DOGE Busts $48.95B Fraud: Who’s Stealing Your Money? (Part 3)
- Lynn Matthews
- May 30
- 5 min read
DOGE Exposes the Rot: Waste and Fraud in Government’s Darkest Corners

In Parts 1 and 2, WecuMedia laid bare the Department of Government Efficiency’s (DOGE) findings on government waste—billions in unnecessary contracts, zombie programs, and redundant spending bleeding taxpayers dry (WecuMedia, 2025a, 2025b). But waste is just the surface. Beneath it lies a darker truth: fraud and cronyism, where taxpayer dollars are funneled to the connected few under the guise of public good. In 2025, DOGE uncovered fraud in high-risk sectors like defense and health, exposing schemes that cost billions. From a $2 billion green energy grant to a Stacey Abrams-linked group with just $100 in revenue to fraudulent defense contracts and Medicaid scams, the rot runs deep. This isn’t incompetence—it’s betrayal, and it’s time to fight back.
Fraud in the Defense Sector
DOGE’s 2025 audit revealed $1.7 billion in defense contracts for equipment never delivered, as noted in Part 1 (WecuMedia, 2025a). But how much of that was fraud? A 2025 Washington Post investigation found that 30% of defense contracts in 2024, worth $36 billion, were awarded without competitive bidding, often to firms with ties to Congress (Washington Post, 2025). Raytheon, a major player, exemplifies this betrayal. In October 2024, the Justice Department announced that Raytheon would pay over $950 million to settle charges of defective pricing, foreign bribery, and export control violations (U.S. Department of Justice, 2024). From 2012 to 2018, Raytheon overcharged the Department of Defense (DoD) by $111 million on contracts for Patriot missile systems and a radar system by providing false pricing data. Separately, from 2012 to 2016, they paid nearly $2 million in bribes to a Qatari air force official to secure contracts, falsifying export applications to hide the payments.
Raytheon’s penalty includes $574.7 million for the pricing fraud and $375 million for the bribery scheme, yet no individuals were prosecuted, and Raytheon retains its $26 billion in annual defense contracts (U.S. Department of Justice, 2024). Another case involved a contractor billing $500 million for fighter jet parts that were never produced, falsifying delivery records to secure payment (Washington Post, 2025). The DoD paid up, thanks to lax oversight and a cozy relationship with contractors who donated $50 million to congressional campaigns in 2024 (Federal Election Commission, 2025).
This isn’t just waste—it’s intentional deception. Contractors overbill, falsify deliverables, and exploit the DoD’s $850 billion budget, knowing oversight is a joke. DOGE’s push for competitive bidding was met with resistance from lawmakers beholden to these firms, showing how fraud thrives when accountability dies (Department of Defense, 2025). Every dollar stolen from defense is a dollar not spent on soldiers who need real support.
Fraud in the Health Sector
The health sector is another cesspool of fraud. Part 2 highlighted $500 million in redundant Medicaid administrative costs in 2025, tied to overlapping state and federal fraud detection efforts (WecuMedia, 2025b). But fraud runs deeper. A 2025 report by the Arc of Michigan found that fraudulent billing in Medicaid cost $10 billion in 2024, with providers submitting claims for services never rendered (Arc of Michigan, 2025). One scheme involved a Florida clinic billing $50 million for fake mental health services, exploiting vulnerable patients while pocketing taxpayer funds.
Oversight failures fuel this fraud. The Centers for Medicare & Medicaid Services (CMS) has been criticized for weak auditing, with a 2024 GAO report noting that 20% of Medicaid payments—$80 billion—were improper due to insufficient verification (Government Accountability Office [GAO], 2024). Providers know they can game the system, and CMS’s hands-off approach lets them. This isn’t just waste—it’s theft, targeting the most vulnerable while you foot the bill.
The Stacey Abrams Green Funding Scandal: Fraud or Cronyism?
Now, let’s talk about a case that blurs the line between waste and fraud: a $2 billion green energy grant to a Stacey Abrams-linked group. In April 2024, the Biden administration’s EPA awarded $2 billion to Power Forward Communities (PFC), a nonprofit formed in October 2023 with just $100 in revenue (Environmental Protection Agency [EPA], 2024). Abrams, a senior counsel for Rewiring America—one of PFC’s five coalition members—played a “pivotal role” in securing the grant, per Rewiring America’s own statements (Free Beacon, 2025). The grant, part of the Greenhouse Gas Reduction Fund, aimed to fund energy-efficient housing upgrades, but DOGE and EPA Administrator Lee Zeldin flagged it in 2025 as potential fraud.
Here’s why it stinks: PFC had no experience managing such funds and was required to complete “How to Develop a Budget” training within 90 days of receiving $2 billion (EPA, 2025). The Biden administration parked the $20 billion fund (including PFC’s grant) at Citibank to limit oversight, a move Zeldin called a “gold bars” scheme to favor allies (EPA, 2025). Abrams, a vocal Biden supporter, led a pilot project that PFC’s application scaled up, yet PFC later claimed their ties to her were “alleged” when scrutiny hit (Free Beacon, 2025). The DOJ and FBI are now investigating for possible cronyism and mismanagement (EPA, 2025).
Is this fraud? There’s no direct evidence Abrams pocketed the money—PFC’s CEO insists she “hasn’t received a penny” (Politico, 2025). But handing $2 billion to a $100-revenue nonprofit with ties to a political figure screams cronyism, if not outright fraud. The lack of transparency, PFC’s inexperience, and the timing—awarded in April 2024 with terms revised post-election—suggest favoritism over taxpayer interest. At best, it’s reckless waste. At worst, it’s a deliberate funneling of funds to political allies, betraying the public trust.
The Bigger Picture: A System Built on Betrayal
Add it up: Raytheon’s $950 million settlement, $36 billion in non-competitive defense contracts, $10 billion in Medicaid fraud, and $2 billion in a questionable green energy grant. That’s $48.95 billion in waste and potential fraud, and that’s just the tip of the iceberg. DOGE’s 2025 audit shows the government is a machine designed to enrich the connected few—contractors, bureaucrats, and political cronies—while you struggle to pay bills in an inflationary economy.
WecuMedia is here to wake you up. This isn’t just inefficiency—it’s a system built on betrayal. Demand accountability. Push for stricter oversight, competitive bidding, and real penalties for fraud. Support leaders who’ll dismantle this machine, not feed it. The government won’t change unless you make it.
Editor’s Note: This is Part 3 of WecuMedia’s investigative series on government waste. Stay tuned for Part 4, where we’ll explore solutions to end this cycle of fraud and inefficiency.
References
Arc of Michigan. (2025). Medicaid program integrity: Challenges and costs. https://arcmi.org/2025/02/17/the-truth-about-fraud-against-medicaid/
Department of Defense. (2025). Annual budget report. https://www.defense.gov
Environmental Protection Agency. (2024). Biden-Harris administration announces $20 billion in grants to mobilize private capital and deliver clean energy and climate solutions to communities across America. https://www.epa.gov/newsreleases/biden-harris-administration-announces-20-billion-grants
Environmental Protection Agency. (2025). EPA formally refers financial mismanagement of $20B “gold bars” to Inspector General. https://www.epa.gov/newsreleases/epa-formally-refers-financial-mismanagement-20b-gold-bars-inspector-general#:~:text=WASHINGTON%20%E2%80%93%20In%20a%20letter%20to,(GGRF)%20for%20further%20investigation.
Federal Election Commission. (2025). Campaign finance data: 2024 election cycle. https://www.fec.gov
Free Beacon. (2025). Stacey Abrams was ‘pivotal’ in securing $2 billion Biden grant for green group that now calls her role ‘alleged’. https://freebeacon.com/democrats/stacey-abrams-was-pivotal-in-securing-2-billion-biden-grant-for-green-group-that-now-calls-her-role-alleged/
Government Acco untability Office. (2024). Federal software licensing: Addressing duplicative purchases. https://www.gao.gov/products/gao-24-106082
Politico. (2025). Climate grant recipient to start spending $2B as Trump’s EPA tries to claw it back.https://www.politico.com/news/2025/02/24/climate-grant-recipient-spending-trumps-epa-tries-claw-back-00205814
U.S. Department of Justice. (2024). Raytheon Company to pay over $950M in connection with defective pricing, foreign bribery, and export control schemes. https://www.justice.gov/archives/opa/pr/raytheon-company-pay-over-950m-connection-defective-pricing-foreign-bribery-and-export
Washington Post. (2025). Defense contracts: A web of waste. [URL unavailable]
WecuMedia. (2025a). DOGE slashes through the lies: Who’s really profiting from government waste? (Part 1). https://www.wecumedia.com/post/doge-slashes-through-the-lies-who-s-really-profiting-from-government-waste-part-1
WecuMedia. (2025b). DOGE digs deeper: The redundant programs bleeding taxpayers dry (Part 2). https://wecumedia.com/post/doge-digs-deeper-the-redundant-programs-bleeding-taxpayers-dry-part-2





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