How Will Elon Musk Use DOGE to Fix the Broken U.S. Treasury Department?

By The Blog Source

In order to increase financial responsibility, Elon Musk has outlined a number of "very obvious" measures that his Department of Government Efficiency (DOGE) and the U.S. Treasury Department have agreed to adopt. According to Musk, federal payments have long been beset by fraud and poor management; officials estimate that up to $50 billion is being disbursed improperly each year.

Musk has stated that Treasury officials will now update the congressional "do not pay" list more frequently in order to more effectively combat fraudsters and shell organizations. He alleges that the previous Treasury management failed to address significant inefficiencies, allowing improper payments to persist out of concern for potential complaints. In support of Musk's reform efforts, Treasury Secretary Scott Bessent recently said, "We do not have a revenue problem; we have a spending problem."

This past weekend, billionaire Elon Musk attacked the U.S. Treasury Department, pointing out what he calls an "utterly crazy" amount of fraud and waste in public payments. According to Musk, up to $100 billion is distributed annually to those who do not have legitimate Social Security numbers or even temporary identification cards. His conversations with Treasury officials indicate that at least $50 billion of that sum is likely "unequivocal and apparent fraud."

A set of accountability metrics has been outlined by Musk's Department of Government Efficiency (DOGE), in collaboration with professional Treasury officials. Among these is a requirement that Treasury officials update the congressional "do not pay" list more often in order to stop money from going to phony organizations. He acknowledged that lower-level Treasury staff had been advocating for these improvements for years, but previous leadership had obstructed their efforts. According to Musk, "Nobody in treasury management cared enough before." "Those who get money do not complain, but those who do not get money—especially scammers—cry loudly, which allows the deception to go on."

These initiatives come as Democratic officials are suing Musk, claiming his team has overreached its jurisdiction. Letitia James, the AG of New York, was one of 19 Democratic attorneys general who filed a lawsuit on Friday to prevent DOGE from accessing Treasury payment systems. According to the lawsuit, President Donald Trump lacks the authority to provide Musk or DOGE direct access to private financial records, such as information about Social Security, Medicare, and veterans' benefits. Trump "cannot reduce government funds approved by Congress," James said.

Musk called the judge's decision to deny DOGE access "crazy" and dismissed the complaint as political theater. Supporter of Musk's plans and Treasury Secretary Scott Bessent reaffirmed that no changes are being made to the current payment systems. Bessent clarified in a recent appearance on Kudlow that the Treasury is looking at ways to improve accuracy and accountability without interfering with its core operations. Bessent stated, "We process 1.3 billion payments annually." "The concern is: can we have greater traceability, accuracy, and accountability to make sure the money is going to the right place?"

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