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Treasury Department’s Expanded Screening Prevents $175 Million in Payments to Deceased Recipients

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The Treasury Department has significantly increased its efforts to prevent federal payments from being sent to deceased individuals. In fiscal year 2026, the department blocked $175 million in payments associated with deceased recipients, a substantial rise from the $99 million identified earlier, as part of an expanded screening initiative by the Trump administration.

Republican Senator John Kennedy from Louisiana praised Secretary Scott Bessent for taking strong measures against fraudsters who attempt to exploit taxpayer funds. Kennedy emphasized that avoiding sending money to deceased people is common sense, pointing out his successful push for legislation that enhances Treasury access to Social Security death records.

The three-year data sharing program began in December 2023, following the passage of a 2020 law that temporarily allowed the Social Security Administration to share its Death Master File with the Treasury. Later, President Trump signed Kennedy’s Ending Improper Payments to Deceased People Act into law, making this access permanent.

Secretary Scott Bessent announced new sanctions on Wednesday against Maduro-linked actors, while Trump launched a site providing whistleblower incentives as part of his broader effort to curb government fraud and waste. Trump’s administration aims to set new standards swiftly, focusing on fraud prevention before taxpayer dollars are distributed. A White House spokesperson emphasized Trump’s dedication to tackling waste, fraud, and abuse with better data and stronger controls.

In fiscal year 2026, over 1.1 billion federal payments amounting to approximately $3.7 trillion were screened, catching around 13,500 improper payments worth $175 million. The Treasury continues to enhance its approach to safeguarding taxpayer money through advanced technology and increased access to necessary data.

Significant advancements have been made: the Treasury’s “Do Not Pay” program screened over 1.1 billion payments, up from previous years. The program’s reach expanded from 4% of federal programs to 99% by the end of FY2025, fulfilling the requirements of a March 2025 executive order by Trump to reinforce security against financial fraud.

Furthermore, Treasury screened more than 2.3 billion records against “Do Not Pay” data sources in FY2026, a drastic increase compared to the previous fiscal year. New payment verification efforts and screenings for states contributed to this expansion across the federal government.

Treasury tested new measures to verify rightful bank account ownership and check Taxpayer Identification Numbers tied to federal payments. These checks became fully operational on Sept. 30, allowing Treasury to reject payments failing verification before disbursement.

These recent efforts build upon Treasury’s earlier announcement in July, which revealed more than 885 million screened payments worth $2.77 trillion and flagged over 4,900 payments linked to deceased recipients, totaling about $99 million.

Reporter Ashley J. DiMella covers political topics for Fox News Digital.

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