During a recent visit to Minnesota, Treasury Secretary Scott Bessent sat down for an interview with journalist Christopher Rufo. When asked about the annual cost of fraud to the federal government, Bessent estimated the figure at between $300 billion and $600 billion — roughly 10% of the U.S. government’s yearly budget.
“That’s not my number, that’s the General Accounting Office,” Bessent said. “So, it’s about 10% of the federal budget, 1 to 2% of GDP.”
“And, if we can narrow that number, President Trump asks for a $500 billion increase in the defense budget to fortify the 10, 20 years of neglect … If we can get rid of this fraud, waste, and abuse, we can finance a safer, sounder U.S. without taking on more debt.” ...
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