On Thursday, President Donald Trump made a startling allegation regarding the Biden administration’s U.S. Department of Defense, asserting that it was involved in a substantial multi-million dollar contract with a prominent news organization.
In a succinct post on Truth Social, the Republican leader accused former defense officials of sanctioning a $9 million agreement with Reuters, an international news agency that competes with the Associated Press in terms of reach and influence. Trump claimed that the contract pertained to an investigation into “large scale money deception,” although he did not provide additional details regarding the matter.
“Give the money back, now!” Trump wrote in an all-capitalized reaction to the news.
The revelation is part of the Department of Government Efficiency’s extensive investigation into the intricacies of the federal budget, much of which has been exposed by Elon Musk in recent weeks. Among the disclosures was information regarding payments made to media organizations such as the Associated Press and Politico, which President Trump has alleged to be a quid pro quo arrangement: numerous costly subscription services in return for favorable reporting on Democrats.
Trump reiterated this claim in a subsequent post on Thursday. He stated, “DOGE: Why was Politico paid Millions of Dollars for NOTHING. Buying the press??? PAY BACK THE MONEY TO THE TAXPAYERS! How much has the Failing New York Times paid? Is this the money that is keeping it open??? THEY ARE BUYING THE PRESS!”
In response, various media organizations and the White House Correspondents’ Association have defended both outlets, asserting that the White House is misrepresenting the nature of the payments. These expenditures were intended for high-level officials to gain access to enhanced coverage of the political landscape in Washington, D.C., through the costly Politico Pro accounts.
Nevertheless, the scale of these subscriptions is astonishing: prior to the dissolution of USAID, DOGE investigators discovered that the agency was allocating approximately $500,000 annually for 37 premium accounts with Politico.
Three weeks into his presidency, Trump and Musk have committed to countering the criticism directed at the administration by mainstream media outlets. The Associated Press was denied entry to an Oval Office press conference on Tuesday after its editors declined to adopt the term “Gulf of America” in their reporting. Concurrently, Musk has criticized several media organizations for allegedly “doxxing” some of his employees at DOGE by disclosing their identities publicly.
Last week, the editors of Politico issued a statement at the beginning of their national and state-level Playbook newsletters, rejecting the idea that the substantial subscription revenue was linked to payola.
“POLITICO is a privately owned entity. We have never accepted any government funding — no subsidies, no grants, no handouts. Not a single cent, ever, in 18 years,” stated a public letter from CEO Goli Sheikholeslami and Editor-in-Chief John Harris. “POLITICO Pro operates differently. It is a professional subscription service utilized by companies, organizations, and, indeed, some government agencies. They subscribe because it enhances their operational effectiveness.
“Government agencies that subscribe do so through standard public procurement processes — just like any other tools they acquire to improve efficiency. This is not funding; it is a transaction — similar to how the government purchases research, equipment, software, and industry reports. Certain online commentators are intentionally disseminating misinformation. To clarify: POLITICO has no financial ties to the government and no concealed agenda. Our focus is on covering politics and policy — that is our responsibility.”
Nevertheless, the recent disclosure regarding payments to Reuters is likely to incite further examination of the “money deception” that Reuters was investigating and its implications.
