Treasury blocks $99 million in payments to deceased recipients

The Treasury Department announced Tuesday that it stopped nearly $100 million in welfare payments from reaching dead people through new fraud prevention measures.

Since March 2025 the department identified 4,900 payments worth $99 million that were flagged and halted before disbursement. The screening covered 885 million payments totaling about $2.77 trillion.

Treasury Secretary Scott Bessent credited expanded access to the Social Security Administration’s Death Master File and the Do Not Pay program, which requires identity verification and eligibility checks. “Treasury has delivered on a key promise of President Trump’s mandate to stop improper payments and fraud before money leaves the Treasury,” Bessent said.

President Donald Trump signed an executive order in March 2025 directing the department to conduct such screenings. The administration also formed a task force under Vice President JD Vance to address fraud across federal programs.

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Federal authorities announcing arrests in Massachusetts benefits fraud cases
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Federal prosecutors announce 15 arrests in Massachusetts benefit-fraud cases

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Federal authorities in Boston said on June 18, 2026, that 15 people — including 11 individuals prosecutors described as unlawfully in the United States — were charged in cases alleging more than $1.4 million in fraud involving public benefits programs such as MassHealth and SNAP.

Vice President JD Vance announced Wednesday that the Trump administration is withholding $1.3 billion in Medicaid reimbursements from California and will send letters to all states demanding stronger action against fraud.

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The Financial Crimes Enforcement Network issued an advisory on June 5 to US banking institutions. The document aims to identify fraud schemes linked to workers without legal status. Secretary Scott Bessent stated that abuses will not be permitted.

President Trump has settled a lawsuit against his own administration, establishing a taxpayer-funded pool of nearly 1.8 billion dollars for people his appointees deem victims of government overreach. The agreement also shields his family and businesses from IRS audits and enforcement actions on past tax returns. Bipartisan lawmakers are moving to block the deal.

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The U.S. Postal Service is no longer on track to run out of money next year, Postmaster General David Steiner told Congress on Wednesday. The agency now projects a potential cash shortfall between 2031 and 2034 after pausing retirement fund payments.

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