A United States district judge has issued an emergency order blocking Elon Musk’s government reform team from accessing personal and financial data for millions of Americans stored at the Treasury Department. The ruling, made by Judge Paul Engelmayer, restricts access to Treasury payment systems and sensitive information to “all political appointees, special government employees, and government employees detailed from an agency outside the Treasury Department.”
This temporary order will remain effective until a hearing set for February 14, 2025. It mandates that any individuals who accessed data from the Treasury Department’s records since President Trump’s inauguration on January 20 must “immediately destroy any and all copies of material downloaded.”
Musk, who leads Trump’s federal cost-cutting efforts through the Department of Government Efficiency, is facing legal challenges from attorneys general in 19 states. They accuse the administration of unlawfully expanding access to sensitive data for Musk’s team.
Despite being a top Trump donor and ally, Musk is not a federal employee, although reports indicate he registered as a “special government employee.” The DOGE initiative, which he oversees, lacks full government department status, requiring congressional approval for such designation.
In recent weeks, Musk’s team has faced scrutiny for reportedly accessing sensitive data at the Treasury Department. An internal Treasury assessment labeled this access as “the single biggest insider threat the Bureau of the Fiscal Service has ever faced.” The lawsuit filed by states such as New York and California claims the Trump administration granted “virtually unfettered access” to vital financial systems, raising significant cybersecurity concerns.
New Jersey Attorney General Matthew Platkin emphasized that such actions allow an “unelected billionaire” to access critical federal systems storing sensitive data for millions of Americans. The legal challenges are mounting as Trump has quickly moved to reform government spending and workforce structures, including controversial actions against the Agency for International Development (USAID) and efforts to reduce staff numbers significantly.
As court cases evolve, the implications of Musk’s involvement in federal activities continue to raise alarms regarding privacy and data security for American citizens.