$434 Billion: ‘California Has More Fraud Than Rest of America Put Together’

Political commentator and California gubernatorial candidate Steve Hilton criticized Gov. Gavin Newsom over the state’s handling of homelessness and alleged large-scale fraud in California government programs, arguing that state leadership has failed to address problems affecting taxpayers.

Hilton made the remarks while discussing Newsom’s previous statements about homelessness and broader financial oversight in California.

The issue of homelessness has remained a major political debate in the state, particularly as cities across California continue to grapple with large encampments and rising housing costs.

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Hilton argued that Newsom previously claimed success in addressing homelessness while conditions continued to worsen.

“But it’s just like Gavin Newsom, you know, he fixed the homelessness problem many years ago,” Hilton said.

Hilton said the governor repeatedly declared the problem solved despite visible conditions across the state.

“He kept announcing that he’s fixed it, while the problem gets worse,” Hilton said.

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Hilton criticized Newsom directly over the issue.

“I mean, this guy is a total disgrace,” Hilton said.

He also questioned why state funds continued to be spent on homelessness programs if the problem had already been resolved.

“Gavin Newsom, if it’s been fixed, then why is the money still going out?” Hilton said.

Hilton pointed to Newsom’s previous statements that the issue had been addressed in 2021, contrasting them with later financial records.

“He says it was fixed in 2021, those payments were from 2024. He’s just lying and gaslighting, as he is on every single issue,” Hilton said.

The debate over homelessness has been a persistent issue in California politics.

State and local governments have spent billions of dollars on programs aimed at reducing homelessness, while critics argue that visible conditions in cities such as Los Angeles, San Francisco, and Sacramento show little improvement.

Hilton also raised concerns about what he described as widespread fraud in California programs over the past several years.

“And the truth is that California has got more fraud than the rest of America put together,” Hilton said.

Hilton referenced comments by Dr. Mehmet Oz while discussing the issue and said cooperation with federal authorities would be necessary to address the problem.

“And Dr Oz is absolutely right. We need cooperation with the federal government when I’m Governor, that’s what we’ll get,” Hilton said.

Hilton said his campaign and an affiliated organization have attempted to track financial irregularities within the state.

“In the meantime. I mean, we’re trying to find it as well,” Hilton said.

He said his group, Cal DOGE, has attempted to estimate the scale of the problem.

“Mike, my organization, Cal DOGE, part of my campaign,” Hilton said.

Hilton said the organization believes fraud has reached hundreds of billions of dollars over the past five years.

“We estimate now that the total fraud in the last five years in California $434 billion,” Hilton said.

Hilton questioned what steps state officials have taken in response.

“And what are they doing about it?” Hilton said.

“Nothing,” he continued.

Hilton accused state officials of disregarding taxpayers while allowing fraud and waste to continue.

“Because they have total contempt for taxpayers,” Hilton said.

He said the issue ultimately involves taxpayer funds being mishandled.

“They don’t consider it that it’s our money that they’re stealing and wasting,” Hilton said.

Hilton concluded by suggesting the issue would influence the upcoming election.

“And that is why they lose this year,” Hilton said.

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