Judge blocks Elon Musk's team from accessing federal payment systems

A federal judge on Saturday temporarily blocked a Trump administration team led by tech billionaire Elon Musk from accessing government payment processing systems in response to a challenge from the attorneys general in 19 states.

The states, led by New York Attorney General Letitia James, argue Musk and other members of the Department of Government Efficiency are not authorized to access the Treasury Department's central payment system and could jeopardize the security of confidential information. They also argue Musk's team could block federal funds to states for health clinics, preschools, climate initiatives, and other programs.

U.S. District Judge Paul Engelmayer, who was appointed to the bench by President Barack Obama, said the states had made a sufficient case at this stage of both potential harm and that their legal arguments have merit.

Engelmayer ordered the Trump administration to appear in Manhattan federal court on Friday to argue why the temporary restraining order should not be extended as the states pursue their suit.

The judge's order was the latest in a string of recent court pauses on the flurry of Trump's efforts to remake and downsize the federal government.