Treasury Secretary Scott Bessent Says the New Fraud Detection System Is Off to a Great Start

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Treasury Secretary Scott Bessent announced that a new fraud detection system introduced under President Trump has blocked nearly $100 million in federal payments to deceased individuals, and he's projecting that the system could stop nearly $350 million in improper payments by the end of 2026.

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"The Biden administration, HHS, got rid of about 50 so 60 of the people who were charged with monitoring fraud," Bessent said. "And, Maria, what's important here that we are stopping the money from going out. Once the money gets out, trying to retrieve it is very, very difficult. So stopping it at the source here is our goal. And there's hundreds of billions of dollars here, and this is the start. We are off to a great start."

Here's more:

The Treasury Department has blocked nearly $100 million in taxpayer money from going to dead people since implementing a government-wide payment verification process last year, The Post has learned. 

The department’s Bureau of the Fiscal Service discovered the money set to go to ghosts after a review of an eye-popping 885 million payments worth a total of nearly $2.7 trillion.

Since March 2025, the screening has identified more than 4,900 disbursements, worth approximately $99 million, associated with deceased payees, according to the Treasury.

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Bessent posted about this system on X, saying it addresses a "longstanding vulnerability."

"Treasury has delivered on a key promise of @POTUS' mandate to stop improper payments and fraud before money leaves the Treasury and strengthen the integrity of the federal payment system," Bessent wrote. "Together with the @VP’s Task Force to Eliminate Fraud, this new safeguard addresses a longstanding vulnerability and helps ensure every dollar the federal government spends reaches its intended recipient. Treasury will continue efforts to modernize the federal payment system, strengthen safeguards against fraud and improper payments, and protect taxpayer dollars."

The Treasury Department reiterated that this new detection system will modernize how the federal government disburses payments.

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"Under @POTUS’ leadership, Treasury is screening all federal agency payments against the Social Security Administration's Full Death Master File in real-time. This control is a significant step to protect taxpayer dollars, reduce improper payments, and modernize how the federal government controls its disbursements and financial operations," the agency posted on X.

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