Home Politics Politico faces scandal over $8.2M in government subsidies

Politico faces scandal over $8.2M in government subsidies

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White House press secretary Karoline Leavitt speaks during a briefing at the White House, Wednesday, Feb. 5, 2025, in Washington. (AP Photo/Evan Vucci)
White House press secretary Karoline Leavitt speaks during a briefing at the White House, Wednesday, Feb. 5, 2025, in Washington. (AP Photo/Evan Vucci)

A bombshell report reveals that the U.S. government paid a massive $8.2 million to the left-leaning news outlet Politico. The funds were labeled as “government subsidies” and were uncovered during an investigation into wasteful spending led by Elon Musk’s Department of Government Efficiency (DOGE).

DOGE cracks down on government spending

The DOGE is on a mission to clean up federal spending. After scrutinizing public records, it was discovered that several government agencies, including USAID, funneled money into Politico. White House Press Secretary Karoline Leavitt confirmed that the payments, which totaled millions, were essentially used to subsidize subscriptions to Politico at taxpayer expense.

These payments are being canceled as we speak,” Leavitt said. “We are going through the federal government’s books line by line to identify wasteful spending.”

USAID’s role in the Politico payments

USAID paid Politico $44,000 last year alone. However, the total payments from various federal agencies were much higher. In particular, the Department of Health and Human Services handed over $1.37 million. The Department of the Interior and the Department of Energy were also major contributors to the payments.

Elon Musk, who has been vocal about government waste, expressed outrage over the findings, calling the payments “a huge waste of taxpayer money!

Politico defends its services

In an internal email, Politico explained that the payments were for its business-to-business service, Politico Pro. This service provides “non-partisan, real-time intelligence” tailored to specific policy interests. According to Politico, federal government subscribers often renew their contracts and provide feedback, which Politico welcomes.

Despite the explanation, the payments raised eyebrows. With subscriptions costing up to $10,000 per year, the government likely paid for over 800 accounts across various agencies.

DOGE pulls the plug on payments

Leavitt confirmed that DOGE is working to cancel all ongoing payments to Politico. This crackdown could signal even more problems for the news outlet, which faced financial issues of its own. Staff members recently discovered they hadn’t been paid, with Politico citing a “technical issue” as the cause. However, rumors have already started circulating that the investigation into government waste may be to blame.

USAID shuts down under Musk’s oversight

The DOGE investigation into Politico is just the beginning. Elon Musk and former President Donald Trump have jointly decided to shut down USAID, calling the organization “beyond repair.” The decision has stunned staff, who were informed via email to stay out of the agency’s D.C. headquarters.

Musk’s crackdown on federal spending is part of a broader effort to overhaul government efficiency. His review of U.S. agencies has gained traction, with many federal workers fearing further cuts. Musk’s next target? The Internal Revenue Service (IRS).

Musk teases next target: The IRS

Elon Musk teased that his next move could involve auditing the IRS. In an informal poll on X, Musk asked his followers whether they would like to see the IRS undergo a DOGE audit. A staggering 94.3% of respondents supported the idea.

This announcement follows a pledge from Donald Trump to eliminate nearly 90,000 IRS employees hired under the 2022 Inflation Reduction Act. The promise received roaring applause during a recent rally in Las Vegas.

Politico now finds itself at the center of a growing scandal. The massive payments from government agencies, the suspension of subscriptions, and the potential loss of funding could deal a serious blow to the outlet’s financial stability. The spotlight is on them as Musk’s DOGE continues to target government waste, with more revelations expected.

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