A federal court has dealt a major blow to Elon Musk’s Department of Government Efficiency (DOGE), barring it from accessing sensitive financial and personal data of millions of Americans. U.S. District Judge Paul A. Engelmayer issued a preliminary injunction on February 8, siding with 19 Democratic attorneys general who challenged the Trump administration’s decision to grant DOGE access to Treasury Department records.
New York Attorney General Letitia James, who spearheaded the lawsuit, celebrated the ruling, warning that Musk and his team’s involvement posed serious security threats. “This unelected group, led by the world’s richest man, is not authorized to have this information, and they explicitly sought this unauthorized access to illegally block payments that millions of Americans rely on, payments for health care, child care, and other essential programs,” James said in a video statement.
The lawsuit, filed in New York City, argued that allowing DOGE access to the Treasury Department’s central payment system violated federal law and undermined the constitutional separation of powers. Judge Engelmayer, an Obama appointee, ordered that anyone prohibited from handling this sensitive data must destroy any downloaded material retroactively to January 20.
Concerns Over Privacy and Security
Since DOGE gained access, the reaction from the public has been swift and critical. James’ office reported receiving over a thousand complaints from New Yorkers concerned about their privacy and potential disruptions to government-funded programs.
“From the moment Elon Musk and his DOGE employees gained unprecedented access to our personal private data, state bank account details, and other sensitive information, Americans across the country have been horrified,” James said in a press release. “We knew the Trump administration’s choice to give this access to unauthorized individuals was illegal, and this morning, a federal court agreed.”
Treasury Secretary Scott Bessent is also under fire for allegedly altering long-standing policies that protected sensitive taxpayer information. Critics argue that this change recklessly exposed financial details belonging to states, veterans, retirees, and millions of taxpayers.
The Largest Data Breach in U.S. History?
Connecticut Attorney General William Tong called this case “the largest data breach in American history.” He warned that DOGE, which he described as “an unlawfully constituted band of renegade tech bros,” had infiltrated confidential databases and critical payment systems. “What could go wrong?” Tong asked, underscoring the potential dangers of unauthorized access.
The American Civil Liberties Union (ACLU) has also stepped into the legal battle, demanding greater oversight from Congress. Nathan Freed Wessler, Deputy Director of the ACLU’s Speech, Privacy, and Technology Project, called for immediate action.
“The American people deserve to know if their private financial, medical, and personal records are being illegally accessed, analyzed, or weaponized by Trump’s unaccountable team of unvetted outsiders,” Wessler said. “There’s every indication that DOGE has forced its way into the government’s most tightly protected databases and systems, without consideration of longstanding privacy safeguards mandated by Congress. We need answers now.”
Legal Battle Far from Over
While this ruling halts DOGE’s access to sensitive data for now, the case is far from settled. The lawsuit contends that DOGE’s involvement is both unlawful and unconstitutional, setting the stage for a protracted legal fight.
James remains steadfast in her commitment to blocking Musk’s team from wielding unchecked power over Americans’ financial records. “I have said it before, and I will say it again: no one is above the law,” she declared.
As the legal battle continues, many Americans will be watching closely to see whether the courts will uphold protections against unauthorized government overreach—or whether Musk’s DOGE will find a way back into the Treasury’s vault of sensitive data.
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