Elon Musk’s involvement in federal payment systems has sparked a major legal battle, as the U.S. Treasury faces a lawsuit over granting his Department of Government Efficiency (DOGE) access to vast amounts of personal financial data. The case has raised alarms about privacy, security, and potential conflicts of interest.
NEW: Sources tell my office that Treasury Secretary Bessent has granted DOGE *full* access to this system. Social Security and Medicare benefits, grants, payments to government contractors, including those that compete directly with Musk's own companies. All of it.
— Senator Ron Wyden (@wyden.senate.gov) 2025-02-01T20:37:06.411Z
The Lawsuit and Its Implications
A coalition of labor unions, led by the AFL-CIO, has sued the Treasury, claiming it violated privacy laws by allowing DOGE access to sensitive financial and personal information of millions of Americans. The lawsuit argues that this move breaches the Privacy Act of 1974 and federal regulations on taxpayer data.
Oooo boy 👀… This is huge! What are they hiding?
— MJTruthUltra (@MJTruthUltra) February 3, 2025
David Lebryk, the highest ranking official in the US Treasury Resigned after DOGE Wanted to Audit the Treasury Books
He was first put on administrative leave and then subsequently resigned.
This followed a dispute with Elon… pic.twitter.com/zZywZy14AA
The payment system in question processes over $5 trillion annually, handling Social Security payments, government salaries, and contractor transactions. Critics argue that giving DOGE, led by Musk, direct access to this system raises serious ethical and security concerns. With Musk’s companies, such as Tesla and SpaceX, holding substantial government contracts, the lawsuit questions whether this access could be misused for corporate or personal gain.
Political and Security Concerns
Several lawmakers, including Senators Ron Wyden and Elizabeth Warren, have voiced strong opposition to Musk’s DOGE gaining control over such critical financial infrastructure. Concerns range from national security risks to the potential misuse of personal data for commercial purposes.
Chris Coons, U.S. Senator from Delaware, said:
I’ve heard from a lot of you today about DOGE’s efforts to access the treasury payment system. Here’s what I’m doing. pic.twitter.com/BQE867vqrk
— Senator Chris Coons (@ChrisCoons) February 4, 2025
The AFL-CIO’s lawsuit seeks to block the alleged unauthorized data sharing, asserting that citizens should not be forced to share their private financial information with Musk’s agency. The controversy also highlights broader concerns about President Donald Trump’s initiative to streamline government operations, with Musk as a central figure in the effort.
Emmanuel Ekokotu
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