each and every day.
- 6:56Speaker 3: Now.
- 6:57Speaker 1: The Vice President also went on to say at that event,
- 6:59Speaker 1: this today, I'm proud to announce that the Federal Department
- 7:02Speaker 1: of Labor has started dozens of subpoenas and investigations into
- 7:07Speaker 1: foreign fraudsters who are trying to take advantage of the
- 7:11Speaker 1: H one B visa program. American jobs ought to go
- 7:15Speaker 1: to American workers and not foreign fraudsters, and the Department
- 7:19Speaker 1: of Labor is fighting back against it now. Recently, President
- 7:24Speaker 1: Donald Trump tried to limit employer's use of the H
- 7:27Speaker 1: one B program by as you heard earlier, imposing one
- 7:30Speaker 1: hundred thousand dollars fee for companies seeking an H one
- 7:34Speaker 1: B application, a federal judge striking down that order, and
- 7:39Speaker 1: that is going to mean that there's going to be
- 7:40Speaker 1: a bigger fight moving forward. What you can expect from
- 7:44Speaker 1: the President of the White House says they're going to
- 7:45Speaker 1: fight this all the way until the end. They believe
- 7:49Speaker 1: that they have the right to do exactly what they
- 7:51Speaker 1: did with the H one B application program. The federal
- 7:55Speaker 1: judge saying, well, this amounts to attacks, and only Congress
- 7:59Speaker 1: has the ability to to impose a tax, not the president. Well,
- 8:04Speaker 1: maybe it's time for Republicans to move on this in Congress.
- 8:07Speaker 1: Americans are certainly watching right now and seeing what happens next.
- 8:12Speaker 1: But if there's anything you can count on, it's clearly this.
- 8:15Speaker 1: The Trump administration has made it abundantly clear it doesn't
- 8:19Speaker 1: matter what type of fraud that you are involved in,
- 8:23Speaker 1: we will find you, we will hunt you down, we
- 8:26Speaker 1: will charge you at crimes, we will send you out
- 8:28Speaker 1: of this country if we need to. And we're not
- 8:31Speaker 1: backing down. And there's not a single government program that's
- 8:35Speaker 1: off limits from them investigating. And that is part of
- 8:38Speaker 1: the reason why you're seeing fraud in education and even
- 8:41Speaker 1: with work visas. It's clear Democrats knew this was happening
- 8:46Speaker 1: and deliberately look the other way for years. Well, now
- 8:49Speaker 1: President Trump is saying, We're going to expose it all.
- 8:53Speaker 1: We've been focusing so much about the World Cup and
- 8:56Speaker 1: the two hundred and fiftieth anniversary of the greatest country
- 8:58Speaker 1: in the world, America. But there is a lot of
- 9:01Speaker 1: other news happening. Some of it deals with national security,
- 9:05Speaker 1: and we're now learning that the Chinese Defense Ministry has
- 9:08Speaker 1: announced that China and Russia are going to be teaming
- 9:13Speaker 1: up to hold major joint naval exercises in July. Why
- 9:19Speaker 1: are they doing this is the big question. Their answer
- 9:22Speaker 1: the world is this to quote counter maritime security threats
- 9:27Speaker 1: quote unquote. Now, the exercises, we're being told, will begin
- 9:32Speaker 1: in Chinese waters, but will then move to what they
- 9:35Speaker 1: describe as relevant areas of the Pacific Ocean. Yes, that
- 9:41Speaker 1: is concerning, especially when you have China and Russia teaming
- 9:45Speaker 1: up in a military exercise. The exercise is being dubbed
- 9:49Speaker 1: Joint C twenty twenty six, and it will begin they say,
- 9:53Speaker 1: near China's port city in the eastern Shengdang Province. Now,
- 9:58Speaker 1: the last Russian involved in the exercise arrived in those
- 10:03Speaker 1: waters over the weekend, we're also being told, and the
- 10:06Speaker 1: exercises will reportedly be held from Monday, July sixth, all
- 10:11Speaker 1: the way until July thirteenth. According to Chinese state run
- 10:16Speaker 1: at Global Times, the Russian force includes the guided missile
- 10:21Speaker 1: cruisers and many of their new frigates, as well as
- 10:25Speaker 1: their submarines and a rescue ship as well. China contributed also.
- 10:31Speaker 1: They say two guided missile cruisers plus the frigate known
- 10:35Speaker 1: as the Wuhu and a supply ship. A submarine rescue
- 10:40Speaker 1: ship also was there and another quote unnamed submarine. Now.
- 10:46Speaker 1: The Chinese Defense Ministry said this exercise would include three phases,
- 10:51Speaker 1: one being force assembly, then port planning and coordination, and
- 10:56Speaker 1: then most importantly, they say, joint operations at sea between
- 11:01Speaker 1: Russia and China. They say the port phase will primarily
- 11:04Speaker 1: include planning sessions and seminars on land, plus mutual ship
- 11:10Speaker 1: tours and then a friendly basketball match as well to
- 11:14Speaker 1: show how tight China and Russia are with one another.
- 11:18Speaker 1: The livelier at sea phase, as they described it, will
- 11:21Speaker 1: feature a range of training scenarios including joint reconnaissance, air
- 11:27Speaker 1: and missile defense, and maritime strike operations as well. Now
- 11:32Speaker 1: this is concerning because you don't see every day Russian
- 11:35Speaker 1: and China doing these types of exercises and maritime strike
- 11:39Speaker 1: operations and missile defense and air defense and reconnaissance. This
- 11:44Speaker 1: shows a very new cooperation between Russia and China, two
- 11:49Speaker 1: countries that typically do not trust anyone, and allowing each
- 11:53Speaker 1: other to come on board their ships, train together, and
- 11:56Speaker 1: coordinate together tells you just how important this alliance is
- 12:01Speaker 1: between the two nations. Now, the presence of advanced frontline
- 12:05Speaker 1: surface combatants, they say, are also important. Many of their
- 12:10Speaker 1: cruisers are intended to show how seriously, they say, Russia
- 12:13Speaker 1: and China take their maritime security threats, although the press
- 12:17Speaker 1: release were notably led on details of where those threats
- 12:21Speaker 1: actually might be coming from at all. One of the
- 12:25Speaker 1: state of aims or the exercises to reduce, they say,
- 12:28Speaker 1: perceive threats to key maritime strategic corridors posed by certain
- 12:33Speaker 1: regional countries, and that's why they say they need to
- 12:37Speaker 1: do these exercises now, they say, through the joint exercises,
- 12:41Speaker 1: the two sides seek to demonstrate their ability to keep
- 12:45Speaker 1: these sea lanes open and operate further into the Pacific,
- 12:49Speaker 1: the Chinese military experts are now saying to the Global Times,
- 12:54Speaker 1: obviously that is Chinese propaganda. Song also added that the
- 12:59Speaker 1: joint exercise is intended to quote deter unilateral actions by
- 13:03Speaker 1: certain countries. Obviously they're referring to America, and they say
- 13:08Speaker 1: resists historical revisionism and discouraged behavior scene as undermining the
- 13:13Speaker 1: security and the well being of our neighboring countries. Which
- 13:18Speaker 1: offered a few more clues about who the Chinese and
- 13:21Speaker 1: Russian sailors are actually training to fight. You guessed it,
- 13:25Speaker 1: it would be in large part the United States. They said,
- 13:29Speaker 1: the unilateral actions by certain countries, well, that has also
- 13:34Speaker 1: been used before by the Chinese Communist Party. It is
- 13:37Speaker 1: language that they use almost exclusively about the United States
- 13:41Speaker 1: of America and the Asian Pacific region. Recent historical revisions
- 13:47Speaker 1: is a thinly veiled slam at countries like the US
- 13:50Speaker 1: and then Japan as well as the Philippines for challenging
- 13:54Speaker 1: China's expansive claims to control the entire South China see region.
- 14:00Speaker 1: They're making it known what they think about all of this. Now,
- 14:04Speaker 1: the Kremlin was a bit less well blunt about their
- 14:08Speaker 1: actions on Monday, insisting that the joint C twenty twenty
- 14:13Speaker 1: six drills were not meant to threaten or intimidate any
- 14:16Speaker 1: particular country. Obviously, China's in a much stronger position, they feel,
- 14:21Speaker 1: and Russia is in a much weaker position, especially with
- 14:24Speaker 1: the Ukraine War and how they've been isolated from the
- 14:27Speaker 1: rest of the world's economy. As for our joint exercises,
- 14:30Speaker 1: Russia says they are not directed against anyone nor against
- 14:35Speaker 1: any single state in the region. Everyone should bear this
- 14:38Speaker 1: in mind, is what the Kremlin spokesperson said publicly. Now,
- 14:42Speaker 1: Russia also went on to say this on the contrary,
- 14:45Speaker 1: cooperation between Russia and China in such an important critical
- 14:48Speaker 1: area is a very significant factor that contributes to predictability
- 14:54Speaker 1: and security in the region. Now, military analysts around the
- 14:57Speaker 1: world they're all watching these exercises very carefully because they
- 15:01Speaker 1: reveal several important trends. And that first is Russia and
- 15:05Speaker 1: China now believe they have a truly common strategic interest,
- 15:10Speaker 1: and that interest is reducing America's influence around the world.
- 15:14Speaker 1: That is obvious. They don't have to agree on everything,
- 15:17Speaker 1: but both governments oppose what they see as a US
- 15:20Speaker 1: led international order, and these joint military exercises are sending
- 15:25Speaker 1: a message that they can coordinate their forces if needed. Secondly,
- 15:31Speaker 1: they're also learning from one another. Russia, we now know,
- 15:34Speaker 1: has accumulated years of real world combat experience in Ukraine,
- 15:39Speaker 1: everything from drone warfare to electronic warfare to missile defense.
- 15:43Speaker 1: And China is one of the largest and most technologically
- 15:46Speaker 1: advanced militaries, but it hasn't fought a major war literally
- 15:50Speaker 1: in decades. Reports this year indicate Chinese forces have secretly
- 15:56Speaker 1: trained Russian troops in areas such as drone operations and chemical,
- 16:00Speaker 1: biological and radiological defenses, while Russia shares lessons learned from
- 16:06Speaker 1: the battlefield in Ukraine. China, of course, they lie. They
- 16:10Speaker 1: deny it has ever provided military support in the war,
- 16:13Speaker 1: but our intelligence agencies say military cooperation has deepened significantly.
- 16:19Speaker 1: And then there's a third reason for these exercises. Every
- 16:23Speaker 1: time two militaries operate together, they improve communications, they improve logistics,
- 16:28Speaker 1: command structures, and they learn how to work together. That
- 16:33Speaker 1: means if a future crisis develops, whether it's in Taiwan
- 16:37Speaker 1: or the South China Sea, Europe or elsewhere. They're much
- 16:41Speaker 1: better prepared for coordinating than they ever have before. Now,
- 16:46Speaker 1: this doesn't mean that WORL War III is around the corner,
- 16:49Speaker 1: but it is important to understand that Russia and China
- 16:52Speaker 1: are not a formal military alliance like NATO. Neither country
- 16:56Speaker 1: is committed to automatically going to war on behalf of
- 16:58Speaker 1: one another. They each still pursue their own national interests first,
- 17:03Speaker 1: but this is an area where they clearly want to cooperate,
- 17:07Speaker 1: and the trend well, it's unmistakable if you ask military experts,
- 17:12Speaker 1: because these two countries, as I mentioned earlier, they don't
- 17:15Speaker 1: trust anyone, and for them to dramatically expand over the
- 17:19Speaker 1: last several years the way they have and now have
- 17:21Speaker 1: joint exercises that are literally reaching record levels, it means
- 17:26Speaker 1: something now that United States may have to prepare for
- 17:29Speaker 1: the possibility of managing multiple security challenges at once to
- 17:34Speaker 1: during Russia and Europe while also maintaining stability in the
- 17:38Speaker 1: Indo Pacific and then American allies including Japan, South Korea, Australia,
- 17:43Speaker 1: NATO members and others are likely to continue increasing defend
- 17:47Speaker 1: spending and military cooperation and response as well. This is
- 17:52Speaker 1: exactly why you have to have a strong military presence,
- 17:55Speaker 1: and it also raises the stakes anytime there's a crisis
- 17:58Speaker 1: involving Taiwan now or even Eastern Europe, because if Russian
- 18:02Speaker 1: and China are coordinating more closely, then lawmakers, policymakers, they've
- 18:08Speaker 1: got to think through how one regional conflict could actually
- 18:11Speaker 1: affect another. So today's military exercises and they'll be going
- 18:16Speaker 1: on for a whole week, they don't necessarily mean a
- 18:19Speaker 1: conflict is imminent. What it does mean is that Russia
- 18:22Speaker 1: and China are turning over a new leaf and looking
- 18:26Speaker 1: to work together to try to stop American influence around
- 18:29Speaker 1: the world. Now, the partnership ultimately becomes a true military
- 18:33Speaker 1: alliance if they decide to actually get involved in attack somewhere.
- 18:38Speaker 1: So far, China has not been willing to do that
- 18:40Speaker 1: in decades. But what we do know is there's a
- 18:43Speaker 1: lot of people asking a lot of questions right now
- 18:46Speaker 1: about Taiwan and what could this mean if Russia decide
- 18:49Speaker 1: to get involved with China in that way. Only time
- 18:53Speaker 1: will tell, but it certainly means that the United States
- 18:56Speaker 1: America must be paying attention and watching like never before.
- 19:01Speaker 1: President Donald Trump giving us another example of why the
- 19:04Speaker 1: Trump administration says rooting out government waste, government fraud and
- 19:08Speaker 1: abuse isn't just a campaign slogan, It's a governing priority
- 19:14Speaker 1: of this administration. There is new explosive reports out that
- 19:19Speaker 1: allege that investigators have uncovered more than two hundred and
- 19:22Speaker 1: twenty five million and suspected K through twelve education fraud,
- 19:28Speaker 1: adding to what the administration says, a growing list of
- 19:31Speaker 1: cases where taxpayer dollars intended for America's children instead end
- 19:36Speaker 1: up enriching bad actors. Now, it's also important to make
- 19:40Speaker 1: one major distinction right at the beginning of this conversation. Now,
- 19:44Speaker 1: these are allegations and investigative findings, not criminal convictions yet.
- 19:50Speaker 1: But if even a fraction of these allegations are ultimately
- 19:53Speaker 1: proven true, taxpayers have every reason to be enraged by
- 19:59Speaker 1: the steel of your dollars. And it also explains why
- 20:02Speaker 1: public education is failing our young people. Think about this
- 20:07Speaker 1: money and what it was supposed to do. It was
- 20:09Speaker 1: supposed to buy textbooks. It was supposed to help children
- 20:13Speaker 1: learn to read, to deal with learning disabilities, and support.
- 20:17Speaker 1: It was supposed to fund special education services for a
- 20:21Speaker 1: multitude of children. It was supposed to pay for classroom technology, tutoring,
- 20:27Speaker 1: even transportation, school meals and resources for the teachers. Instead,
- 20:33Speaker 1: according to investigators nationwide, millions and millions and millions of
- 20:38Speaker 1: dollars have been diverted through fraudulent schemes that were easy
- 20:43Speaker 1: to catch. Clearly, the school district's choosing to look the
- 20:46Speaker 1: other way, and that is exactly why President Trump has
- 20:49Speaker 1: repeatedly argued that Washington needs far more oversight of taxpayer spending.
- 20:56Speaker 1: And let's be clear, throughout Trump's second administration, he's been
- 21:00Speaker 1: fighting fraud and it's become a centerpiece of his domestic agenda.
- 21:04Speaker 1: Now it doesn't matter what type of fraud it is.
- 21:07Speaker 1: Could be medicaid fraud, Medicare fraud, pandemic relief abuse, unemployment
- 21:11Speaker 1: insurance scams, even immigration related benefits fraud. But now it's
- 21:16Speaker 1: hardcore education fraud. The White House has consistently argued that
- 21:21Speaker 1: billions of taxpayer dollars have been lost because of well,
- 21:25Speaker 1: the previous administration's failure to aggressively investigate and not only investigate,
- 21:30Speaker 1: but prosecute the egregious financial abuse. The Administration's message is simple.
- 21:37Speaker 1: Every dollar stolen from a taxpayer is a dollar stolen
- 21:41Speaker 1: from hardworking Americans, and every dollar stolen from a classroom
- 21:45Speaker 1: is a dollar stolen from a child and their future. Now,
- 21:49Speaker 1: according to the investigators, many of these education fraud cases
- 21:54Speaker 1: involved the misuse of federal education grants, then fake ven
- 22:00Speaker 1: inflated invoices, duplicate billing, false reimbursement requests, conflicts of interests,
- 22:08Speaker 1: and then various schemes they say designed to siphon public
- 22:11Speaker 1: money away from the students and into the private pockets
- 22:15Speaker 1: of corrupt individuals. Now, this is exactly the type of
- 22:20Speaker 1: fraud schemes that inspector generals have warned Congress about for years. Now.
- 22:25Speaker 1: One of the main problems is that whenever the federal
- 22:27Speaker 1: government rapidly increases spending, and we've seen that happen countless
- 22:30Speaker 1: times with public education, while oversight and this could be
- 22:34Speaker 1: on purpose by the left, have often struggled to keep pace.
- 22:40Speaker 1: We saw that, by the way, clearly during the COVID relief,
- 22:43Speaker 1: We saw it with unemployment benefits, we saw it with
- 22:47Speaker 1: small business relief, and investigators now say education funding has
- 22:52Speaker 1: become another area requiring far greater accountability. The Trump administration
- 22:57Speaker 1: argues this isn't simply about recovering mone it's also about
- 23:01Speaker 1: restoring confidence the government can actually protect taxpayer dollars because,
- 23:06Speaker 1: let's be honest, Americans don't mind investing in education. Polling
- 23:10Speaker 1: has shown that over and over again. And also we
- 23:13Speaker 1: know that most parents and grandparents want incredible quality schools.
- 23:17Speaker 1: Most taxpayers are happy to support children's futures. What frustrates
- 23:22Speaker 1: people is discovering that when the money that they've given
- 23:25Speaker 1: that was intended for students may instead be well financing
- 23:29Speaker 1: straight up fraud and corruption. There's also another aspect of this.
- 23:34Speaker 1: Imagine being a teacher buying classroom supplies out of your
- 23:37Speaker 1: own pocket while someone else is stealing hundreds of thousands
- 23:40Speaker 1: or even millions of dollars through fraudulent contracts or fake
- 23:44Speaker 1: billing or duplicate billing. And that's what makes stories like
- 23:47Speaker 1: this so infuriating. Teachers often spend their own money on pencils, paper,
- 23:52Speaker 1: classroom decorations, science projects, and even books. Investigators are alleging
- 23:59Speaker 1: enormous sums peered through fraudulent activity as well. President Trump
- 24:03Speaker 1: has repeatedly said the US government shouldn't automatically ask taxpayers
- 24:09Speaker 1: for more money until it proves it can responsibly manage
- 24:12Speaker 1: the money that it already takes in that it already has,
- 24:16Speaker 1: and stories like this, while they strengthen the president's argument,
- 24:19Speaker 1: Supporters of President Trump also point to the broadern pattern here.
- 24:23Speaker 1: For years, federal watchdogs have warned about weak internal controls.
- 24:28Speaker 1: They've warned about insufficient auditing, they have warned about outdated
- 24:33Speaker 1: accounting systems, and they've warned about agencies failing to verify
- 24:37Speaker 1: where grant money actually even goes. And that's where the
- 24:40Speaker 1: fraudsers come in and they exploit exactly these weaknesses. Well,
- 24:45Speaker 1: the administration says it's cracked down as design to change
- 24:48Speaker 1: that by increasing investigations as well as expanding forensic audits,
- 24:53Speaker 1: coordinating more closely with inspector generals, and pursuing both civil
- 24:58Speaker 1: and criminal enforcem when it's appropriate. And that extends beyond education.
- 25:04Speaker 1: The administration has highlighted investigations also into healthcare fraud, benefits, fraud,
- 25:10Speaker 1: procurement fraud, disaster relieve fraud, and organized criminal schemes targeting
- 25:15Speaker 1: federal programs and the criminals they've gotten insanely rich off
- 25:19Speaker 1: of all of this, Officials argue that recovering stone taxpayer
- 25:23Speaker 1: dollars not only helped reduce waste, but also it does
- 25:27Speaker 1: something important without cutting legitimate services. That's an important distinction.
- 25:33Speaker 1: The goal, according to the Trump administration, isn't taking resources
- 25:36Speaker 1: away from students. It's making sure the money actually reaches
- 25:40Speaker 1: those students at all, because every fraudulent dollar means fewer
- 25:44Speaker 1: legitimate resources are available for the classroom and for the individual.
- 25:48Speaker 1: The broader political debate here is also significant because for years,
- 25:52Speaker 1: many in Washington have responded to challenges in education by
- 25:56Speaker 1: proposing one thing, more money, larger budgets, and President Trump
- 26:01Speaker 1: is arguing now yet again that before we appropriate any
- 26:05Speaker 1: additional funds, much less billions of dollars, it should first
- 26:08Speaker 1: eliminate the fraud, the waste, the abuse that's already deep
- 26:12Speaker 1: entrenched inside of the education system. That's also a message
- 26:17Speaker 1: that is likely to resonate with many taxpayers come the midterms.
- 26:21Speaker 1: After all, if a private company discovered hundreds of millions
- 26:24Speaker 1: of dollars being stolen internally, shareholders wouldn't approve another spending
- 26:28Speaker 1: increase without demanding accountability first. And that's exactly what the
- 26:33Speaker 1: President's advocating for. Government should not operate under a lower
- 26:37Speaker 1: standard and The other major question is this oversight. How
- 26:41Speaker 1: long do these alleged schemes continue. We're warning signs completely
- 26:46Speaker 1: ignored to whistleblowers raise concerns. We're audits delayed where agencies
- 26:52Speaker 1: properly monitoring grant receipts. These are questions and investigators in
- 26:57Speaker 1: Congress will continue to examine. It's also worth remembering that
- 27:01Speaker 1: education funding involves multiple layers of government. Federal dollars often
- 27:07Speaker 1: flow through state agencies and then the local school districts
- 27:10Speaker 1: or nonprofit organizations. That complexity can create opportunities for fraud
- 27:15Speaker 1: if oversight breaks down at any stage, and clearly it did.
- 27:19Speaker 1: That's one of the reasons that Trump and his investigators
- 27:22Speaker 1: say it's important that transparency be shown. The administration argues
- 27:26Speaker 1: that technology, data analytics, and stronger financial controls can actually
- 27:31Speaker 1: help deter suspicious transactions much earlier. So, instead of discovering
- 27:36Speaker 1: fraud at this level years later, the Trump administration won
- 27:40Speaker 1: systems capable of identifying unusual spending patterns in real time.
- 27:45Speaker 1: Now for taxpayers, this story touches on something much larger
- 27:48Speaker 1: than education. It really goes down to the issue of trust.
- 27:52Speaker 1: Americans work hard for their paychecks and they should demand
- 27:55Speaker 1: that a government and expect that government is going to
- 27:58Speaker 1: be a responsible steward of the taxes they send to Washington.
- 28:02Speaker 1: But when headlines reveal hundreds of millions of dollars in fraud,
- 28:06Speaker 1: while confidence disappears, doesn't just a road. And that's why
- 28:10Speaker 1: the administration says accountability isn't optional, it's a mandatory essential.
- 28:16Speaker 1: Every fraudulent scheme uncovered sends two messages. First, investigators are
- 28:21Speaker 1: finding the problem that need fixing, and second, potential fraudsters
- 28:25Speaker 1: are being warned that enforcement is increasing. Now, whether these
- 28:29Speaker 1: investigations ultimately result in indictments, conviction settlements, are recovered funds
- 28:34Speaker 1: remains to be seen. But one thing is clear. The
- 28:37Speaker 1: Trump administration intends to make fraud enforcement a defining part
- 28:41Speaker 1: of its governing philosophy. President Trump is repeatedly argued that
- 28:46Speaker 1: before asking Americans to sacrifice more, Washington must clean up
- 28:50Speaker 1: its own books. And that is exactly what they found
- 28:54Speaker 1: from this investigation. We'll keep following this story. I can
- 28:58Speaker 1: promise you that we've got a lot more that's going
- 29:00Speaker 1: to happen the days ahead, So make sure you don't
- 29:03Speaker 1: forget grab our podcast The Ben Ferguson podcasts wherever you
- 29:06Speaker 1: get your podcasts as well, hit that subscriber on or
- 29:09Speaker 1: download button so you don't miss any of the breaking news.