The Department of Justice (DOJ) has agreed to a court order that temporarily restricts the Treasury Department from sharing sensitive taxpayer data with Elon Musk’s Department of Government Efficiency (DOGE). The agreement, filed late Wednesday, allows two individuals affiliated with Musk—employed by the Treasury—as “special government employees” with “read-only” access to certain data. This temporary arrangement will remain in effect until February 24, pending a court decision on a longer-term injunction.
The Legal Battle and Privacy Concerns
The legal dispute arises from allegations by three federal unions—The American Federation of Government Employees, the Service Employees International Union, and the Alliance for Retired Americans. These groups claim that DOGE employees unlawfully accessed sensitive taxpayer information without appropriate legal procedures. The unions argue that this access, which includes personal data such as names, Social Security numbers, bank account details, and addresses, violates federal privacy laws. They warn that DOGE’s ongoing access to this data poses significant risks to the privacy and security of millions of Americans.
The lawsuit contends that individuals should not be forced to share their private data with Elon Musk’s organization. The unions further argue that the lack of legal justification or public transparency surrounding the data access is concerning.
To address these concerns, Judge Colleen Kollar-Kotelly issued a deadline for the DOJ and the unions to agree on temporary restrictions. Otherwise, she warned she would consider issuing a temporary restraining order.
Musk’s Involvement and Limited Access for Two Individuals
Under the temporary agreement, two Musk-affiliated individuals—Tom Krause, former CEO of Cloud Software Group, and Marko Elez, an engineer who previously worked for Musk’s companies X and SpaceX—are permitted to access Treasury data. However, their access is limited to a “read-only” function, meaning they cannot alter or share the data.
During a court hearing, DOJ lawyers emphasized that Musk himself does not have direct access to the sensitive information. DOJ attorney Bradley Humphreys explained that while Musk’s role is to set broad policy goals, it is the DOGE team that implements these directives.
“Our understanding is that the information from the Treasury systems is not transmitted to him outside of the department,” Humphreys clarified. He added that Musk does not have personal access to the data.
However, Judge Kollar-Kotelly expressed concern over the vague explanations regarding how the data would be used to reduce government inefficiency. The DOJ lawyers struggled to provide clarity on how the taxpayer data would translate into practical actions.
Judge Raises Concerns Over DOGE’s Lack of Transparency
Judge Kollar-Kotelly pressed the DOJ for more details on the operations of DOGE and the potential implications of its access to Treasury data. She questioned whether one group in the executive office develops strategies while another group within Treasury implements them. The DOJ lawyer could not offer a definitive answer.
“I just don’t have the information necessarily,” Humphreys said in response. The judge emphasized the need for more transparency and accountability, noting that the case raised fundamental questions about the use of taxpayer data in government operations.
Union Lawsuit Seeks Immediate Action
In response to the situation, the unions have filed a lawsuit seeking a temporary restraining order to prevent further data sharing between the Treasury and DOGE. They also seek to prevent DOGE employees from using any records they have already accessed. The lawsuit argues that Musk and DOGE, with the approval of Treasury Secretary Scott Bessent, accessed taxpayer data without following proper legal procedures or providing public justification.
The unions claim that this unauthorized access risks the privacy of millions of taxpayers and violates federal laws governing data sharing. They assert that federal law ensures citizens should not be forced to share sensitive information with private entities like DOGE.
