Politics
Fraud fallout forces Democratic Gov Tim Walz to abandon Minnesota re-election bid
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Gov. Tim Walz of Minnesota announced on Monday that he’s dropping his bid for an unprecedented third term as governor amid stinging criticism of the unsuccessful 2024 Democratic vice presidential nominee’s handling of his state’s massive welfare assistance fraud scandal.
“As I reflected on this moment with my family and my team over the holidays, I came to the conclusion that I can’t give a political campaign my all,” Walz wrote in a statement. “Every minute I spend defending my own political interests would be a minute I can’t spend defending the people of Minnesota against the criminals who prey on our generosity and the cynics who prey on our differences.”
“So I’ve decided to step out of this race and let others worry about the election while I focus on the work in front of me for the next year,” the governor added in his statement and in front of cameras a couple of hours later. The governor didn’t take any questions but said on Tuesday he would return to “take all your questions.”
And pointing to his efforts to deal with the growing fraud scandal, Walz charged, “The political gamesmanship we’re seeing from Republicans is only making that fight harder to win.”
GOP LAWMAKER UNVEILS WALZ ACT AFTER BILLIONS LOST IN MINNESOTA FRAUD SCANDAL
Minnesota Gov. Tim Walz, at a news conference at the Minnesota State Capitol on Monday, Jan. 5, 2026, in St. Paul, Minn., announces he’s dropping his 2026 re-election bid. (Kerem Yücel/Minnesota Public Radio via AP)
Walz launched his bid for a third four-year term as Minnesota governor in September, but in recent weeks has been facing a barrage of incoming political fire from President Donald Trump and Republicans, and some Democrats, over the large-scale theft in a state that has long prided itself on good governance.
More than 90 people — most from Minnesota’s large Somali community — have been charged since 2022 in what has been described as the nation’s largest COVID-era scheme. How much money has been stolen through alleged money laundering operations involving fraudulent meal and housing programs, daycare centers, and Medicaid services is still being tabulated. But the U.S. attorney in Minnesota said the scope of the fraud could exceed $1 billion and rise to as high as $9 billion.
MEDIA ‘COMPLICITY’ BLAMED AS FEDS SAY MINNESOTA FRAUD CRISIS COULD REACH $9B: ‘SHOWN THEIR TRUE COLORS’
Minnesota Gov. Tim Walz speaks at a press conference. (Christopher Mark Juhn/Anadolu via Getty Images)
Prosecutors said that some of the dozens that have already pleaded guilty in the case used the money to buy luxury cars, real estate, jewelry and international vacations, with some of the funds also sent overseas and potentially into the hands of Islamic terrorists.
“This is on my watch, I am accountable for this and, more importantly, I am the one that will fix it,” Walz told reporters last month, as he took responsibility for the scandal.
The governor took actions to stop some of the suspected fraudulent payments, and ordered an outside audit of Medicaid billing in the state.
But Trump repeatedly blasted Walz as “incompetent” and, during Thanksgiving, used a slur for developmentally disabled people to describe the governor.
The sun shines on the Minnesota State Capitol. (Steve Karnowski/Associated Press)
The scandal, which grabbed plenty of national attention over the past two months, went viral the past few weeks following the release of a video by 23-year-old YouTube content creator Nick Shirley, who alleged widespread fraud at Somali-run daycare centers. Days later, the Trump administration froze federal child-care funding to Minnesota.
Reactions quickly began to pour in following the Walz announcement.
“Good riddance,” Republican House Majority Whip Tom Emmer, who represents Minnesota’s 6th Congressional District, said in a statement.
Republican Governors Association Communications Director Courtney Alexander charged in a statement that “Walz’s failed leadership is emblematic of Minnesota Democrats’ agenda and whoever Democrats choose to replace Walz with at the top of the ticket will need to defend years of mismanagement and misplaced priorities.”
Minnesota Republican state Rep. Kristin Robbins, a candidate for governor, released a statement saying, “Tim Walz and his staggering fraud could not outrun our investigations and the momentum we have in this race.”
“He knows he will lose in November, and would rather give up than take responsibility. Anyone Walz handpicks to run for governor will own the fraud and failures of this administration. Our campaign is building the coalition necessary to stop the fraud, protect our kids, and make Minnesota prosper. As Governor, I will dismantle the years of fraud Democrats allowed and ensure our tax dollars work for Minnesotans.”
Minnesota House Speaker Lisa Demuth, another leading Republican gubernatorial candidate, took to social media to argue, “If Democrats think they can sweep Minnesota’s fraud scandal away by swapping out Tim Walz, they are wrong.”
“We need transformational change across state government that only comes with a Republican governor. I will deliver that no matter who the Democrats decide to run,” Demuth emphasized.
Joe Teirab, a former federal prosecutor who worked on the Feeding our Future fraud case that was a key part of the unfolding fraud scandal, told Fox News Digital that Walz “allowed fraudsters to steal billions from taxpayers, and did nothing.”
“The only fraud scheme Walz has chosen to end is his political career,” Teirab said.
But Democratic Governors Association (DGA) chair Gov. Andy Beshear of Kentucky said in a statement, “No matter who decides to run or how much national Republicans want to spend, the DGA remains very confident Minnesotans will elect another strong Democratic governor this November.”
And Besehar praised Walz, a former DGA chair, as “a true leader who has delivered results that will make life better for Minnesota workers and families for years to come.”
Democratic National Committee chair Ken Martin, a former longtime state party chair in Minnesota, said the decision by Walz “is entirely consistent with who Tim is. Tim has always believed that leadership isn’t about preserving your own power — it’s about using it to make a difference for as many people as possible.”
“In the months ahead, Tim will continue doing what he’s done throughout his career: standing up to Donald Trump, defending Minnesota’s values, and fighting for working people,” Martin predicted.
Walz met Sunday with Democratic Sen. Amy Klobuchar of Minnesota to discuss his decision to drop his re-election bid, a source familiar confirmed to Fox News’ Alexis McAdams.
Word of their meeting comes amid speculation that Klobuchar, a former Hennepin County attorney who’s been elected and re-elected four times to the U.S. Senate, may now run to succeed Walz.
Walz said he was “absolutely confident” that Democrats would “hold this seat come November.”
And the governor touted that if he had continued to seek re-election, “I have every confidence that, if I gave it my all, we would win that race.”
In the nation’s capital, the Republican chairman of the House Committee on Oversight and Government Reform, which is investigating Minnesota’s fraud scandal, took aim at Walz.
“Though Tim Walz is not running for governor again, he cannot run from accountability,” Rep. James Comer of Kentucky charged in a statement. “The House Oversight Committee demands that he appear for a public hearing on February 10 to expose this fraud and begin the process of accountability. The American people deserve answers, and they deserve them now.”
The statement was echoed by the White House, with spokeswoman Abigail Jackson saying,”Tim should know, that dropping out of the race won’t shield him from the consequences of his actions.”
But Walz, firing back, claimed that “Donald Trump and his allies – in Washington, in St. Paul, and online – want to make our state a colder, meaner place. They want to poison our people against each other by attacking our neighbors. And, ultimately, they want to take away much of what makes Minnesota the best place in America to raise a family.”
“They’ve already begun by taking our tax dollars that were meant to help families afford child care. And they have no intention of stopping there,” the governor argued.
The 61-year-old Walz was raised in rural Nebraska and enlisted in the Army National Guard in 1981, soon after graduating from high school.
Walz returned to Nebraska to attend Chadron State College, where he graduated in 1989 with a degree in social science education.
He taught English and American History in China for one year through a program at Harvard University before being hired in 1990 as a high school teacher and football and basketball coach in Nebraska. Six years later, he moved to Mankato, Minnesota, to teach geography at Mankato West High.
Walz was deployed to Italy to support Operation Enduring Freedom in 2003 before retiring two years later from the National Guard.
He was elected to the House in 2006 and re-elected five times, representing Minnesota’s 1st Congressional District, a mostly rural district covering the southern part of the state that includes a number of midsize cities. During his last two years on Capitol Hill, he served as ranking member of the House Veterans Affairs Committee.
Walz won election as governor in 2018 and re-election four years later.
Former Vice President Kamala Harris and Minnesota Gov. Tim Walz walk out on stage together during a campaign event on Aug. 6, 2024, in Philadelphia, Pennsylvania. (Andrew Harnik/Getty Images)
But Walz was unknown to many Americans when then-Vice President Kamala Harris chose the Minnesota governor as her running mate in the summer of 2024, soon after she replaced then-President Joe Biden as the Democrats’ presidential nominee.
Walz, during his three months as running mate, visually and vocally embraced the traditional role of political attack dog that has long been associated with vice presidential nominees.
But Harris and Walz fell short, losing the November 2024 election to Trump and now-Vice President JD Vance, as the Democratic Party ticket was swept in all seven crucial battleground states.
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Pundits considered Walz a possible contender for the Democratic Party’s 2028 presidential nomination.
But Walz said in multiple interviews last summer that he had no interest in seeking the presidency.
And the ongoing fraud scandal and his decision to end his gubernatorial re-election bid seems to put an end to Walz’ recent tenure in national politics.
Politics
Dems’ potential 2028 hopefuls come out against US strikes on Iran
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Some of the top rumored Democratic potential candidates for president in 2028 are showing a united front in opposing U.S. strikes on Iran, with several high-profile figures accusing President Donald Trump of launching an unnecessary and unconstitutional war.
Former Vice President Kamala Harris said Trump was “dragging the United States into a war the American people do not want.”
“Let me be clear: I am opposed to a regime-change war in Iran, and our troops are being put in harm’s way for the sake of Trump’s war of choice,” Harris said in a statement Saturday following the joint U.S. and Israeli strikes throughout Iran.
“This is a dangerous and unnecessary gamble with American lives that also jeopardizes stability in the region and our standing in the world,” she continued. “What we are witnessing is not strength. It is recklessness dressed up as resolve.”
Former Vice President Kamala Harris, Rep. Alexandria Ocasio-Cortez and California Gov. Gavin Newsom are leading Democratic 2028 hopefuls who spoke out against U.S. strikes on Iran. (Big Event Media/Getty Images for HumanX Conference; Reuters/Liesa Johannssen; Mario Tama/Getty Images)
California Gov. Gavin Newsom delivered some of his sharpest criticism during a book tour stop Saturday night in San Francisco, accusing Trump of manufacturing a crisis.
“It stems from weakness masquerading as strength,” Newsom said. “He lied to you. So reckless is the only way to describe this.”
“He didn’t describe to the American people what the endgame is here,” Newsom added. “There wasn’t one. He manufactured it.”
Newsom is currently promoting his memoir, “Young Man in a Hurry,” with recent and upcoming stops in South Carolina, New Hampshire and Nevada — three key early voting states in the Democratic presidential calendar.
Earlier in the day, Newsom said Iran’s “corrupt and repressive” regime must never obtain nuclear weapons and that the “leadership of Iran must go.”
“But that does not justify the President of the United States engaging in an illegal, dangerous war that will risk the lives of our American service members and our friends without justification to the American people,” Newsom wrote on X.
California is home to more than half of the roughly 400,000 Iranian immigrants in the United States, including a large community in West Los Angeles often referred to as “Tehrangeles.”
DEMOCRATS BUCK PARTY LEADERS TO DEFEND TRUMP’S ‘DECISIVE ACTION’ ON IRAN
Rep. Alexandria Ocasio-Cortez, D-N.Y., a leading progressive voice and “Squad” member, accused Trump of dragging Americans into a conflict they did not support.
“The American people are once again dragged into a war they did not want by a president who does not care about the long-term consequences of his actions. This war is unlawful. It is unnecessary. And it will be catastrophic,” Ocasio-Cortez said.
“Just this week, Iran and the United States were negotiating key measures that could have staved off war. The President walked away from these discussions and chose war instead,” she continued.
“In moments of war, our Constitution is unambiguous: Congress authorizes war. The President does not,” she said, pledging to vote “YES on Representatives Ro Khanna and Thomas Massie’s War Powers Resolution.”
Illinois Gov. JB Pritzker criticized the strikes and accused Trump of ignoring Congress. (Daniel Boczarski/Getty Images for Vox Media)
Illinois Gov. JB Pritzker, another Democrat often mentioned as a potential 2028 contender, also criticized the strikes and accused Trump of ignoring Congress.
“No justification, no authorization from Congress, and no clear objective,” Pritzker wrote on X.
“Donald Trump is once again sidestepping the Constitution and once again failing to explain why he’s taking us into another war,” he continued. “Americans asked for affordable housing and health care, not another potentially endless conflict.”
“God protect our troops,” Pritzker added.
Pennsylvania Gov. Josh Shapiro focused his criticism on war powers, arguing Trump acted outside constitutional guardrails.
“In our democracy, the American people — through our elected representatives — decide when our nation goes to war,” Shapiro said, adding that Trump “acted unilaterally — without Congressional approval.”
JONATHAN TURLEY: TRUMP STRIKES IRAN — PRECEDENT AND HISTORY ARE ON HIS SIDE
Pennsylvania Gov. Josh Shapiro focused his criticism on war powers, arguing Trump acted outside constitutional guardrails. (Rachel Wisniewski/Bloomberg via Getty Images)
“Make no mistake, the Iranian regime represses its own people… they must never be allowed to possess nuclear weapons,” he said. “But that does not justify the President of the United States engaging in an illegal, dangerous war.”
Shapiro added that “Congress must use all available power” to prevent further escalation.
Former Transportation Secretary Pete Buttigieg also accused Trump of launching a “war of choice.”
“The President has launched our nation and our great military into a war of choice, risking American lives and resources, ignoring American law, and endangering our allies and partners,” Buttigieg wrote on X. “This nation learned the hard way that an unnecessary war, with no plan for what comes next, can lead to years of chaos and put America in still greater danger.”
Buttigieg has been hitting early voting states, stopping in New Hampshire and Nevada in recent weeks to campaign for Democrats ahead of the 2026 midterm elections.
Sen. Ruben Gallego, D-Ariz., who has been floated as a rising national figure within the party, said he lost friends in Iraq to an illegal war and opposed the strikes.
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“Young working-class kids should not pay the ultimate price for regime change and a war that hasn’t been explained or justified to the American people. We can support the democracy movement and the Iranian people without sending our troops to die,” Gallego wrote on X.
Fox News’ Daniel Scully and Alex Nitzberg contributed to this report.
Politics
Commentary: With midterm vote starting, here’s where things stand in national redistricting fight
Donald Trump has never been one to play by the rules.
Whether it’s stiffing contractors as a real estate developer, defying court orders he doesn’t like as president or leveraging the Oval Office to vastly inflate his family’s fortune, Trump’s guiding principle can be distilled to a simple, unswerving calculation: What’s in it for me?
Trump is no student of history. He’s famously allergic to books. But he knows enough to know that midterm elections like the one in November have, with few exceptions, been ugly for the party holding the presidency.
With control of the House — and Trump’s virtually unchecked authority — dangling by a gossamer thread, he reckoned correctly that Republicans were all but certain to lose power this fall unless something unusual happened.
So he effectively broke the rules.
Normally, the redrawing of the country’s congressional districts takes place once every 10 years, following the census and accounting for population changes over the previous decade. Instead, Trump prevailed upon the Republican governor of Texas, Greg Abbott, to throw out the state’s political map and refashion congressional lines to wipe out Democrats and boost GOP chances of winning as many as five additional House seats.
The intention was to create a bit of breathing room, as Democrats need a gain of just three seats to seize control of the House.
In relatively short order, California’s Democratic governor, Gavin Newsom, responded with his own partisan gerrymander. He rallied voters to pass a tit-for-tat ballot measure, Proposition 50, which revised the state’s political map to wipe out Republicans and boost Democratic prospects of winning as many as five additional seats.
Then came the deluge.
In more than a dozen states, lawmakers looked at ways to tinker with their congressional maps to lift their candidates, stick it to the other party and gain House seats in November.
Some of those efforts continue, including in Virginia where, as in California, voters are being asked to amend the state Constitution to let majority Democrats redraw political lines ahead of the midterm. A special election is set for April 21.
But as the first ballots of 2026 are cast on Tuesday — in Arkansas, North Carolina and Texas — the broad contours of the House map have become clearer, along with the result of all those partisan machinations. The likely upshot is a nationwide partisan shift of fewer than a handful of seats.
The independent, nonpartisan Cook Political Report, which has a sterling decades-long record of election forecasting, said the most probable outcome is a wash. “At the end of the day,” said Erin Covey, who analyzes House races for the Cook Report, “this doesn’t really benefit either party in a real way.”
Well.
That was a lot of wasted time and energy.
Let’s take a quick spin through the map and the math, knowing that, of course, there are no election guarantees.
In Texas, for instance, new House districts were drawn assuming Latinos would back Republican candidates by the same large percentage they supported Trump in 2024. But that’s become much less certain, given the backlash against his draconian immigration enforcement policies; numerous polls show a significant falloff in Latino support for the president, which could hurt GOP candidates up and down the ballot.
But suppose Texas Republicans gain five seats as hoped for and California Democrats pick up the five seats they’ve hand-crafted. The result would be no net change.
Elsewhere, under the best case for each party, a gain of four Democratic House seats in Virginia would be offset by a gain of four Republican House seats in Florida.
That leaves a smattering of partisan gains here and there. A combined pickup of four or so Republican seats in Ohio, North Carolina and Missouri could be mostly offset by Democratic gains of a seat apiece in New York, Maryland and Utah.
(The latter is not a result of legislative high jinks, but rather a judge throwing out the gerrymandered map passed by Utah Republicans, who ignored a voter-approved ballot measure intended to prevent such heavy-handed partisanship. A newly created district, contained entirely within Democratic-leaning Salt Lake County, seems certain to go Democrats’ way in November.)
In short, it’s easy to characterize the political exertions of Trump, Abbott, Newsom and others as so much sound and fury producing, at bottom, little to nothing.
But that’s not necessarily so.
The campaign surrounding Proposition 50 delivered a huge political boost to Newsom, shoring up his standing with Democrats, significantly raising his profile across the country and, not least for his 2028 presidential hopes, helping the governor build a significant nationwide fundraising base.
In crimson-colored Indiana, Republicans refused to buckle under tremendous pressure from Trump, Vice President JD Vance and other party leaders, rejecting an effort to redraw the state’s congressional map and give the GOP a hold on all nine House seats. That showed even Trump’s Svengali-like hold on his party has its limits.
But the biggest impact is also the most corrosive.
By redrawing political lines to predetermine the outcome of House races, politicians rendered many of their voters irrelevant and obsolete. Millions of Democrats in Texas, Republicans in California and partisans in other states have been effectively disenfranchised, their voices rendered mute. Their ballots spindled and nullified.
In short, the politicians — starting with Trump — extended a big middle finger to a large portion of the American electorate.
Is it any wonder, then, so many voters hold politicians and our political system in contempt?
Politics
Mamdani’s response to Trump’s Iran strike sparks conservative backlash: ‘Rooting for the ayatollah’
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New York City’s socialist Mayor Zohran Mamdani is facing blowback from conservatives on social media over his post condemning the U.S. attack on Iran that led to the killing of Iran’s supreme leader, Ayatollah Ali Khamenei.
On Saturday, as a joint strike on Iran by the United States and Israel was developing, Mamdani blasted the Trump administration’s decision in a post on X that has been viewed roughly 20 million times.
“Today’s military strikes on Iran — carried out by the United States and Israel — mark a catastrophic escalation in an illegal war of aggression,” Mamdani wrote.
“Bombing cities. Killing civilians. Opening a new theater of war. Americans do not want this. They do not want another war in pursuit of regime change.”
New York City Mayor Zohran Mamdani speaks to reporters during a news conference in New York Feb. 17, 2026. (AP Photo/Seth Wenig)
Mamdani said Americans prefer “relief from the affordability crisis” before speaking directly to Iranians in New York City.
“You are part of the fabric of this city — you are our neighbors, small business owners, students, artists, workers, and community leaders,” Mamdani said. “You will be safe here.”
The post was quickly slammed by conservatives on social media making the case that Mamdani’s response appeared sympathetic to Iran’s brutal regime and pointing to his lack of public reaction to the Iranian protesters killed in recent years.
“Comrade Mayor is rooting for the Ayatollah,” GOP Sen. Ted Cruz posted on X. “They can chant together.”
OBAMA OFFICIAL WHO BACKED IRAN DEAL SPARKS ONLINE OUTRAGE WITH REACTION TO TRUMP’S STRIKE: ‘SIT THIS ONE OUT’
“Do u say anything pro American ?” Fox News host Brian Kilmeade posted on X. “do u know any Iranians – ? they hate @fr_Khamenei they celebrate his death, you should be celebrating his death ! hes killed thousands of American’s and just killed 30k Iranians, did u even say a word about that? You are an embarrassment !! Please quit.”
Sen. Ted Cruz, R-Texas, questions Pam Bondi, President-elect Donald Trump’s nominee to be attorney general, during her Senate Judiciary Committee confirmation hearing in Hart building Jan. 15, 2025. (Tom Williams/CQ-Roll Call, Inc via Getty Images)
“I don’t feel safe in New York listening to someone like you, Mamdani, who sympathizes with the regime that killed more than 30,000 unarmed Iranians in less than 24 hours,” Iranian American journalist Masih Alinejad posted on X.
“We Iranians do not allow you to lecture us about war while you had nothing to say when the Islamic Republic shot schoolgirls and blinded more than 10,000 innocent people in the streets. You were busy celebrating the hijab while women of my beloved country Iran were jailed and raped by Islamic Security forces for removing it.
“And NOW you find your voice to defend the regime? No. I will not let you claim the moral high ground. The people of Iran want to be free. Where were you when they needed solidarity?”
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“How is it that you can’t differentiate between good and evil?” Billionaire hedge fund manager Bill Ackman posted on X. “Why is this so hard for you?”
“It takes a particular kind of audacity, or ignorance, for a city mayor to appoint himself the conscience of American foreign policy while his constituents step over garbage on their way to work,” GOP Rep. Nancy Mace posted on X. “History will not remember his bravery. It will not remember him at all.”
“Iranian New Yorkers are thrilled today and see right through you,” Republican New York City Councilwoman Vickie Paladino posted on X.
Bill Ackman, CEO of Pershing Square Capital Management LP, speaks during the WSJ D.Live global technology conference in Laguna Beach, Calif., Oct. 17, 2017. (Patrick Fallon/Bloomberg/Getty Images)
“When Kuwait, Saudi Arabia, Qatar, Turkey, UAE, Bahrain all support today’s operation eliminating world’s #1 sponsor of terror, but New York City’s Mayor @ZohranMamdani is shilling for Iran,” Republican New York City Councilwoman Inna Vernikov posted on X.
Fox News Digital reached out to Mamdani’s office for comment.
Shortly after Mamdani’s post, it was announced by President Trump and Israeli officials that the military operation resulted in Khamenei’s death.
Israeli leaders confirmed Khamenei’s compound and offices were reduced to rubble early Saturday after a targeted strike in downtown Tehran.
“Khamenei was the contemporary Middle East’s longest-serving autocrat. He did not get to be that way by being a gambler. Khamenei was an ideologue, but one who ruthlessly pursued the preservation and protection of his ideology, often taking two steps forward and one step back,” Behnam Ben Taleblu, senior director of FDD’s Iran program, told Fox News Digital.
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