A federal judge has temporarily blocked a Trump administration team led by Elon Musk from accessing government payment processing systems in response to a challenge from 19 states’ attorneys general. The states argue that Musk’s team, not authorized to access the Treasury Department’s central payment system, could compromise the security of confidential information and block federal funds to states for various programs. The judge found that the states had shown potential harm and sufficient legal arguments for the temporary restraining order. The Trump administration must appear in court to argue against extending the order while the states pursue their lawsuit.
Elon Musk, appointed as a “special government employee” by Trump, has been involved in efforts to remake and downsize the federal government. New York Attorney General Letitia James accused Trump of trying to give away Americans’ private information, as the central payment system contains sensitive personal data and controls funding that millions of Americans rely on. In response to a separate lawsuit by labor unions, the Treasury Department agreed not to give Musk’s team access to its payment systems while the allegations of illegal search are considered.
White House officials are confident that they will defeat the legal challenges against the administration, asserting that all actions taken are legal and compliant with federal law. The case highlights the power struggles between the Trump administration, the states, and the judiciary over access to government systems and the protection of sensitive information.