Musk claims US Treasury pays USD100bn yearly to mysterious recipients

(MENAFN) Elon Musk, head of the newly formed Department of government Efficiency (DOGE), revealed that the US Treasury is disbursing over $100 billion annually to individuals without Social Security Numbers (SSNs) or temporary IDs, which he believes could lead to fraud and inefficiencies. As a "special government employee" under President Donald Trump's administration, Musk aims to cut at least $1 trillion from the federal deficit by slashing daily spending by $4 billion.

Musk posted on X that approximately half of these payments—around $50 billion per year—could be fraudulent, describing this situation as "utterly insane" and in need of immediate action. In response, DOGE and the Treasury Department have agreed on several measures to improve transparency and accountability, such as requiring payment categorization codes and mandatory payment rationales that are often missing.

Currently, the "Do-Not-Pay" list, which flags fraudulent entities and deceased individuals, can take up to a year to process, and Musk is pushing for quicker updates. His reform efforts are being implemented by long-standing government employees, not DOGE staff.

Last week, DOGE announced savings of over $1 billion by eliminating contracts related to diversity, equity, and inclusion (DEI) programs. Musk referred to DOGE as "the wood chipper for bureaucracy," highlighting the agency's goal to streamline government operations. His team now has access to the federal payment system, though some officials have raised concerns about potential conflicts of interest and data security, prompting restrictions on DOGE’s access to sensitive financial data.

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