Massive Rental Assistance Fraud Exposed Under Biden Oversight
The Department of Housing and Urban Development (HUD) has uncovered shocking evidence of widespread abuse in federal rental assistance programs, identifying approximately 200,000 questionable recipients in fiscal 2024—the last full year of the Biden administration—with suspect payments totaling $5.8 billion in taxpayer dollars.
This bombshell comes from HUD’s comprehensive review of all 4 million tenant records and over 21,000 recipient organizations—the first such full-scale evaluation—revealing systemic failures that allowed billions to flow to ineligible parties.
Of the dubious cases: nearly 30,000 involved deceased tenants still receiving benefits, about 9,500 were noncitizens, and over 165,000 received excessive subsidies beyond reasonable limits.
Dead recipients drew funds in every state, with heavy concentrations in New York, California, and the District of Columbia.
Billions Wasted Due to Lax Controls and Oversight
HUD distributed roughly $50 billion in rental aid during fiscal 2024, but lax enforcement and a push to disburse funds with minimal checks enabled the massive improper payments.
The programs, meant to support low-income Americans struggling with housing costs, instead relied too heavily on non-federal entities like housing authorities and landlords for eligibility verification—without adequate tools or technology to catch fraud.
“A massive abuse of taxpayer dollars not only occurred under President Biden’s watch, but was effectively incentivized by his administration’s failure to implement strong financial controls resulting in billions worth of potential improper payments,” said HUD Secretary Scott Turner.
Trump HUD Vows Accountability and Reforms
Secretary Turner pledged swift action to root out the waste.
“HUD will continue investigating the shocking results and will take appropriate action to hold bad actors accountable,” Mr. Turner said.
“Additionally, the Department is advancing efforts made under President Trump’s first administration to strengthen program integrity and ensure taxpayer-funded assistance serves the vulnerable communities it was intended for.”
HUD plans to contact public housing authorities for confirmation, revoke or pause funding where needed, and consider criminal referrals—steps to reclaim trust and protect hardworking Americans from further fraud under the Trump administration’s renewed focus on stewardship.
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