Elon Musk alleges $50 billion fraud after judge blocks DOGE access to Treasury data

Tech billionaire Elon Musk has accused the US government of widespread fraud, claiming that $50 billion in entitlement payments are made annually without proper verification.

His allegations come after US District Judge Paul A. Engelmayer issued an emergency order blocking Musk’s Department of Government Efficiency (DOGE) team from accessing sensitive financial data at the US Treasury.

The ruling prevents political appointees and non-Treasury employees from retrieving Treasury records, citing concerns over unauthorized access to confidential payment information. The case was filed by attorneys general from 19 states against former President Donald Trump, the Treasury Department, and Treasury Secretary Scott Bessent.

Musk, who leads DOGE under Trump’s cost-cutting initiative, responded on X (formerly Twitter), condemning the ruling and alleging judicial corruption. He stated that DOGE and the Treasury had agreed on several transparency measures, including categorizing government payments and providing justification for each transaction.

According to Musk, internal estimates suggest that half of the $100 billion in entitlement payments lack Social Security Numbers or valid identification, indicating potential fraud. He criticized previous Treasury leadership for neglecting the issue, claiming that only now are internal employees empowered to act against it.

The temporary restraining order remains in place until a scheduled hearing on February 14. Meanwhile, the Treasury Department has raised security concerns, calling DOGE’s unrestricted access "the single biggest insider threat" ever faced by the Bureau of the Fiscal Service.

Musk’s accusations have intensified scrutiny over government spending and data security, with the case likely to influence future oversight policies.