The Treasury Department announced Tuesday that it successfully prevented approximately $100 million in welfare payments from being issued to deceased individuals through enhanced fraud detection systems put in place earlier this year.
Treasury Secretary Scott Bessent revealed that since March 2025, the department has identified 4,900 payments totaling $99 million that were destined for dead people. These transactions were intercepted before funds were disbursed, thanks to newly implemented payment verification protocols that flag suspicious payments for review.
The improper payments were discovered during a comprehensive screening process that examined 885 million individual payments representing roughly $2.77 trillion in federal spending.
Enhanced Access to Death Records
According to Bessent, the success in catching these fraudulent payments stems from two key policy changes. The Treasury Department has expanded its access to the Social Security Administration’s death master file, which maintains records of deceased individuals. This expanded access allows for more efficient cross-referencing of payment recipients against mortality records.
Additionally, the department has adopted the Do Not Pay program, which establishes stricter verification requirements before any federal payment is released. The program mandates identity verification, eligibility confirmation, and validation of bank account information for all recipients.
“Treasury has delivered on a key promise of President Trump’s mandate to stop improper payments and fraud before money leaves the Treasury, and strengthen the integrity of the federal payment system,” Bessent said in a statement. He added that the safeguard addresses what has been a longstanding vulnerability in federal payment systems.
Presidential Action on Fraud Prevention
The fraud prevention initiative traces back to an executive order signed by President Donald Trump during his first months back in office. The order specifically empowered the Treasury Department to conduct enhanced fraud screening before distributing funds on behalf of federal agencies.
Trump’s executive order cited Government Accountability Office estimates indicating that the federal government loses between $233 billion and $521 billion annually to fraud and improper payments. The order aimed to promote financial integrity by giving Treasury the tools and authority to identify problematic payments before they leave government coffers.
“This order promotes financial integrity by enabling the Department of the Treasury to more easily conduct improper payment and fraud prevention screening prior to disbursing funds on behalf of agencies,” the executive order stated. It also emphasized increasing transparency and accountability by requiring agencies to provide Treasury with detailed transaction information.
Broader Anti-Fraud Efforts
The Treasury Department’s announcement represents one component of a broader administration emphasis on combating government fraud. The White House has established a task force dedicated to eliminating fraud, led by Vice President JD Vance.
The vice president’s task force has already launched investigations into suspected fraudulent activity, including an inquiry in Ohio following reporting about questionable entities receiving millions in payments for home health care services that may not have been properly delivered.
Bessent indicated that the department plans to continue modernizing the federal payment infrastructure and strengthening safeguards designed to protect taxpayer dollars from waste and fraud. “Treasury will continue efforts to modernize the federal payment system, strengthen safeguards against fraud and improper payments, and protect taxpayer dollars,” he said.
The announcement comes as the administration seeks to demonstrate concrete results in reducing government waste and ensuring federal spending reaches only legitimate, living recipients entitled to receive payments.
Source: www.dailywire.com — https://www.dailywire.com/news/the-shocking-payments-to-dead-people-trump-just-stopped