POLITICS
Uncovering Waste: The Power of Whistleblowers in Washington
Washington, USAThu May 15 2025
The future of DOGE might be unclear, but one thing is for sure: there are ways to tackle waste in Washington. There are already programs in place to fight fraud. These programs have been successful in recovering billions of dollars for the government. The IRS, SEC, and other agencies run these programs. They rely on whistleblowers to come forward with information.
These whistleblower programs have bipartisan support. They have a proven track record of recovering lost money. For example, Credit Suisse recently paid $511 million for tax evasion. This was possible because whistleblowers came forward with information. These programs reward whistleblowers with a portion of the money collected. The IRS Whistleblower Program, for instance, offers between 15 and 30 percent of the collected proceeds.
However, these programs face challenges. They struggle to process claims and pay out awards. Providing these programs with the resources they need could help. It would align with DOGE's mission and be a good investment. Skeptics might doubt the effectiveness of whistleblowers, but the numbers speak for themselves. The IRS Whistleblower Program has collected over $7. 4 billion based on informant tips. The SEC's whistleblower program has collected over $6 billion in sanctions.
Studies have shown that these programs are efficient. The IRS Whistleblower Program costs just four cents for every dollar collected. This is compared to 10 cents for every dollar collected by other enforcement programs. The program is also better at targeting bad actors. It leaves honest taxpayers alone. A study from Management Science found that similar programs at the state level increased deterrence of tax avoidance. They had a 3, 000 percent return on investment. Getting people to comply with the law voluntarily is the best solution.
The IRS Whistleblower Office recently released their first-ever multi-year operational plan. The plan highlights six strategic priorities. These include enhancing the claims submission process, using high-value whistleblower information effectively, and issuing awards fairly and quickly. However, these goals depend on having the necessary resources. If these offices lack resources, enforcement efforts will be hindered.
For real change to happen, the administration should embrace the idea of more resources. Not fewer. This mindset shift could improve government efficiency and address fraud. Year after year, these offices have collected billions of dollars. More programs are beginning to make waves. But the full potential of these programs has not been reached. Now is the time to prioritize the people whose sole focus is targeting fraud and waste. DOGE and the administration, with the help of Congress, can lead these efforts.
continue reading...
questions
Could we see a future where whistleblowers get awards for reporting on government inefficiencies like slow Wi-Fi?
How can the government ensure that whistleblower programs do not inadvertently discourage voluntary compliance?
How effective have whistleblower programs been in reducing fraud across all government agencies?
inspired by
actions
flag content