Former Republican Congressman George Santos contested reports he violated insider trading laws by using prediction platform Kalshi to profit from his attendance at a White House event.
Key Takeaways
- NPR reported Santos’ Kalshi account was frozen and he was reported after suspicious trades were detected.
- Santos said Kalshi is a danger to users.
- A DOJ spokesperson told Newsweek that Santos is not under investigation.
Santos, who represented New York in the U.S. House for less than one year before he was expelled for misusing campaign funds, called allegations of insider trading “preposterous.” He also claimed he was unaware of a Department of Justice investigation until NPR reported on it, but he would make himself available to officials.
“To the (hundreds) of reporters calling me through the night. Stop!” Santos posted to X on Wednesday. “My legal team and I were made aware by a report from NPR yesterday that the DOJ might be looking into me. So now my legal team is in contact with the DOJ to see what is going on.”
He added, “The bases of the accusation is preposterous and I look forward to supplying any information asked of me to any agency that inquires, till then media please do not inquire.”
Newsweek reported later Wednesday that a DOJ spokesperson said the department did not currently have an open investigation into Santos, contradicting NPR's report.
Santos called out Kalshi that same day, saying the platform was a “danger to (its) users” due to a lack of privacy, information leaks, and their access to customer information. He called for the Commodity Futures Trading Commission (CFTC) to revoke the operator’s license.
He called NPR’s Bobby Allyn a “clown,” later that night, accusing him of fabricating a threat, making up investigations, and harassing Santos.
The clown at NPR @BobbyAllyn is now making things up…
— George Santos (@Georgesantos) June 4, 2026
1. Saying I threatened him.
I’ve interacted with hundreds of reporters in my life… not once was I ever threatening or aggressive… sassy? Sure but aggressive and threatening? NEVER!
2. He’s mad that I didn’t give him…
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What is Santos accused of?
NPR's report stated the DOJ and CFTC launched investigations into Santos after an account supposedly traced to him was found to have purchased contracts in the State of the Union market. Santos said in a video a day before the event that he would be in the audience, only to find himself stuck in the airport the next day.
Watching SOTU from an airport tv was not part of the plan! FML 😡🤬
— George Santos (@Georgesantos) February 24, 2026
Santos told NPR he had a personal relationship with Kalshi cofounder Luana Lopes Lara, whom he said he'd contact to learn more about a potential investigation. A source referenced in the report disputed Santos’ association with Lopes Lara and said he did not accept an interview request from Kalshi, which was part of the investigation.
The former Congressman previously said on his podcast, “Doing Time with George Santos,” that prediction markets are “easily manipulable.”
“I think it’s fun and you can make a little money and you can have fun with it, but just understand that there will always be advantaged players in this game, and it’s very hard to understand who they are,” he said.
Polymarket ends partnership
In light of the recent prediction market news and controversy, operator Polymarket severed its partnership with Santos, according to The Associated Press. The platform had paid the politician for promotion.
Santos was arrested on wire fraud, identity theft, and financial misconduct in 2023 and pleaded guilty in 2024. He served just under three months in prison before he was granted clemency in 2025 by President Trump, who said Santos was “rogue” but had been “horribly mistreated” in prison.
