BURSTCommerce Secretary Howard Lutnick raised alarm over “fraudsters” receiving Social Security benefits, as Trump allies have ramped up rhetoric about potential waste in the program amid a major restructuring effort at the agency that oversees the program.
During an appearance on the "All-In" podcast that was released on Thursday, Lutnick said the government doesn’t “have to take one penny from someone who deserves Social Security, not one penny for someone who deserves Medicaid, Medicare.”
“What we have to do is stop sending money to someone who’s not hurt, who's on disability for 50 years,” he claimed. “It’s ridiculous, and they have another job.”
At one point in the wide-ranging, nearly two-hour conversation, Lutnick also said that if Social Security “didn’t send out their checks this month,” his “mother-in-law, who’s 94, she wouldn't call and complain.”
“She’d think something got messed up, and she’ll get it next month. A fraudster always makes the loudest noise, screaming, yelling and complaining,” the billionaire businessman said.
“Anybody who’s been in the payment system and the processes, who knows the easiest way to find the fraudster is to stop payments and listen, because whoever screams is the one stealing,” he said. “Because my mother-in-law’s not calling, come on, your mother, 80-year-olds, 90-year-olds, they trust the government.”
“So, the people who are getting that free money, stealing the money, inappropriately, getting the money, have an inside person who’s routing the money,” he said. “They are going to yell and scream.”
His comments come after tech billionaire Elon Musk, whom President Trump tapped to head up the Department of Government Efficiency, called Social Security “the biggest Ponzi scheme of all time” earlier this month and suggested there could be hundreds of billions of potential cuts targeting waste in entitlement programs.
The rhetoric has prompted pushback from experts and advocates who have accused Trump allies of spreading false claims about the amount of fraud actually found in the program.
Since Trump’s inauguration, thousands of federal employees have been axed as the administration looks to significantly reshape the federal government. The administration has signaled more firings are on the way, even after a recent court order that found some terminations were unlawful prompted officials to move to reinstate upward of 20,000 workers.
Last month, the Social Security Administration (SSA) notified employees that “significant workforce reductions” were on the way amid reports that thousands of workers could be let go. Dozens of SSA offices are also expected to shutter as the government-wide cost-cutting operation continues.
Additionally, the SSA said on Monday that individuals would be required to come in person to verify their identity instead of doing so via telephone if unable to use online-authentication. The agency said the measure is aimed at safeguarding “Social Security records and benefits against fraudulent activity.”