A group of Democratic attorneys general from 19 states has launched a federal lawsuit against the Trump administration concerning the Department of Government Efficiency’s (DOGE) access to sensitive personal data held by the Treasury Department.
The lawsuit asserts that the agency, directed by Elon Musk, received unauthorized access to the Treasury’s central payment system at the request of the Trump administration. On Thursday, the Treasury decided to restrict the Musk-led team’s access to this payment system while a judge addresses claims made in an earlier lawsuit involving a coalition of employee unions and retirees.
The current lawsuit, filed on Monday, argues that DOGE violated legal protocols by gaining “full access” to crucial payment information that includes details about Americans’ Social Security, Medicare, veterans’ benefits, and tax refunds.
U.S. Treasury Secretary Scott Bessent took to FOX Business on Wednesday to argue that concerns about this access are unfounded. He stated, “DOGE is not going to fail. This is just a shift in how things operate within the capital, and some interests are clearly unhappy about it.”
He reassured the public that the payment system remains intact, stating, “We handle over 1.3 billion payments every year, and we are in the process of evaluating how to improve accountability, accuracy, and traceability. However, it is important to note that no payments are being halted at our end.”
DOGE was introduced to combat unnecessary government spending and has already made significant moves towards restructuring parts of the U.S. Agency for International Development (USAID).
The lawsuit is spearheaded by New York Attorney General Letitia James, a well-known critic of Trump, and includes participation from attorneys general in several states, including Arizona, California, and Massachusetts. In a statement, James asserted, “President Trump cannot arbitrarily share Americans’ private information with anyone at his discretion, nor can he halt federal payments approved by Congress.”
Treasury officials have responded to the lawsuit by denying any breach of privacy laws, clarifying that only two members of the DOGE team were granted “read-only” access to the necessary information in the payment systems.
This legal challenge raises important questions about data security and the authority of government agencies in managing sensitive information.
