The Trump administration has opened the door to waste, fraud and abuse and put national security at risk
President Trump’s second term is marked by conflicts of interest and corruption that weaken the government’s ability to stop waste, fraud and abuse and put U.S. national security at risk Donald Sherman, President and CEO of Citizens for Responsibility and Ethics in Washington (CREW), warned in a statement to the U.S. House Committee on Foreign Affairs Subcommittee on Oversight and Intelligence.
National security experts warn that Trump’s foreign business ties can directly harm U.S. security. Trump’s foreign business connections are often in countries with authoritarian or increasingly authoritarian governments which creates serious challenges when their goals conflict with those of the United States.
Since returning to office, Trump has expanded ways for foreign governments to send money into his and his family’s businesses. For example, Aryam Investment 1—an Abu Dhabi investment vehicle owned by a UAE National Security Adviser—bought a 49% stake in Trump’s crypto venture, World Liberty Financial, for $500 million. Within months, the UAE obtained about 500,000 highly advanced American AI chips, raising concerns about what drove the decision to give the UAE access to the chips, which had previously been blocked for national security reasons.
Trump currently has ten active overseas developments and at least 22 more planned, including new projects in Qatar and Saudi Arabia which strain or break his pledge not to do business with foreign governments. He is expected to earn more than $400 million from these foreign ventures in his second term.
Across Trump’s first and second terms, his administration has weakened safeguards meant to prevent waste, fraud and abuse. Trump unlawfully fired 17 inspectors general (IGs) in his first week back in office, leaving a majority of the presidentially appointed IG posts vacant. The State Department and the US Agency for International Development (USAID) IG offices have gone more than a year without Senate-confirmed leaders. During this time, the administration started a war with Iran without congressional approval, ordered a raid to abduct a head of state, carried out questionable military strikes in the Caribbean, accepted a luxury jet as a “gift” for use as Air Force One, imposed unlawful tariffs on U.S. trading partners and shut down USAID.
Multiple laws protect IG’s roles by requiring the president to notify Congress in writing and give detailed reasons at least 30 days before removing or transferring an IG. The Trump administration ignored these rules in all 17 firings. Trump has repeatedly signaled that he will remove IGs who carry out their duties and pursue oversight to expose waste, fraud and abuse in the federal government.
This is a perilous time for our country, made more dangerous by the Trump administration’s effort to dismantle the offices that prevent corruption and root out waste, fraud and abuse. Congress must closely examine this administration’s conflicts and corruption, conduct robust oversight and empower the IG community to respond to these threats to national security and the safety of the American people.