Kristy Noem Gave $1 Billion Contract to Border Company That Allegedly Hired, Armed Immigrants

Homeland Security Secretary Kristi Noem has quietly approved massive border wall construction contracts for a Texas firm with a highly controversial past. SLSCO Ltd has secured deals worth $1 billion to build new sections of the barrier in Del Rio and Laredo, Texas.

These lucrative agreements were finalised shortly before Noem's anticipated departure from office at the end of this month. However, court documents reveal that the company previously faced severe allegations of smuggling undocumented migrants to work on their sites and providing them with firearms.

How $1 Billion Went to a Firm Accused of Human Smuggling

The Department of Homeland Security has continued to expand President Donald Trump's border wall alongside its publicised deportation initiatives. Under Noem's direction, SLSCO received two enormous contracts despite lingering legal questions about its labour practices. The Texas-based organisation also holds a separate contract to construct the Florida detention centre known as Alligator Alcatraz.

Noem recently visited this Florida facility wearing a $50,000 Rolex and a distinctive MAGA cap. She personally signs off on any department contract exceeding $100,000, meaning she directly authorised the SLSCO agreements. The construction group is a major financial supporter of Republican politicians, including Texas Governor Greg Abbott and Florida Governor Ron DeSantis.

Armed Guards and a Shootout at Southern Border Sites

Legal filings from 2019 accuse SLSCO of transporting individuals from Mexico to serve as construction workers and armed guards. Two former security contractors, an ex-FBI agent and a former San Diego Sheriff's deputy, initiated a lawsuit over alleged 'human and weapons smuggling.' They claimed they discovered undocumented migrants working illegally at the company's California sites during routine audits.

The whistleblowers reported seeing armed Mexican nationals operating as security personnel for the firm. These guards allegedly engaged in a gunfire exchange in July 2019 with another group of migrants attempting to steal construction materials. When the security contractors reported these severe violations to upper management, corporate leaders reportedly took no corrective action.

After the former FBI agent informed federal authorities about the illegal hiring practices and the shootout, SLSCO terminated both contractors. The pair alleged this dismissal was direct retaliation for raising safety and legal alarms. They eventually dismissed their case voluntarily, and the company does not appear to have publicly addressed the severe claims.

Why Trump Terminated Noem Following a $220 Million Scandal

The Sullivan brothers, who established SLSCO in Galveston in 1995, previously secured $2 billion in border wall bids during the first Trump administration. Their latest contracts arrive as Noem faces intense scrutiny over her turbulent 13-month tenure. President Trump dismissed the secretary last week following widespread criticism regarding her department's financial management.

The administration faced intense public outcry over a $143 million payment to a firm that subsequently subcontracted work to the husband of Noem's press secretary. This arrangement helped produce a staggering $220 million television advertisement campaign. The initiative featured Noem riding on horseback near Mount Rushmore and explicitly encouraged migrants to self-deport.

Trump publicly stated he 'wasn't thrilled,' and maintained he had no prior knowledge of the expensive broadcast campaign. He formally removed Noem two days after she testified under oath that the president was fully aware of the initiative.