Cheat, Lie, Cash In: California Democrat Proposes Legalizing Welfare Fraud Under $25,000

For decades, Democrats have relentlessly championed an expansive welfare state, cloaking their policies in compassion while chaining generations to poverty and dependence.

Now, California Democrats are considering a proposal that would decriminalize welfare fraud under $25,000.

Senate Bill 560, introduced by State Sen. Lola Smallwood-Cuevas in February, would eradicate criminal penalties for welfare overpayments stemming from administrative errors or minor infractions.

The proposed measure, set for a hearing on May 5, would shift such cases from criminal prosecution to local welfare agencies.  Jail time or fines would be reserved for cases that exceed the $25,000 threshold.

Smallwood-Cuevas, representing parts of Los Angeles County, insists the state’s safety net should support residents, not ensnare them in poverty.

“This bill is about keeping families out of the criminal justice system for making administrative errors,” the Democrat lawmaker wrote in an April 8 social media post, advocating for a “smarter, more humane approach” to overpayment cases.

According to the California Department of Social Services, the majority of welfare fraud transpires when the recipient fails to report income, the welfare recipient uses a child who is not living in the home to receive welfare benefits, or the reported absent parent is actually living in the home.

Los Angeles County handles 15,000 to 20,000 fraud cases annually, according to the Department of Public Social Services.

Meanwhile, California is grappling with benefit theft.

Criminals stole $34.6 million from Electronic Benefit Transfer cards in San Diego County over the past two years, despite new security chips, NBC San Diego reports. Fraud investigators warn that the chip technology is outdated, noting it does little to curb theft.

The bill legalizing welfare fraud comes amid efforts by the Trump administration to curb welfare abuse, including policies to prevent illegal immigrants from accessing benefits meant for legal residents.

The Elon Musk-led Department of Government Efficiency has uncovered $382 million in fraudulent unemployment payments since 2020, primarily in the Democrat-run states of California, New York, and Massachusetts.

According to DOGE,  California alone accounted for 68% of benefits paid to parolees on terrorist watchlists or with criminal records.

Democrats’ blueprint for poverty is as cynical as it is clear: decriminalize welfare fraud to keep the system bloated and the poor perpetually reliant.

By shrugging off “administrative errors” as no big deal, they’re not helping the needy—they’re entrenching a culture of dependency that locks voters in their grip.

And if you dare oppose this fraud-friendly free-for-all? Well, that’s just racist, because questioning their handouts always is. It’s not about compassion; it’s about power, plain and simple.