US President Donald Trump has alleged that billions of dollars have been misappropriated from USAID to fund favorable media coverage for Democrats.
In response, the White House announced it would end what it called “subsidies” to the media outlet Politico.
Trump’s administration implemented sweeping changes to the US Agency for International Development (USAID), ordering a near-total freeze on billions in foreign aid. The move aimed to align the agency, which had a $60 billion budget in 2023, with his “America First” agenda.
Taking to Truth Social on Thursday, Trump warned of what he described as “the biggest scandal in history.” This followed White House press secretary Karoline Leavitt’s confirmation that taxpayer money had been used to fund government subscriptions to Politico and other news organizations.
Politico Pro, a premium service offering legislative and regulatory tracking, reportedly costs up to $10,000 per subscription annually for government agencies.
Trump wrote, “It looks like billions of dollars have been stolen from USAID and other agencies, with much of it funneled into fake news media as a ‘payoff’ for positive coverage of Democrats. The left-wing rag known as Politico seems to have received $8,000,000.” He also questioned whether outlets like The New York Times were benefiting from similar arrangements.
Politico responded, denying it had ever received government funding or subsidies, stating that most of its subscriptions come from private clients.
Trump Warns of ‘Biggest Scandal in History’ Over USAID Funds
Some conservative commentators, including former Fox News producer Kyle Becker, investigated the claims and found that Politico received $8.2 million in government payments over the past year. However, only around $24,000 of that came from USAID, with the bulk of the funding coming from the Department of Health and Human Services.
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Elon Musk, who leads the Department of Government Efficiency (DOGE), criticized the payments, calling them a “massive waste of taxpayer money.” He warned on X that many media organizations would soon see a significant drop in revenue.
The accused outlets denied receiving government subsidies, explaining that agencies purchased subscriptions just like any other customer. They also maintained their editorial independence.
Meanwhile, CNN dismissed the claims as “a baseless right-wing conspiracy theory” and accused Leavitt of amplifying falsehoods.
