Kristi Noem hit with DHS probe into alleged detention center scheme

Washington DC - Former Department of Homeland Security Secretary Kristi Noem is being investigated for her role in a scheme that used federal funds to buy warehouses to be turned into immigration detention centers.

A DHS watchdog is reportedly planning to launch an investigation into former Secretary Kristi Noem over an alleged warehouse buy-up scheme.   © Jim WATSON / AFP

According to The Wall Street Journal, the department's Office of Inspector General is expected to announce the launch of the probe on Wednesday, which will look into both Noem and her advisor Corey Lewandowski's role in the $38 billion warehouse-to-detention program.

During Noem's tenure, she and Lewandowski – who have faced rumors of an ongoing affair – urged the government to allow them to purchase detention spaces, instead of leasing them from private prison companies or local governments.

Last year, Congress passed President Donald Trump's One Big Beautiful Bill, awarding $38 billion in funding to DHS. To date, $1 billion of that has been used for Noem's warehouse initiative, with the ex-secretary paying well over market value in some instances.

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The Daily Beast reports that DHS paid over $145 million for a warehouse in Salt Lake City, which was appraised at just $97 million.

In a more drastic example, the department paid $129 million on a Georgia property valued only at $26 million – a nearly 400% markup.

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The continuing downfall of Kristi Noem

The probe comes after Trump in March demoted Noem from her role as head of DHS and replaced her with Oklahoma Senator Markwayne Mullin.

Upon taking the role, Mullin quickly nixed the warehouse-to-detention center program, leaving the 11 bought by Noem and Lewandowski completely empty.

It also comes as Noem has faced several embarrassing scandals in the wake of her demotion, including reports that her husband, Byron Noem, has spent thousands of dollars on a kink known as "bimbofication".