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Elon Musk Drops Jaw-Dropping Estimation of Fraud In America, Explains It Could Be $700 Billion a Year
American Tribune ^ | January 07, 2026 | Adam Stanton

Posted on 01/07/2026 11:44:27 AM PST by Red Badger

Elon Musk, the visionary former head of DOGE, amplified a brave citizen journalist’s exposé on rampant fraud in Minnesota’s Somali community under Tim Walz’s lax oversight. Young conservative Nick Shirley documented empty daycares and shell companies siphoning billions in taxpayer funds for housing, food, and vehicles.

For context, most estimates place the total amount of fraud at $80-100 billion statewide, tied to scandals like Feeding Our Future. Building on this point, Musk declared that fraud in California, New York, and Illinois is far worse and estimated nationwide waste at ~10% of the federal budget.

Starting the interaction, one of the two men, David, asked the courageous citizen journalist a question: “There’s a lot of fraud happening here in Minnesota. You’ve been living here for years now. How bad is this fraud?”

Responding, Nick Shirley answered, “So I was born in Minneapolis a long time ago. I’ve lived my whole life here, and my opinion is that this is the worst fraud in human history.” Continuing, the other man asked. “What is occurring in Minnesota and more specifically, in the Twin Cities right now? How much money do you think has been sent around fraudulently here inside Minnesota over the years?”

Responding confidently, the young conservative declared, I would say anywhere from 80 to $100 billion right now. The big controversy is with Tim Waltz and his government and the fraud that they’ve allowed to happen within the Somali community. Right behind us is Cedar Riverside, a location that is very densely populated with Somalians.”

Throwing out another question, David interjected, “How have Somalians gotten into the system to defraud the American taxpayer?” Shirley noted, “Well, so that complex you’re seeing behind there. I attended the University of Minnesota, and in the area we’re on right now, this is the West Bank, and it was always called the West Bank, and it was sort of the place to be when you’re in college.”

Continuing his expose, he stated, “And that was all student housing, 100% that building you see in the background, it’s now 100% Somali, and I can tell you confidently, they don’t pay for their housing, they don’t pay for their food, they don’t pay for their vehicles, and on top of that, they have hundreds and hundreds and hundreds of fraudulent companies set up, and they’re sucking billions of dollars out of the state of Minnesota.”

VIDEO AT LINK................

Reacting to the initial post, Elon Musk, the former head of DOGE, responded, “The fraud in California, New York and Illinois is far greater than in Minnesota. My guess for how much fraud is happening nationwide is roughly 10% of the Federal budget, so about $700 billion per year.”

Similarly, other conservatives were irate. Responding to Elon’s posts, one comment read, “The scale of Somali fraud is so vast it defies imagination. 👉They have literally SATURATED Minnesota and Musk says Cali, NY & Illinois are far worse. This is full-scale five alarm fire level infiltration folks. 👉Like $700 BILLION DOLLARS PR YR.”

Featured image from embedded video........


TOPICS: Business/Economy; Conspiracy; Government; Military/Veterans
KEYWORDS: elonmusk; fraud; minnesota; minnesotafraud; musketeers; presidentofsomalia; rampantfraud; somali; totaltruth

1 posted on 01/07/2026 11:44:27 AM PST by Red Badger
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To: Red Badger
Explains It Could Be $700 Billion a Year

Given a $3.5T budget, 20% fraud would not be surprising at all.

2 posted on 01/07/2026 11:45:46 AM PST by chajin ("There is no other name under heaven given among people by which we must be saved." Acts 4:12)
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To: Red Badger

bkmk


3 posted on 01/07/2026 11:47:28 AM PST by wasmv80
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To: Red Badger
...10% of the federal budget.

Of the ANNUAL budget. Now multiply by 10, 20, 30 years.

10% sounds low.

4 posted on 01/07/2026 11:48:06 AM PST by Texas Eagle ("Throw me to the wolves and I'll return leading the pack"- Donald J. Trump)
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To: Red Badger

Thank you, FDR, for teaching corrupt politicians how to buy votes and elections with taxpayer money.


5 posted on 01/07/2026 11:50:10 AM PST by greenbrier
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To: Red Badger
That's a conservative estimate. Consider all of LBJ's chillens still on a free ride. Not to mention ... everything else.

The money the uniparty is giving/has given away is criminal.

6 posted on 01/07/2026 11:50:27 AM PST by LouAvul (The Old Testament is historical, but we are to only follow the New Testament. )
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To: Red Badger

Always had a gut feeling Elon was psy op


7 posted on 01/07/2026 12:04:26 PM PST by waterhill (This world is not my home, I'm just passin' through, you gotta come up to The House.)
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To: Red Badger

I think it’s more than that myself, if you include all the taxes at federal, state, and municipal.


8 posted on 01/07/2026 12:05:03 PM PST by Jonty30 (Escasooners are faster than escalators,)
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To: Red Badger
Explains It Could Be $700 Billion a Year

...and that's just what Congress is collecting from bogus NGO's and daycare centers!

9 posted on 01/07/2026 12:05:42 PM PST by econjack
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To: econjack

We need him to do a DOGE part ii...
Dedicated to all of this fraud.


10 posted on 01/07/2026 12:11:59 PM PST by uranium penguin
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To: Red Badger
The US federal budget is 7 trillion dollars and 40% of that spending is entitlement transfer payments of one form or another

Non entitlement spending fraud and waste rates of 10% are reasonable but fraud in entitlement programs is much higher .

Furthermore, Elon is only considering Federal money in this fraud estimate and states like California and others contribute state money as well. I think California contributes 25-30% on many programs

In total, fraud could be well over a trillion a year

11 posted on 01/07/2026 12:24:07 PM PST by rdcbn1 (..when poets buy guns, tourist season is over................Walter R. Mead.l)
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To: Red Badger

So when do we have that tax revolt.


12 posted on 01/07/2026 12:27:04 PM PST by unixfox (Abolish Slavery, Repeal the 16th Amendment)
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To: uranium penguin

Excellent suggestion! DOGE needs to be a top priority of the administration. If not, nothing will change.


13 posted on 01/07/2026 12:32:26 PM PST by Starboard
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To: Red Badger

If the fraud waste is used to pay off national debt, interest rates would tumble, people can buy homes again and inflation would be minuscule.


14 posted on 01/07/2026 1:01:48 PM PST by Bobbyvotes (Work is worship! .... Bhagavad Geeta)
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To: Bobbyvotes

So that’s why the Dems are so damn upset!

They haven’t been this angry since we took their slaves away in 1865..............


15 posted on 01/07/2026 1:03:09 PM PST by Red Badger (Iryna Zarutska, May 22, 2002 Kyiv, Ukraine – August 22, 2025 Charlotte, North Carolina Say her name)
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To: unixfox

You lead, I will follow. My income tax for 2025 is approaching $40k. In 1980 I could buy a brand new 4 bedroom brick home with $40k.


16 posted on 01/07/2026 1:04:27 PM PST by Bobbyvotes (Work is worship! .... Bhagavad Geeta)
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To: Red Badger

Actually, it is probably more.


17 posted on 01/07/2026 1:11:38 PM PST by RetiredTexasVet (Trump has arrived and it is awesome to have a real President.)
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To: chajin

Budget less interest is more like 6 trillion ?


18 posted on 01/07/2026 3:24:38 PM PST by stateofit
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To: Red Badger

I HOPE MUSK FINDS A POSITION FOR NICK SHIRLEY


19 posted on 01/07/2026 6:35:03 PM PST by ridesthemiles (not giving up on TRUMP---EVER)
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