ISTANBUL

The Trump administration has frozen federal child care payments to all US states, citing the need to ensure that the funds are being used lawfully, an agency official said Wednesday, amid accusations that the administration is using false charges of fraud to politicize the issue.

According to the Department of Health and Human Services (HHS), payments will be released only after states demonstrate that federal child care funds are being spent for legitimate purposes.

HHS spokesperson Andrew Nixon told ABC News that states are required to submit administrative data for review, while those suspected of irregularities must provide additional documentation, including attendance records, licensing information, and inspection reports.

“It’s the onus of the state to make sure that these funds, these federal dollars, taxpayer dollars, are being used for legitimate purposes,” Nixon said.

The move follows allegations of fraudulent practices at some child care centers in Minnesota, which surfaced after an unverified video circulated on social media.

The allegations initially led to a freeze on payments to the state before the measure was later expanded nationwide.

Allegations disputed

Since the start of the second Trump administration, officials and unofficial aides – notably including businessman Elon Musk – have cited unsubstantiated and often unspecified allegations of “fraud” or “corruption” to unilaterally cut off funds to dozens of programs, usually ones that the Republican Party is opposed to.

Later many but not all of these funds were restored after court challenges or when it emerged that the programs were essential.

Deputy HHS Secretary Jim O’Neill said earlier on US social media company X that the agency had frozen all child care payments to the state of Minnesota and was tightening payment requirements to prevent the misuse of taxpayer funds to dozens of programs.

"You have probably read the serious allegations that the state of Minnesota has funneled millions of taxpayer dollars to fraudulent daycares across Minnesota over the past decade," he said.

Minnesota officials have rejected the allegations, saying the facilities cited in the video had been inspected and are operating in compliance with state regulations.

Governor Tim Walz, the Democratic nominee for vice president in last year’s election and a frequent target of President Donald Trump, criticized the decision, accusing the federal government of politicizing the issue and undermining programs that support families.

"This is Trump’s long game," Walz said. "We’ve spent years cracking down on fraudsters. It’s a serious issue – but this has been his plan all along. He’s politicizing the issue to defund programs that help Minnesotans."

HHS said the freeze will remain in place until states meet the new compliance standards.