Elon Musk claimed early Monday that the Federal Emergency Management Agency (FEMA) sent $59 million last week to luxury hotels in New York City to house undocumented migrants, a move he says violates federal law and misuses emergency funds meant for American disaster relief.

In a post on his social media platform, X, Musk asserted that the allocation was “just discovered” by his Department of Government Efficiency (DOGE), the agency he oversees to curb government overspending.

“Sending this money violated the law and is in gross insubordination to the President’s executive order,” Musk wrote. “That money is meant for American disaster relief and instead is being spent on high-end hotels for illegals.”

He added that a “clawback demand” would be issued immediately to recover the funds.

Musk’s claim comes amid growing scrutiny of FEMA under President Donald Trump, who last month signed an executive order establishing a council to review the agency’s operations. The order cited “serious concerns of political bias” in FEMA’s decision-making and directed the council to hold its first meeting within 90 days, with a full report due within 180 days.

The president has been vocal in his criticism of FEMA, particularly following the response to Hurricane Helene, which left survivors struggling for aid four months after the storm. During a visit with displaced residents, Trump blasted the agency’s performance, declaring it “not on the ball… and we’re going to turn it all around.”

Speaking at a roundtable with federal and local officials, Trump suggested that FEMA could be significantly restructured—or even dismantled entirely.

“I will be signing an executive order to begin the process of fundamentally reforming and overhauling FEMA—or maybe getting rid of FEMA,” Trump said. “I think, frankly, that FEMA’s not good.”

The president has argued that disaster relief efforts would be more effective if federal funds were sent directly to states instead of being managed by FEMA, citing recent high-profile disasters where he believes the agency fell short.

(YWN World Headquarters – NYC)