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Home»Legal»Judge refuses to block Elon Musk’s D.O.G.E from accessing US Treasury data
Legal

Judge refuses to block Elon Musk’s D.O.G.E from accessing US Treasury data

NBTCBy NBTC10/03/2025No Comments4 Mins Read
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A federal judge has denied an attempt to block D.O.G.E, the Department of Government Efficiency, from accessing the U.S. Treasury’s payment system, which handles tax refunds, Social Security payments, Medicare spending, and federal salaries.

Judge Colleen Kollar-Kotelly, ruling from Washington, D.C., on Friday, rejected a lawsuit filed by retirees and labor unions who argued that giving D.O.G.E access could expose millions of Americans’ private financial information. In her decision, she acknowledged the concerns but said there was no proof that the Treasury Department’s system had been compromised or that there was an imminent risk of data exposure.

“If Plaintiffs could show that Defendants imminently planned to make their private information public or to share that information with individuals outside the federal government with no obligation to maintain its confidentiality, the Court would not hesitate to find a likelihood of irreparable harm,” Kollar-Kotelly wrote. But since no such evidence was presented, she ruled in favor of D.O.G.E.

A federal judge in New York already blocked access last month

Despite the ruling in Washington, D.O.G.E is still blocked from using the Treasury’s Bureau of the Fiscal Service (BFS) because of a separate decision issued last month by Judge Jeannette Vargas in New York City.

Vargas ruled that the process of granting D.O.G.E access was “rushed and ad hoc,” creating a “realistic danger that confidential financial information will be disclosed.” She ordered the Treasury Department to submit a detailed report by March 24, proving that employees at D.O.G.E had undergone proper vetting and training before being allowed near federal financial systems. The report must also lay out “mitigation procedures” to prevent security risks. Until those requirements are met, D.O.G.E remains locked out of the Treasury’s payment system.

President Donald Trump created D.O.G.E through an executive order signed on January 20 right after inauguration, giving Elon broad authority to recommend spending cuts and eliminate waste in the federal government. The White House has described D.O.G.E as a cost-saving initiative, but critics say it’s an overreach of presidential power.

Elon Musk takes questions from reporters as President Trump looks on in the Oval Office of the White House. Jim Watson/AFP via Getty Images

Trump has repeatedly called Elon Musk the leader of D.O.G.E, though administration lawyers have claimed in court that the billionaire’s role is “advisory” in an attempt to shield him from legal challenges. The agency’s aggressive budget-cutting efforts have already led to lawsuits, protests, and growing opposition from Republicans in Congress.

On Thursday, Trump met with Elon and his Cabinet secretaries to discuss the restructuring of the federal workforce. He told agency leaders that they—not D.O.G.E—would have the final say over hiring and firing decisions. “Keep all the people you want, all the people that you need,” Trump said in the Oval Office meeting. But he also made it clear that if they didn’t cut enough, Elon would do it for them. “If they can cut, it’s better. If they don’t cut, then Elon will do the cutting.”

The D.O.G.E-driven staff reductions have fired thousands of government employees and shut down entire offices. The rapid pace of the cuts has alarmed Republican lawmakers, who fear that the backlash from federal workers and their families could cost them votes in upcoming elections.

Elon meets with Senate and House Republicans over voter backlash fears

On Wednesday, Elon met with Senate Republicans behind closed doors to address concerns about D.O.G.E’s sweeping budget cuts and their impact on upcoming elections. According to a report from NBC News, Florida’s Senator Rick Scott was the one who arranged the meeting after many Republican lawmakers shared their frustration over the fact that D.O.G.E’s work was being carried out without transparency or input from Congress.

The GOP senators also warned that voter backlash was becoming a serious problem. Some of the lawmakers have already faced hostile town hall meetings in their districts, where constituents demanded answers about the impact of D.O.G.E’s actions on government programs and jobs.

Later that same Wednesday, Elon also met with House Republicans, telling reporters afterward that they discussed “the opportunity to improve expenditures in the government.”

Meanwhile, President Trump said on Truth Social that: “DOGE has been an incredible success, and now that we have my Cabinet in place, I have instructed the Secretaries and Leadership to work with DOGE on Cost Cutting measures and Staffing. As the Secretaries learn about, and understand, the people working for the various Departments, they can be very precise as to who will remain, and who will go. We say the ‘scalpel’ rather than the ‘hatchet.’ The combination of them, Elon, DOGE, and other great people will be able to do things at a historic level.”

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NBTC is the editorial account for NBTC News, covering Bitcoin, Ethereum, DeFi, blockchain infrastructure, exchanges, mining, regulation and digital asset markets. The editorial team focuses on clear sourcing, timely updates and practical context for crypto readers.

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