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Trump Administration's Social Security Fraud Crackdown Finds Almost No Fraud, Sparks Backlash

Internal documents reveal that anti-fraud measures flagged only two suspicious calls out of 110,000, causing significant processing delays and igniting criticism of the policy's impact on beneficiaries.

Overview

  • An internal Trump administration document shows the anti-fraud tool detected only two potentially fraudulent calls out of over 110,000, a fraud rate of just 0.0018%.
  • The anti-fraud checks, implemented by Elon Musk's Department of Government Efficiency, slowed retirement claim processing by 25%, delaying payments to beneficiaries.
  • The policy applies only to phone-based claims and involves a three-day hold for fraud screening, despite an extremely low risk of fraud.
  • Lawmakers, including Sen. Elizabeth Warren, have criticized the measures as a pretext for undermining Social Security, calling the revelations a 'huge scandal.'
  • The crackdown follows exaggerated claims by Trump and Musk that 40% of Social Security calls were fraudulent, a figure now debunked by internal data.