Sources say Colin McDonald, an associate deputy attorney general and close aide to Deputy AG Todd Blanche, is the frontrunner to lead a newly created Justice Department division focused on investigating and prosecuting fraud. President Trump said he has someone in mind but has not named a nominee; any pick would require Senate confirmation. The unit was announced amid scrutiny of a Minnesota fraud scandal that prosecutors estimate could exceed $9 billion, and sources say the division will operate within the Justice Department under a presidentially appointed head.
White House Reportedly Eyes DOJ Prosecutor Colin McDonald To Lead New National Anti-Fraud Division
Sources familiar with the decision told CBS News that the leading candidate to head a newly created national counter-fraud initiative at the Justice Department is Colin McDonald, a senior official in Deputy Attorney General Todd Blanche's office.
Who’s Being Considered: McDonald, a longtime federal prosecutor who currently serves as an associate deputy attorney general, is reported to be the frontrunner for the newly created assistant attorney general post that would oversee the new division.
President’s Comment And Confirmation Process: President Trump said Wednesday that he “had someone in mind” for the post but was not ready to name a nominee; any formal pick would require Senate confirmation. White House spokespeople declined to comment on Thursday.
Purpose Of The New Division: The Justice Department announced the new unit after revelations of large-scale public-benefits fraud in Minnesota. The division is intended to investigate and prosecute fraud directed at the federal government and private citizens.
Concerns About Oversight: Questions arose after Vice President J.D. Vance told reporters on Jan. 8 that the unit would be different from a special counsel because it would be "run out of the White House under the supervision of me and the president of the United States." Critics noted that running a DOJ division from the White House would run counter to long-established norms designed after Watergate to insulate the department from political interference. Sources told CBS News, however, that the new division will be managed within the Justice Department like other divisions, with a presidentially appointed, Senate-confirmed leader.
McDonald’s Role And Experience: People familiar with the matter say McDonald is a close ally of Deputy AG Blanche and among the associate deputy attorneys general with the most prosecutorial experience. In Blanche’s office, McDonald is the lead lawyer who liaises with the FBI, the DEA and the ATF. According to government records reviewed by CBS News, he is also among a small group of Blanche advisers involved in efforts to address what Trump allies have described as the weaponization of the justice system during the Biden administration.
Context — Minnesota Fraud Scandal: The proposed fraud-focused division comes amid national scrutiny of a Minnesota fraud scandal that prosecutors estimate could exceed $9 billion. More than 90 people have been federally charged in schemes uncovered since 2021. Prosecutors say they found widespread fraud across multiple social service programs, including a seniors' housing program, services for children with autism, and the Federal Child Nutrition Program. Separately, at least six federal prosecutors in the U.S. Attorney’s Office in Minnesota recently resigned, citing concerns about the Justice Department’s handling of a criminal investigation into the fatal shooting of a Minneapolis woman by a federal law enforcement officer.
What’s Next: The White House has signaled it will continue to push anti-fraud measures and additional oversight actions are expected in the coming weeks. If formally nominated, McDonald would need Senate confirmation to assume the assistant attorney general role and lead the new division.
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