Treasury Dept to reward fraud whistleblowers with up to 30% of fines of more than $1 million: report

The Treasury Department will launch a new program Monday to reward fraud whistleblowers with up to 30% of fines of more than $1 million that are imposed on criminals, according to a report.

The program includes tipsters of Medicaid and Medicare fraud, according to The New York Post.

The launch comes after Treasury Secretary Scott Bessent visited Minnesota in January, which is where Somali immigrants allegedly defrauded government welfare programs of at least $9 billion since 2018.

The reward payments will be directly from the fines, meaning that no taxpayer money will be used, according to confidential Treasury documents that the Post obtained.

“Individuals located in the United States or abroad who provide information may be eligible for awards if the information they provide leads to a successful enforcement action that results in monetary penalties exceeding $1,000,000,” one of the documents reads.

The Internal Revenue Service runs a similar program.

Tipsters will receive 10-30% of the fines when criminals are required to pay more than $1 million.

The program comes after Vice President JD Vance on Friday held the first meeting of a new anti-fraud task force that he is leading.

A memo the Post obtained also said that Bessent will put banks on high alert, warning that fraudsters are recruiting foreign nationals to steal from federal social programs.

“Our citizens have a right to know that their tax dollars are not being diverted to fund acts of global terror or to fund luxury cars for fraudsters,” an unnamed Treasury official briefed on the matter told The Post.