Nebraska auditor says fraud tips ‘pouring in’ amid crackdown on waste
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Nebraska’s auditor general says fraud complaints are on the rise as waste, fraud and abuse dominate the national conversation, telling Fox News Digital that his own investigation has uncovered alleged misuse of taxpayer resources within state government.
“The explosion of phone calls, claims, emails, and so forth pouring into my office is extraordinary,” said Nebraska State Auditor Mike Foley, as the fight against fraud became national news and the Trump administration, led by Vice President J.D. Vance, created a task force to root out fraud.
“As the media focuses more on this, it makes the phone ring even more, which is fine. We’re happy to take those calls and try to filter them and figure out which ones are the most legitimate for us. But it’s clearly increasing.”
Speaking to Fox News Digital from the Government Finance Officers Foundation conference in Clearwater, Florida, Foley is sounding the alarm about what he says is a problem specifically with taxpayer money being wasted or possibly defrauded by government employees, which he is working to address.
“Most of our government vehicles are now equipped with a GPS tracking device,” Foley explained. “We can see exactly where these government vehicles are actually going during work hours and they’re going to liquor stores. They’re going to medical appointments that the employee might have. They’re busy on personal business all over the state, and that’s creating a lot of expense for taxpayers in a very inappropriate way.”
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Vice President J.D. Vance and Medicare and Medicaid Administrator Mehmet Oz speak about combating fraud at the Eisenhower Executive Office Building in the White House complex on February 25, 2026. (Oliver Contreras/AFP via Getty Images)
Foley’s office examined GPS data from 45 state fleet vehicles and alleged employees used the data for “trips to retail outlets, restaurants, medical facilities, relatives’ residences, unauthorized commutes and other private business,” the Nebraska Examiner reported reported last year.
Foley made a statement Press release He detailed eight recent investigations involving suspected misuse of public money, questionable refunds and possible fraud, documenting how last year he uncovered what he described as a “disturbing increase” in alleged financial irregularities in local governments across the state.
“Contractors who over-bill or double-bill the government, violations of all manner of government employees regarding improper use of government vehicles and government assets, contractors billing us for hours we know they did not work, government employees billing us for time served when we know they were at a different workplace, public school districts siphoning public school funds for all manner of waste, etc. I can give many examples, but at the end of the day, the tone needs to be clear. set on top“
At the top, Foley’s efforts to address waste, fraud and abuse led him into a situation he described as “disturbing” that put him at odds with Nebraska’s Republican Governor Jim Pillen.
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Foley was involved in something highly publicized controversy He and Pillen allege that the governor improperly awarded a no-bid state contract worth nearly $2 million to a consultant with connections to the governor. Nebraska law generally requires public bidding for contracts over $50,000, and he says the administration incorrectly claimed there was an “emergency” to bypass that process.
“There was no emergency, and then now they claim he brought in hundreds of millions of dollars in grant awards,” Foley said. “The truth is, these grant applications were submitted by other people, other contractors, before he even started the job. So this is very, very serious abuse and it’s affecting the environment in the wrong way. For other people in state government, the governor can say he can do this, and so can I. And that’s wrong.”
The Pillen administration denied any wrongdoing; Continuing the contract was justified due to the need to fast-track economic development opportunities and federal funding.
“The contract was done the right way and brings hundreds of millions of dollars of value to Nebraska that otherwise would have been wasted in California,” Pillen spokeswoman Laura Strimple told Fox News Digital. “Auditor Foley disagrees and is entitled to his own opinion.”
Foley referred the matter to law enforcement for further investigation and said his office’s mission was limited to conducting inspections and highlighting possible violations.
“I’m not the most popular person in state government,” Foley jokingly told Fox News Digital, but added “we have to watch” spending to protect taxpayer funds.
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Nebraska state capitol building in Lincoln, Nebraska (Getty Images)
“Nebraska is unfortunately a high tax state and people know that, they are tired of these high taxes and they know the money is not being spent properly in a lot of cases and they trust me and my office to catch those things and we do a good job,” Foley said.
“When we detect this type of abuse, there needs to be consequences, and there are. Many people lose their jobs because they abused the trust of access to credit cards or other government assets, or even more legal complications, violations and even prison sentences can arise. We have put too many people behind bars for the misuse and theft of public funds.”
