Former Homeland Security Secretary Kristi Noem approved $1 billion in border wall construction contracts for SLSCO Ltd, a Texas-based firm previously accused in court filings of employing undocumented migrants and arming them as security guards, according to government records and legal documents tied to the company's past operations.
The contracts authorize SLSCO to build new sections of the U.S.-Mexico border barrier in Del Rio and Laredo, Texas, expanding a cornerstone policy of President Donald Trump's immigration agenda. The agreements were finalized shortly before Noem's anticipated departure from office, drawing renewed scrutiny toward the Department of Homeland Security's contracting decisions.
Under DHS procedures, the secretary must personally approve any contract exceeding $100,000, meaning the deals were signed directly by Noem.
The contracts also come as SLSCO maintains another federal project tied to immigration enforcement: the construction of a detention facility in Florida known as "Alligator Alcatraz."
According to reporting associated with the contract awards, Noem recently visited the Florida site wearing a $50,000 Rolex watch and a MAGA cap, a moment that circulated widely online as the department continued promoting aggressive border enforcement policies.
The Texas construction company, founded in Galveston in 1995 by the Sullivan brothers, has previously secured about $2 billion in border wall construction bids during Trump's first administration, positioning the firm as a major contractor in the government's border infrastructure program.
However, the company has faced serious allegations in past litigation involving labor practices and security operations at construction sites.
A 2019 lawsuit filed by two former security contractors-a former FBI agent and a former San Diego Sheriff's deputy-accused the company of transporting undocumented migrants from Mexico to work on construction projects and to serve as armed guards.
The complaint alleged "human and weapons smuggling."
The whistleblowers claimed they discovered undocumented migrants working illegally at SLSCO construction sites in California during internal audits.
According to the lawsuit, some of those workers were allegedly deployed as armed security personnel.
The legal filings further described an incident in July 2019 in which armed guards allegedly exchanged gunfire with another group of migrants attempting to steal construction materials from a work site.
The former contractors said they reported the alleged violations to company leadership but claimed that management failed to act.
After one of the contractors informed federal authorities about the alleged hiring practices and the reported shootout, both men said they were dismissed from their positions.
They argued the terminations constituted retaliation for raising legal and safety concerns.
The case was eventually dismissed voluntarily by the plaintiffs, and SLSCO has not publicly addressed the allegations detailed in the lawsuit.
The contract awards have also emerged amid broader political controversy surrounding Noem's tenure at the Department of Homeland Security.
President Donald Trump removed Noem from her position last week after criticism over financial management decisions inside the agency.
One of the most contentious episodes involved a $143 million government payment to a communications firm that later subcontracted work to the husband of Noem's press secretary.
That arrangement ultimately helped produce a $220 million national advertising campaign encouraging migrants to leave the United States voluntarily.
The campaign featured Noem riding on horseback near Mount Rushmore while promoting the administration's deportation policies.
Trump later publicly expressed frustration with the spending.
The president told reporters he "wasn't thrilled" and said he had not known about the scale of the campaign beforehand.
Trump dismissed Noem from the administration two days after she testified under oath that the president had been aware of the initiative.
