Treasury Halts $175M in Fraudulent Payments, Safeguards $3.7T
U.S. Treasury prevents fraud by screening over $3.7 trillion in federal payments, identifying 13,500 fraudulent transactions.
1 min read
The U.S. Treasury Department has successfully implemented fraud prevention programs in 2026, protecting billions of taxpayer dollars from fraudulent claims. According to a press release, the department screened over 1.1 billion federal payments totaling $3.7 trillion, identifying 13,500 fraudulent payments worth $175 million that would have been sent to deceased individuals.
Treasury Secretary Scott Bessent highlighted the department’s ongoing efforts to enhance fraud prevention, stating, “Treasury continues to transform how the federal government protects taxpayer dollars by using better data, stronger controls, and advanced technology to stop fraud and improper payments before money goes out the door.” Bessent also emphasized the shift from a reactive approach to a proactive one, noting, “We are moving beyond ‘pay and chase’ and making prevention the federal government’s first line of defense.”
The fraud prevention crackdown comes amid recent reports of suspected fraud across various federal programs. The U.S. General Services Administration (GSA) announced billions in suspected fraud in August, and the Department of Justice uncovered millions in fraud related to SNAP benefits in the southern states, as first reported by the Daily Caller.
To strengthen fraud prevention, the Treasury added nine new data sources to its “Do Not Pay” program and initiated a new government-wide payment verification process. This program assesses various fraud risks, including death risk, debt risk, and incarceration risk, using a Data Correction system to maintain accurate records.
Through the “Do Not Pay” program, the government analyzed and screened 2.3 billion records using the Public Assistance Reporting Information System (PARIS). These measures were implemented in coordination with President Donald Trump’s March 2025 Executive Order 14249, which aims to protect America’s bank accounts against fraud, waste, and abuse.
Source: Daily Caller
