Justice Department announces fraud whistleblower program paying $10,000 to $30,000; reports differ on whether Nick Shirley received a check
The Justice Department and its National Fraud Enforcement Division announced the Fraud Whistleblower Incentive Program (WHIP) on Oct. 20, saying it pays $10,000 to $30,000 for information leading to criminal charges. The department said most government whistleblower programs pay only after a matter is finally resolved, including forfeiture and appeals, while this one pays at an earlier stage. It said awards will be made "in the Justice Department's sole discretion following the filing of criminal charges," and that the Treasury Department is committing $25 million.
DOJ said the program covers federal health care offenses and fraud on programs run by the departments of Agriculture, Labor, Health and Human Services, Housing and Urban Development, Education, Veterans Affairs and War, and the Small Business Administration, and that it will prioritize hospice, home health care, day care and special services fraud. In its program FAQ, DOJ said a tip does not have to involve a certain loss amount to be eligible.
President Donald Trump announced the program from the Oval Office, MPR News reported. MPR and the Star Tribune reported that Trump described paying whistleblowers 1 percent of the money uncovered. The Star Tribune reported that this differs from the DOJ release. It quoted Trump as saying: "I will be the arbitrator of all these decisions."
Accounts of a $10,000 award to Nick Shirley, the YouTuber whose video about Minnesota day care centers drew national attention, differ. MPR reported that Vice President JD Vance gave Shirley a $10,000 check, the first payment from the program. CBS Minnesota reported that Trump handed Shirley a $10,000 check from the Oval Office. The Star Tribune reported that the White House said Trump would present a $10,000 check, but that none was given in the presence of journalists on Tuesday.
Shirley's video was posted in December 2025. CBS Minnesota said it alleged that nearly a dozen Minnesota day care centers were receiving public money without providing service, and that its review of state records at the time found all but two of the centers had active licenses and no recorded evidence of fraud as of Dec. 30, 2025. The Star Tribune reported that Shirley accused Somali American-owned day cares of defrauding the state of $111 million, which it called an unsubstantiated claim, and that Somali American businesses experienced a surge in harassment after the video. MPR said several allegations in the video were unsubstantiated.
MPR reported that since late 2022, federal prosecutors in Minnesota have charged more than 100 people with defrauding government social service programs, including Medicaid.
Minnesota House Speaker Lisa Demuth, a Republican candidate for governor, said on Dec. 29 that her caucus had been "working with Nick Shirley and agency whistleblowers," MPR reported. Asked about Shirley's video on Tuesday, MPR said, Demuth said she has never met or talked to him and that all the material he used was publicly available. MPR reported that she also announced she would immediately sign an executive order giving more protections to whistleblowers.
In a commentary on MS NOW, Steve Benen criticized the program. He wrote that nothing would stop people from submitting baseless tips, that Shirley was "undeserving" of a reward, and that Trump's role as arbitrator of payouts raised concerns. He noted that a reporter had reminded Trump that under the False Claims Act, tipsters can collect between 10% and 25%. The piece was published on Oct. 20 at 3:50 p.m. EDT.
Shirley said at the White House: "When you expose fraud, you help save America," according to the Star Tribune.