Trump and Vance Announce $25M Program Paying Up to $30,000 for Federal Fraud Tips

President Donald Trump and Vice President JD Vance announced a $25 million Fraud Whistleblower Incentive Program today, Oct. 20, in an Oval Office event. The program, known as WHIP, pays cash to people whose tips to fraud.gov lead to a fraud conviction or a significant federal enforcement action.

The White House says eligible tipsters can receive up to $30,000. The Justice Department will run the program.

What the program pays for

A tip alone earns nothing. According to the Justice Department's published guidance, a submission has to be original, truthful and complete, offered voluntarily and in writing, and it has to lead to criminal charges in a covered area. Rewards generally run from $10,000 to $30,000.

People who took part in the fraud are generally ineligible. The department says it wants to reward actionable information early in an investigation, without waiting for a case to produce large fines or forfeitures.

Covered areas include federal health care offenses and fraud in programs run by the Departments of Agriculture, Labor, Health and Human Services, Housing and Urban Development, Education, Veterans Affairs and War, plus the Small Business Administration. The Justice Department has singled out hospice services, home health care, day care and special services as areas of focus.

The one-percent remark

Trump added a wrinkle at the event. He said the commission will be one percent of the fraud reported, even if the fraud found is a billion dollars.

One percent of a billion dollars is $10 million. That is far above the $30,000 ceiling the White House has described. The administration has not said whether the cap will stand, whether larger cases will be handled differently, or whether Trump was speaking loosely.

The Shirley check

Trump also planned to hand a $10,000 check to Nick Shirley, an independent journalist who the Associated Press describes as a right-wing influencer. Shirley posted a video in December 2025 questioning whether several Somali-run childcare centers in Minnesota were operating as legitimate businesses. It showed apparently empty facilities and included people who said they had not seen children at the locations.

The White House credits the video with helping bring a surge of FBI and Department of Homeland Security resources into Minnesota. Investigations, searches, arrests and new charges followed.

The record on those centers is mixed. Inspectors said the centers shown in the video were operating as expected, according to the AP. Shirley has answered critics in Minnesota with the line "numbers don't lie, and convictions don't lie," per a Fox News Digital headline.

There is at least one conviction tied to the video. Fahima Mahamud, former CEO of Future Leaders Early Learning Center, pleaded guilty in July to wire fraud and conspiracy to defraud the United States, according to the Justice Department. Prosecutors said she submitted inflated reimbursement claims for meals allegedly served to children at her center. The White House says her center was featured in Shirley's video.

One guilty plea shows fraud occurred at one center. It does not settle how widespread fraud is across the Minnesota childcare system, a question the inspectors' statement and the administration's account answer differently.

Where the task force stands

Trump created the Task Force to Eliminate Fraud in March and put Vance in charge. Its directive is to coordinate federal agencies' detection of fraud, tighten eligibility checks and prevent improper payments.

"Every day, President Trump's Task Force to Eliminate Fraud is zeroing in on the rampant abuse of taxpayer dollars and giving Americans the accountability they deserve," White House spokesperson Lauren Bis said. "This administration has zero tolerance for individuals who steal from Americans."

The program is funded at $25 million, and the test is whether tips produce convictions that return more than the program pays out.

The timing is political as well as administrative. The announcement comes weeks before the midterm elections, with Trump campaigning in Kansas on Monday, Oct. 19.

Two things are still open. The Justice Department has not said whether Trump's one-percent figure replaces the $30,000 ceiling. It also has not said when the first rewards could be paid, since each one requires a charge or enforcement action to come first.