Trump says U.S. will pay fraud whistleblowers, and he'll decide who is paid

Washington — President Trump on Tuesday announced the federal government will compensate whistleblowers who report people defrauding the U.S. government and taxpayers, but said he will decide who gets paid.

"I will be the arbitrator of all of these decisions," the president said during his Oval Office announcement with Vice President JD Vance, who heads up the administration's fraud task force, beside him. "In other words, I'll determine whether or not the person is deserving and I'll determine — and I will be very generous, believe me."

Through the Fraud Whistleblower Incentive Program, Mr. Trump said whistleblowers, who can be ordinary citizens, will be eligible to receive 1% of the amount of fraud they report, even if the reported fraud is $100 billion. America.gov/fraud , however, says successful whistleblowers will be paid up to $30,000, dependent upon the report resulting in criminal charges. Asked by CBS News for clarification, Mr. Trump said there is no limit to whistleblower compensation, and criminal charges aren't necessary.

"You'll get your money immediately, but I'll make the determination," he continued. "So if two people are fighting over it, maybe they'll split it or maybe whatever, but I'll make that determination."

The America.gov/fraud website says reports are encrypted and will go directly to the Treasury Department. It's not immediately clear who reviews reports, although the Department of Justice will administer the program.

The first person to benefit from the program is Nick Shirley , a 20-something YouTuber who published a video alleging fraud at childcare centers in Minnesota. He stood alongside Mr. Trump in the Oval Office Tuesday and was presented with a $10,000 check.

Some whistleblowers can already receive compensation from the False Claims Act, which allows some whistleblowers to be entitled to up to 25% to 30% of proceeds recovered. But the requirements are stringent. Vance said "99%" of the fraud they're finding isn't covered by the False Claims Act.

Naomi Seligman, president of nonprofit Whistleblower Aid, was skeptical of Mr. Trump's announcement, saying the president "is more interested in hunting down whistleblowers."

"If the president is truly interested in rooting out wrongdoing, Whistleblower Aid invites him to start by examining the violations perpetrated by his own administration, including senior officials," she said in a statement. "We would happily work with him on this vital accountability effort to help save our democracy."