US Treasury Faces Legal Heat for Giving Elon Musk’s DOGE Access to Sensitive Data
The US Treasury faces a lawsuit for allegedly providing Elon Musk’s Department of Government Efficiency (DOGE) with seamless access to millions of Americans’ personal and financial information. The case was filed on Feb. 3 in a federal court in Washington, D.C., by the American Federation of Labor and Congress of Industrial Organizations (AFL-CIO). The largest union group in the US accuses the Treasury of breaking federal privacy rules by allowing the unlawful, systematic, and continuous disclosure of sensitive data to Musk and his DOGE team. Also read: Lawmakers Demand Answers Following US Treasury Department Cybersecurity Breach The AFL-CIO described the suspected data leak as massive. The union contends that American residents, who are legally compelled to provide personal information to the federal government, should not have their data disclosed to private businesses like Musk’s DOGE. Controversial Role and Political Fallout of DOGE The dispute stems from former President Donald Trump’s cost-cutting initiatives, in which Musk was selected to lead the department, a decision interpreted by many as emblematic of Musk’s passion for Dogecoin, a cryptocurrency he has regularly promoted. However, detractors contend that DOGE is not a legitimate government institution, posing fundamental concerns about its power and the legality of its access to federal information networks. Senator Elizabeth Warren expressed her concerns during a Feb. 3 press conference with Senate Majority Leader Chuck Chumer. Schumer stated plans to draft legislation to prevent unlawful meddling in federal systems, stating that DOGE has “no authority to make spending decisions,” adding that ”It has no authority to shut programs down or ignore federal law.” Also read: Dogecoin Soars 13% Following US Government Website Launch Featuring DOGE Logo The lawsuit references Senator Ron Wyden’s Feb. 1 Bluesky article, in which he stated that sources within his office confirmed DOGE was provided full access to the Treasury payment systems. It stores sensitive data such as Social Security numbers, birthdates, home addresses, email addresses, and extensive banking information. Wyden, who was concerned about data privacy issues, wanted an immediate clarification from Secretary Bessent on the role of the new proposed department and the influence of Musk over the system. The US Treasury and the US DOGE Service (USDS), the department’s parent agency, haven’t spoken on the matter. This lack of openness has sparked public worry and suspicion regarding the proposed department’s exact level of access and Musk’s role. Also read: Trudeau Resigns: Elon Musk and Crypto Community Rally Behind Pierre Poilievre As the case unfolds, it is expected to raise more arguments about data security, the role of private firms in government operations, and the ethical limits of federal cost-cutting methods. For the time being, millions of Americans are waiting for answers as the court dispute plays out, with long-term repercussions for government data policies.