In an eye-opening series of audits and investigations, the Department of Government Efficiency (DOGE) has unearthed nearly $400 million in fraudulent unemployment claims since 2020, exposing a troubling pattern of mismanagement and abuse of public funds. With California, New York, and Massachusetts—states with long-standing one-party control—at the center of the findings, DOGE’s work has highlighted deeper concerns about oversight and accountability in government benefit programs.

According to agency officials, California alone was responsible for a staggering portion of the unlawful payments, accounting for 68% of the benefits granted to parolees flagged on federal watchlists or with prior criminal records. The agency identified a combined total of $305 million in misdirected unemployment funds coming from the three states.

“This is another incredible discovery by the DOGE team,” said Labor Department Secretary Lori Chavez-DeRemer. “We are committed to recovering taxpayers’ stolen dollars and putting an end to widespread abuse. These findings show just how vital our efforts are.”

DOGE was launched by executive order on Inauguration Day with a bold mission: slash $2 trillion from the federal budget by rooting out inefficiencies, duplication, and outright fraud. At the helm of this initiative was entrepreneur and tech innovator Elon Musk, who served in a special advisory capacity limited to 130 days per year.

As Musk’s term comes to a close, he has shared some of the most outrageous findings uncovered during his short tenure. Speaking in an interview with Fox News, Musk and other DOGE officials detailed a series of jaw-dropping discoveries.

1. Funding a Former Taliban Official

One of the more stunning revelations came earlier this year when DOGE discovered that the United States Institute of Peace (USIP) had issued a $132,000 contract to Mohammad Qasem Halimi, a former Taliban official. Halimi previously served as Afghanistan’s Minister of Hajj and Religious Affairs and was once detained at Bagram Air Base by U.S. forces.

After this discovery, DOGE moved quickly to terminate the contract, underscoring the urgent need for tighter vetting and controls in overseas funding programs.

2. Lavish School Spending Using COVID Relief Funds

In a series of high-profile audits, DOGE identified misuse of COVID-19 relief funds by public school districts. Billions meant to support students during the pandemic were spent with minimal oversight. Highlights include:

• Granite School District in Utah spending $86,000 on hotel stays at Caesars Palace in Las Vegas.

• Santa Ana Unified School District in California renting a Major League Baseball stadium for $393,000.

• Another district purchasing a full-sized ice cream truck with federal relief dollars.

• One school system even spending $60,000 on swimming pool passes.

Though some districts defended these purchases as educational or wellness-related, watchdog groups and auditors questioned their relevance and impact on student outcomes.

3. A $20 Million ‘Sesame Street’… in Iraq

Senator Joni Ernst, a vocal advocate for spending reform, revealed that the U.S. Agency for International Development (USAID) awarded $20 million to Sesame Workshop to develop a local version of “Sesame Street” called Ahlan Simsim Iraq. The program was created to promote inclusion and mutual respect in a region long affected by conflict, but critics questioned the appropriateness of such an expense during a time of domestic budget strain.

4. Billions in ‘Improper Payments’

A Government Accountability Office (GAO) report, which supported DOGE’s mission, found that $162 billion in improper federal payments were made in just one year. These payments were concentrated primarily in programs operated by the Department of Health and Human Services, the Treasury, the Department of Agriculture, and the Small Business Administration.

Although the total was lower than the previous year, the sheer volume and repeated issues across agencies highlighted the need for systemic change.

5. Questionable DEI Spending

In its final phase of audits, DOGE uncovered hundreds of millions of dollars in contracts and grants related to Diversity, Equity, and Inclusion (DEI) programs. While many of these initiatives were well-intentioned, investigators found significant overlap, lack of outcome tracking, and in some cases, funds spent without clear deliverables.

DOGE’s reports on these programs emphasized the need to reassess federal contracting priorities, particularly as the national debt continues to grow.

---

With Musk preparing to step down from his government role, questions remain about the future of DOGE and whether its mission will continue with the same intensity. But one thing is clear: in just a few short months, the agency has cast a light on billions in hidden waste—uncovering a side of government spending most Americans never see.

Whether it’s extravagant school trips, payments to questionable foreign figures, or overlooked unemployment fraud, the story of DOGE is one of unearthing what was long buried under layers of bureaucracy.

The real question now: how deep does the waste go?