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Friday, Mar 14, 2025

Elon Musk Criticizes Alleged 'Fraudulent' Treasury Payments Amid DOGE's Access to Federal Payment System

Elon Musk's Department of Government Efficiency (DOGE) has reportedly gained access to the U.S. federal payment system, sparking concerns over the approval of payments to fraudulent entities and triggering political responses.
Elon Musk has publicly criticized what he described as 'fraudulent' Treasury payments in a recent post, claiming that Treasury officials have been instructed to approve all payments, even to fraudulent or terrorist groups.

Musk, the chair of the Department of Government Efficiency (DOGE), which operates within the Trump administration, shared these claims on X (formerly Twitter) early Saturday morning.

His post followed reports that DOGE has been granted full access to the U.S. government's federal payment system, which is responsible for the disbursement of billions of dollars annually for various programs, including Social Security, Medicare benefits, and grants to contractors.

According to sources, Treasury Secretary Scott Bessent has authorized DOGE personnel to access and oversee payments through this system.

The system handles approximately $6 trillion in payments each year.

Oregon Senator Ron Wyden, the ranking Democrat on the Senate Finance Committee, confirmed the reports, stating that he had been informed of DOGE's access to the Treasury's payment infrastructure.

Wyden raised concerns that this access extends to payments for government contractors, including those competing with Musk’s own companies.

Musk's comments came amid broader controversy surrounding the management of the Treasury's finances.

The issue of DOGE’s involvement follows an ongoing debate over government spending, particularly related to diversity, equity, and inclusion (DEI) programs.

The Washington Post reported that the former acting director of the Treasury, David A. Lebryk, had planned to exit the department due to disagreements over granting DOGE access to the payment system.

Lebryk oversaw the Treasury between January 20 and January 27, 2025, the period between President Donald Trump’s inauguration and Bessent’s confirmation.

In the midst of these developments, reports have also emerged that DOGE has restricted access to certain federal systems, including those at the Office of Personnel Management, which oversees HR functions for the federal government.

Musk, known for his outspoken style, took to X to joke about the effectiveness of working over weekends, implying that government employees are often absent during those times, which allows DOGE to operate without interference.

DOGE was established by executive order on Trump's first day in office, with the goal of addressing inefficiencies within the federal government.

The executive order mandates that federal agency heads provide DOGE with access to internal government platforms, including software and IT systems.

Although DOGE is not a formal government department, it operates as part of the Trump administration’s efforts to cut government spending and reduce bureaucratic inefficiencies.

Musk has been an outspoken critic of government overspending and inflation, themes he discussed during a high-profile interview with Trump in August 2024. Musk has long advocated for a reduction in government spending, arguing that inflation is driven by excessive government expenditure.

Following the establishment of DOGE, Musk’s team has claimed to have cut over $1 billion in federal spending, largely through the cancellation of DEI initiatives and personnel positions.

The Treasury Department and the White House did not immediately respond to requests for comment on the reports.

As the situation continues to develop, it remains unclear how these changes will impact the broader U.S. government’s financial systems and the oversight of federal payments.
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