Federal prosecutor calls Newsom 'king of fraud' as Trump launches California corruption probe
Top prosecutor says millions in fraud uncovered, more charges coming
By Madison Colombo Fox News
Published January 8, 2026 11:49am EST
The Trump administration is ramping up a nationwide crackdown on the misuse of taxpayer money. A top federal prosecutor criticized California Gov. Gavin Newsom over a lack of oversight, branding him the "king of fraud."
"California has spent $24 billion in the last five years on homelessness, and no one can account for where that money has really gone," First Assistant U.S. Attorney for the Central District of California Bill Essayli said Thursday on "Fox & Friends."
In April, Essayli launched a task force to investigate corruption in California, with a focus on homeless services. The task force has already resulted in federal charges against two men accused of using real estate projects to exploit the state’s homelessness system for personal profit.
Essayli said those cases, which involve millions of dollars in alleged fraud, are only the "tip of the iceberg."
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