Following the uncovering of a massive bribery scandal at USAID, the Small Business Administration (SBA) is ordering a full audit of all government contracting officers who have exercised grant-awarding authority under the agency’s business development program over the last 15 years.

In a letter obtained by Fox News Digital, SBA Administrator Kelly Loeffler said the scale of the USAID fraud is a ‘damning reflection of systemic failures in oversight and accountability.’ She further said that the fraud ‘was not an isolated incident.’

In response, Loeffler instructed Associate Administrator Tre Pennie, who oversees government contracts awarded by SBA, to ‘act decisively’ to crack down on any potential similar abuses in the agency.

Loeffler instructed Pennie to immediately initiate a full-scale audit of the agency’s awarding officers back to 2010.

‘The role of federal government contracting officers is not ceremonial or self-dealing; rather, it is a position of immense authority and fiduciary responsibility,’ said Loeffler. ‘The contracting process must be transparent and built on merit, not personal gain.’

This comes after USAID, an agency tasked with administering civilian foreign aid, was essentially dismantled by the DOGE waste, fraud and abuse cuts made under Elon Musk and President Donald Trump. The move was met with massive protests from Democrats who claimed that cutting USAID would impoverish and harm recipients across the globe.

Despite claims of how much good the agency was doing, it was recently discovered that an influential contracting officer at USAID named Roderick Watson was able to carry out a massive, long-term bribery scheme dating all the way back to 2013.

Watson, 57, pleaded guilty to ‘bribery of a public official,’ according to a DOJ press release.

According to the DOJ, Watson sold his influence starting in 2013, with contractors Walter Barnes, owner of Vistant, and Darryl Britt, owner of Apprio, funneling payoffs through subcontractor Paul Young to hide their tracks. 

A DOJ press release said that Britt and Barnes ‘regularly funneled bribes to Watson, including cash, laptops, thousands of dollars in tickets to a suite at an NBA game, a country club wedding, downpayments on two residential mortgages, cellular phones, and jobs for relatives. The bribes were also often concealed through electronic bank transfers falsely listing Watson on payroll, incorporated shell companies, and false invoices.’

The statement said that Watson is alleged to have received bribes ‘valued at more than approximately $1 million as part of the scheme.’

Vistant was awarded in November 2023, as part of a joint venture, a contract worth up to $800 million with one of the focuses of that contract being to address ‘a variety of issues affecting the root causes of irregular migration from Central America to the United States,’ an issue that President Joe Biden tasked then-Vice President Kamala Harris with during his presidency.

Several days later, that contract was canceled after USAID published a notice that said Vistant was excluded from government contracting due to ‘evidence of conduct of a lack of business honesty or integrity.’

The joint venture then successfully sued the government over being put on that exclusion list and was re-awarded the contract and given a $10,000 payment in August 2024. 

In her letter, Loeffler said the USAID scandal ‘represents a collapse in the very safeguards that are supposed to protect American taxpayer dollars and ensure fair access for legitimate small businesses.’

She slammed the Biden administration for awarding the $800 million contract to Vistant despite the business being labeled by USAID as lacking ‘honesty and integrity.’

‘The fact that a federal official was able to act as the linchpin of a persistent, large-scale fraud operation speaks to a failure in internal controls and a breakdown in the contracting environment that demands immediate correction,’ said Loeffler.

She said that SBA plays a ‘critical role’ in federal contracting and ‘will no longer stand by while abuses are perpetrated at the expense of taxpayers and deserving small businesses.’

Loeffler said the agency’s audit will begin with high-dollar and limited competition contracts within SBA’s 8(a) business development program. The findings will be referred to the U.S. Office of Inspector General (OIG) and the DOJ.

Any officials or businesses found in violation of the SBA’s ethical standards or who have committed criminal misconduct will be referred to the appropriate authorities and SBA will assist the DOJ in recovering misappropriated funds, Loeffler said.

‘We will not allow public trust to be quietly eroded by backdoor deals and unchecked discretion,’ said Loeffler.

‘We owe it to America’s small businesses to get this right,’ she went on. ‘Your office has the authority, and now the mandate, to act decisively.’ 

Those who leaked a preliminary assessment — rejected by the White House — on the U.S. strikes on Iranian nuclear facilities will face justice for sharing the document, according to White House Press Secretary Karoline Leavitt. 

President Donald Trump and multiple leaders are saying that the strikes destroyed three Iranian nuclear sites.  

A leaked report from the Defense Intelligence Agency, published by CNN and the New York Times, cast doubt on that though, saying that the strikes only set back Iran’s nuclear program by several months. CNN first reported the assessment’s findings, citing seven people who were briefed on the report. The outlet reported the findings were based on a battle damage assessment from U.S. Central Command. 

Leavitt pushed back on the early assessment’s credibility, claiming the report was ‘flat-out wrong.’ 

‘Everyone knows what happens when you drop 14 30,000-pound bombs perfectly on their targets: total obliteration,’ Leavitt said in a Tuesday statement. 

Secretary of Defense Pete Hegseth said Wednesday that the FBI is conducting an investigation to get to the bottom of the matter and who shared the document with the media. 

Additionally, Leavitt told reporters that leaking classified information is a criminal offense and that those who fail to follow the law ‘need to be held accountable for that crime.’ 

‘This administration wants to ensure that classified intelligence is not ending up in irresponsible hands, and that people who have the privilege of viewing this top secret classified information are being responsible with it,’ Leavitt told reporters Thursday. 

‘Clearly, someone who had their hands on this and it was a very few people, very few number of people in our government who saw this report,’ Leavitt said. ‘That person was irresponsible with it. And we need to get to the bottom of it. And we need to strengthen that process to protect our national security and protect the American public.’ 

Meanwhile, the U.S., Israel and Iran’s Foreign Ministry have all said that the three nuclear sites U.S. forces struck have encountered massive damage. 

Iran’s Foreign Ministry spokesman Ismail Baghaei told Al Jazeera Wednesday that the country’s nuclear facilities were ‘badly damaged,’ and Israel’s Atomic Energy Commission said the U.S. strikes were ‘devastating.’

On Sunday, Chairman of the Joint Chiefs of Staff Gen. Dan Caine said that initial battle damage assessments suggest ‘all three sites sustained extremely severe damage and destruction.’

Trump issued a word of caution to Iran Wednesday, should it attempt to repair its nuclear program once more, and said the U.S. wouldn’t hesitate to launch another strike against Iran. 

Trump personally called for the firing of one of the reporters who authored the story about the initial assessment, claiming in a Wednesday Truth Social post that the reporter should be ‘IMMEDIATELY reprimanded, and then thrown out ‘like a dog.’’

Even so, CNN came to the defense of the reporter, Natasha Bertrand. 

‘We stand 100% behind Natasha Bertrand’s journalism and specifically her and her colleagues’ reporting of the early intelligence assessment of the U.S. attack on Iran’s nuclear facilities,’ CNN said in a Wednesday statement. ‘CNN’s reporting made clear that this was an initial finding that could change with additional intelligence. We have extensively covered President Trump’s own deep skepticism about it.’

Fox News’ Brooke Singman contributed to this report. 

President Donald Trump recognized a third-generation autoworker from Michigan Thursday while speaking at the ‘big, beautiful event,’ noting he was a lifelong Democrat who now supports the president because of vehicle loan interest tax benefits.

The president spoke about the ‘big, beautiful bill’ from the East Room of the White House with a group of people standing behind him who represented various trades, including food delivery, farmers and automotive workers.

One of the workers standing behind Trump was James Benson, a third-generation autoworker from Belleville, Michigan, who has been with Ford Motor Company for 26 years.

Trump introduced Benson, noting that Ford has ‘a lot of plants’ in the U.S.

‘If you have plants in this country, you’re going to make a lot of money,’ the president said, adding that he loves autoworkers.

Trump also said Benson was a lifelong Democrat until 2017, when he saw the benefits of the tax laws.

Trump then spoke about his latest plan to benefit car owners by making interest on car payments fully tax-deductible.

But the deduction would only be for cars made in the U.S., Trump said, adding if it was made someplace else, ‘we don’t care.’

Trump’s ‘big, beautiful bill’ would create a new deduction of up to $10,000 for qualified passenger vehicle loan interest in a given taxable year. The deduction would phase out when a taxpayer’s modified adjusted gross income exceeds $100,000.

Applicable passenger vehicles include cars, trucks, vans, SUVs and motorcycles that have been manufactured for use on public streets, roads and freeways and for which the final assembly occurs in the U.S.

The bill defines the final assembly as the process by which the manufacturer produces a vehicle and delivers it to a dealer with all the parts necessary for operation.

As is the case with the overtime and tips deductions, the auto loan provision would be in effect for tax years 2025 through 2028.

Trump reiterated to those in attendance that the tax benefit is only for vehicles made in the U.S.

‘Remember that, James. We’re going to keep those Michigan auto factories roaring,’ the president said.

FOX Business’ Eric Revell contributed to this report.

A group of House Republicans is demanding to know how the U.S. is ready to protect its own domestic assets in the event of a potential attack on the homeland.

‘We write to inquire with the U.S. Department of Defense (DOD) and the Department of Homeland Security (DHS) about the current state of drone attack countermeasures for our military installations, government buildings, embassies, and consulates, both domestic and abroad,’ the GOP lawmakers wrote in a letter.

‘The ongoing conflicts in Ukraine and the Middle East have demonstrated that large-scale, highly coordinated mass-drone attacks can be highly effective if the defender lacks adequate counter-drone defenses.’

The letter was sent late Thursday, days after Israel and Iran declared a ceasefire following days of escalating attacks within one another’s borders.

Just before President Donald Trump announced a ceasefire, the Department of Homeland Security (DHS) warned the Middle East conflict was ‘causing a heightened threat environment in the United States.’

House lawmakers will be briefed behind closed doors on the situation with Iran at 9 a.m. Friday.

‘Since 9/11, our nation has not suffered a major coordinated attack on our own soil. While the government has done good work in preventing an attack like 9/11 from happening again, we want to ensure that we are preparing for a new paradigm in which relatively cheap drones can quickly and effectively wipe out core military and government infrastructure,’ the lawmakers wrote Thursday.

‘While American threat projection globally is strong among all the branches of the military, we need to be prepared for a new paradigm of covert, but potentially disastrous, threats to our core military interests, including our nuclear triad in the homeland.’

The letter is led by Rep. Mike Carey, R-Ohio.

The lawmakers are asking Defense Secretary Pete Hegseth and Homeland Security Secretary Kristi Noem if counter-drone technology is being factored into Trump’s plans for a Golden Dome defense system in the U.S.

They’ve also asked whether there is ‘a concern of any sort of weaponized drone buildup already happening in the United States from drones that may have been smuggled in due to the former administration’s open border policies.’

Noem and Hegseth were also questioned on whether they are ‘aware of or actively working to deter potential threats posed by foreign-owned land near critical military and infrastructure sites in the United States that could be a launching point for a mass drone attack like we saw in Russia by Ukrainian forces.’

Fox News Digital reached out to the Pentagon and DHS for comment.

A year ago Friday, President Joe Biden took the debate stage against then-Republican presidential candidate Donald Trump and drove one of the final nails in his reelection campaign’s coffin as traditional allies turned their backs on the 46th president and subsequently rallied to replace him as the frontrunner against Trump. 

Biden entered the reelection cycle already racked by claims and concerns that his mental acuity had slipped and he was not mentally fit to continue serving as president, which was underscored by special counsel Robert Hur’s report in February 2024 that rejected criminal charges against Biden for possessing classified materials, citing he was ‘a sympathetic, well-meaning, elderly man with a poor memory.’ 

The then-president spent days preparing for the debate from Camp David in Maryland, as videos of his recent public gaffes and missteps haunted the campaign in the days leading up to the debate. Trump, meanwhile, led the charge in demanding Biden take a drug test to prove he was not taking performance-enhancing supplements ahead of the highly anticipated event. 

Biden brushed off accusations he was using any performance-enhancing supplements, including mocking Trump’s challenge that he take a drug test in an X post showing him drinking a can of water. 

‘I don’t know what they’ve got in these performance enhancers, but I’m feeling pretty jacked up. Try it yourselves, folks. See you in a bit,’ the X post read, accompanied by a photo of Biden drinking a can of water that read ‘Get real, Jack. It’s just water.’

Just minutes later, Biden would deliver a failing debate performance that unleashed panic among the Democratic Party, as some rushed to defend Biden, and others broke with the man who had served in public office for more than 50 years to demand fresh leadership at the 11th hour of the campaign cycle. 

‘I really don’t know what he said at the end of that sentence, I don’t think he knows what he said either,’ Trump shot at Biden at one point during the debate.

The viral moment followed Biden attempting to tout Congress’ bipartisan border package that lawmakers had bucked earlier in 2023. 

Biden said, ‘We find ourselves in a situation where when he was president, he was separating babies from their mothers put them in cages, making sure that the families were separated.’

‘That’s not the right way to go. What I’ve done since I’ve changed the law, what’s happened? I’ve changed it in a way that now you’re in a situation where there are 40% fewer people coming across the border illegally, that’s better than when he left office. And I’m going to continue to move until we get the total ban on the total initiative relative to what we can do with more Border Patrol and more asylum officers,’ Biden said, appearing to trail off. 

Overall, Biden’s 90-minute performance was riddled with him tripping over his words, speaking in a far more subdued tenor than during his vice presidency, having a raspy and unsure voice, and losing his train of thought at times. 

Biden and Trump also were both confronted over their ages during the debate, with the moderator saying Biden would be 86 by the end of a potential second term, and Trump 82. 

Biden defended his age, saying he ‘spent half my career being criticized about being the youngest person in politics. I was the second-youngest person ever elected to the United States Senate, and now I’m the oldest. This guy is three years younger and a lot less competent.’ 

Trump, meanwhile, said he had taken cognitive tests and ‘aced them.’ 

The debate unleashed panic among Democrat allies of the president and members of the media, as they remarked his performance was a failure that added fuel to the fire surrounding concerns over his mental acuity and age. 

‘My phone really never stopped buzzing throughout. And the universal reaction was somewhere approaching panic,’ then-MSNBC host Joy Reid, for example, said.

‘My job now is to be really honest,’ former Missouri Sen. Claire McCaskill, a Democrat, said during an appearance on MSNBC after the debate. ‘Joe Biden had one thing he had to do tonight, and he didn’t do it. He had one thing he had to accomplish and that was reassure America that he was up to the job at his age. And he failed at that tonight.’ 

‘I think the emotions of the night were basically disappointment, anger, and then, by the end, it was panic,’ one House Democrat who was granted anonymity to speak freely, told Fox News Digital following the debate.

Legacy media outlets such as the New York Times and the Chicago Tribune called on Biden to map out an exit plan – with the Times describing Biden as a ‘shadow of a great public servant’ – while Biden allies such as former President Barack Obama and first lady Jill Biden reiterated their support for the 46th president’s re-election. 

‘Bad debate nights happen. Trust me, I know,’ Obama said the day after the debate. ‘But this election is still a choice between someone who has fought for ordinary folks his entire life and someone who only cares about himself. Between someone who tells the truth; who knows right from wrong and will give it to the American people straight – and someone who lies through his teeth for his own benefit.’ 

Soon after the debate, however, reports spread that Obama was working behind the scenes to rally that Biden drop out of the race, so a new generation of Democrats could take the reins of the party. 

The White House, meanwhile, forcefully defended the president following the debate. 

‘Absolutely not,’ then-White House press secretary Karine Jean-Pierre declared in a media briefing July 3, 2024, when asked if Biden had any plans to exit the 2024 race. 

Biden ultimately did drop out of the race on July 21, 2024, less than a month following the debate, as pressure from traditional allies grew. The president announced his departure in a Sunday afternoon message posted to his X account. 

The announcement was soon followed by him endorsing Vice President Kamala Harris to take up the mantle, leaving her with just more than 100 days to launch her own presidential campaign against Trump.