WASHINGTON, D.C. – The Department of Government Efficiency (DOGE), led by Elon Musk under President Donald Trump’s administration, has come under fire for allegedly inflating claims of government waste and fraud.
While Musk and DOGE have boasted about cutting billions in unnecessary spending, a new Politico investigation suggests that many of these claims are misleading, exaggerated, or simply false.
Musk has positioned DOGE as a revolutionary effort to streamline federal spending, with the promise of returning taxpayer dollars through the so-called “DOGE dividend.” However, sources from companies cited by DOGE argue that the savings figures being promoted don’t align with reality.
The Allegations: Misreported Cuts and Inflated Savings
According to the Politico report, DOGE’s numbers are riddled with errors and misunderstandings of federal contract data. Key issues identified include:
- Duplicate reporting of contracts, inflating perceived savings
- Misrepresentation of canceled contracts that were never awarded or paid
- Inaccurate figures that overstate financial waste by as much as $325 million
Examples of Misreporting:
- A $25 million contract under the Department of Agriculture was reported four times, leading to a falsely inflated savings claim of $100 million.
- In reality, only two finalized contracts were awarded, totaling less than $1 million.
- Some contracts DOGE claimed to have cut were never awarded or had not disbursed any funds at all.
“Everyone in the consulting industry has been well aware of the questionable contracts and outright errors in DOGE’s data,” an anonymous source told Politico. “But speaking up could draw unwanted attention.”
Why Are These Errors Happening?
Industry experts argue that the inconsistencies reflect a fundamental misunderstanding of federal contract data. Contracts awarded by federal agencies often involve:
- Multiple bids from eligible vendors, which DOGE may have counted as separate instances of waste
- Unspent funds that were never allocated or disbursed, yet were still counted as saved funds
- Complex contract structures that don’t always equate to direct government spending
A manager from one of the companies misrepresented in DOGE’s data told Politico that their organization applied for a contract but never received any funds—contradicting DOGE’s claims that the spending had been cut.
The Fallout: Eroding Trust in DOGE’s Mission
These reporting errors threaten the credibility of DOGE’s broader mission to:
- Cut federal spending
- Eliminate fraud, waste, and abuse in government contracts
- Return savings to taxpayers through the proposed $5,000 DOGE dividend
Critics argue that these misreported figures raise questions about the true impact of DOGE’s work and whether the administration is exaggerating its successes for political gain.
“The numbers are just wrong,” said a manager at a company cited by DOGE, who spoke anonymously out of fear of retaliation.
The Political Response: Growing Scrutiny and Calls for Transparency
While DOGE continues to receive support from parts of the Trump administration and conservative lawmakers, the mounting evidence of misreporting has led to:
- Increased scrutiny from watchdog groups and independent auditors
- Calls for congressional oversight to ensure accurate reporting of federal savings
- Concerns that Musk’s aggressive approach may undermine legitimate government programs
Representative Jasmine Crockett (D-TX) criticized DOGE’s inflated savings claims, saying, “This is not fiscal responsibility—it’s misinformation being sold to the public.”
