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Pete Hegseth: “In the Pentagon, $100 million sole source contracts go out…”

Featuring: Pete Hegseth, Secretary of Defense | National

Secretary of War Hegseth Announces Major Investigation at the Pentagon

Published January 20, 2026 | Video Starts at 02:29

And their investigation is just beginning. Treasury, justice, and the Small Business Administration under Administrator Loeffler are all actively investigating their 8A contracts right now. Now In the Pentagon, $100 million sole source contracts go out the door to these 8A firms almost every day. $100 million sole source contracts go out our door to these 8 firms almost every day without any competition or opportunity for anyone else to bid. (02:29–02:39)

CLAIM

Asserts that $100 million sole source contracts are frequently awarded to 8A firms by the Pentagon.

This is an excerpt from a raw transcript. The assertions have not been audited or verified. Tap the video to view the source footage and understand the context.

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Pete Hegseth

“The Department of Justice under Attorney General Pam Bondi recently exposed half a billion dollars in 8A fraud.”
Secretary of War Hegseth Announces Major Investigation at the Pentagon | Uploaded January 20, 2026 | 02:05-02:13
“Treasury, led by Secretary Bessant, found another quarter billion [in 8A fraud].”
Secretary of War Hegseth Announces Major Investigation at the Pentagon | Uploaded January 20, 2026 | 02:13-02:17
“The Department of War is required by law to do almost $100 billion worth of contracts per year with small businesses, including 8A firms.”
Secretary of War Hegseth Announces Major Investigation at the Pentagon | Uploaded January 20, 2026 | 02:50-03:02
“The Department of War has the biggest chunk of 8 spending by far. 10 times more than any other agency.”
Secretary of War Hegseth Announces Major Investigation at the Pentagon | Uploaded January 20, 2026 | 03:28-03:35
“I promised we would gut the corruptive, unconstitutional, non merit based DEI programs that have weakened our military.”
Secretary of War Hegseth Announces Major Investigation at the Pentagon | Uploaded January 20, 2026 | 00:17-00:26
“I promised we would hunt down the waste, the fraud and the abuse that has run rampant in this department for decades.”
Secretary of War Hegseth Announces Major Investigation at the Pentagon | Uploaded January 20, 2026 | 00:30-00:36
“We're actually taking a sledgehammer to the oldest DEI program in the federal government, a program few people outside of Washington have…”
Secretary of War Hegseth Announces Major Investigation at the Pentagon | Uploaded January 20, 2026 | 00:46-01:00
“The 8A program has morphed into swamp code words for DEI race based contracting.”
Secretary of War Hegseth Announces Major Investigation at the Pentagon | Uploaded January 20, 2026 | 01:29-01:38
“In many, many instances, these socially disadvantaged businesses, they don't even do work. They take a 10%, 20%, sometimes 50% fee off the…”
Secretary of War Hegseth Announces Major Investigation at the Pentagon | Uploaded January 20, 2026 | 01:38-01:58
“For decades, this program, 8A, has been a breeding ground for fraud.”
Secretary of War Hegseth Announces Major Investigation at the Pentagon | Uploaded January 20, 2026 | 01:58-02:03
“Treasury, justice, and the Small Business Administration under Administrator Loeffler are all actively investigating their 8A contracts…”
Secretary of War Hegseth Announces Major Investigation at the Pentagon | Uploaded January 20, 2026 | 02:18-02:29