U.S. Treasury Faces Lawsuit Over Elon Musk’s DOGE Access to Data

coin.gabbar (36)in #ustreasurylawsui • 2 days ago

Union Groups Sue U.S. Treasury Over DOGE’s Secret Data Access
Washington, D.C. – The U.S. Treasury Department is facing legal action after allegedly granting Elon Musk DOGE (Department of Government Efficiency) access to sensitive financial and personal data of millions of Americans. The lawsuit, filed by major union groups, accuses Treasury Secretary Scott Bessent of violating federal disclosure laws by permitting DOGE enforcers to view classified government records.

Union Groups Challenge Treasury’s Decision
The lawsuit, filed on February 3 in a Washington federal court, was initiated by the AFL-CIO alongside organizations like the Public Citizen Litigation Group, Alliance for Retired Americans, and the American Federation of Government Employees. Plaintiffs argue that Musk and DOGE had no legal authority to access records maintained by the Bureau of the Fiscal Service.

The complaint alleges that prior to Bessent’s appointment, DOGE was denied access to financial data by a senior Treasury official. However, after Bessent was sworn in as Treasury Secretary on January 27, the official was placed on leave, reportedly allowing DOGE full access to Treasury systems “without public notice, legal justification, or following established protocols.”

Privacy and Legal Issues Under Scrutiny
The legal action presents concerns about violations of both the Privacy Act of 1974 and the Internal Revenue Code of 1954 because these laws exist to safeguard taxpayer information from unauthorized access or disclosure. The plaintiffs claim that Treasury Department actions endanger both financial assets and personal security of retirees alongside taxpayers and federal employees.

Senator Ron Wyden raised alarm over the matter in a February 1 post, claiming Bessent had granted DOGE full access to Treasury payment systems. Democratic leaders led by Senate Majority Leader Chuck Schumer and Senator Elizabeth Warren have condemned this decision and they will present legislation to stop future occurrences.

Musk’s Role and Legal Implications
The White House confirmed that Musk is serving as a Special Government Employee (SGE) under the Trump administration, overseeing government spending through DOGE. While Musk does not have direct authority over federal payments, his involvement in government financial matters has sparked widespread criticism.

Meanwhile, legal experts warn that any obstruction of DOGE’s activities could result in federal action. The interim U.S. Attorney for the District of Columbia, Edward R. Martin Jr., suggested that individuals attempting to hinder DOGE’s work could face legal consequences.

As the case unrolls, questions are lingering about the transparency and legality of DOGE's role within the U.S. Treasury. The lawsuit is set to establish a great precedent in healing debates regarding government accountability and data privacy.