For creators, activists, and anyone relying on the integrity of public records, the implications are stark: a federal agency appears to be bypassing legal restrictions to purchase the tax identifiers of undocumented workers. Immigration and Customs Enforcement (ICE) is reportedly buying Individual Taxpayer Identification Numbers (ITINs) from a private data broker, potentially circumventing a court order that previously banned the agency from sourcing such information. This revelation comes from procurement records reviewed by 404 Media and a statement from Senator Ron Wyden.
Evading the Court Order
The contract, valued at nearly $10 million, is linked to ITINs. These are the specific identifiers used by many undocumented individuals to file taxes instead of a Social Security number (SSN). Senator Wyden described the move as an obvious attempt to bypass the law to fuel a mass-deportation campaign.
“It looks for all the world like Trump is trying to skirt the law and a court order to fuel his mass-deportation campaign,” Senator Wyden told 404 Media in an emailed statement. “A contract to buy that same information from private data brokers is a clear end-around both taxpayer privacy laws and a court order.”
Wyden noted that a court had already invalidated an earlier agreement between the IRS and Homeland Security to share ITINs and other personal data. Purchasing this same data from a third party represents a direct workaround of both privacy statutes and judicial rulings.
The Contract Details
Agreed upon on June 5, the deal was signed with Thundercut Technology LLC. The scope is described as “ITIN data subscription and analytics for HSI agents in fraud investigations.” While it remains unclear whether the subscription includes names and addresses alongside the numbers, the ITIN itself is a critical identifier issued by the IRS to undocumented people and others ineligible for a SSN.
Undocumented individuals pay tens of billions of dollars in taxes annually. The justification for ICE’s aggressive data acquisition has often been “fraud,” a common rationale during the Trump administration’s deportation push. A significant portion of the Department of Homeland Security’s (DHS) operations in Minnesota last year involved investigating fraud claims among Somali immigrants.
Data obtained by the Cato Institute reveals that nearly 90 percent of Homeland Security Investigations (HSI), encompassing over 6,000 officials, have been reassigned from their standard duties—such as investigating money laundering or child abuse—to immigration enforcement. The specific contract totals $9,968,353.56.
Thundercut is an established vendor that frequently resells technology and surveillance tools to the U.S. government. The company did not respond to requests for comment, and it is currently unknown which specific product or dataset Thundercut is reselling in this instance.
A Pattern of Data Purchases
Over the last year, ICE has sought access to IRS data held on undocumented people. The two agencies initially agreed in April to share taxpayer identification numbers and last known addresses for more than 1.2 million people. However, a judge temporarily blocked this sharing in November, ruling the practice unlawful. A second judge blocked it again in February, warning that the arrangement could significantly increase the risk of misidentifying taxpayers.
A report from the Taxpayer Inspector General for Tax Administration later found that the IRS failed to consistently and accurately match taxpayer information with ICE’s own records. The IRS subsequently admitted to inappropriately sharing information with ICE.
This incident highlights a broader pattern: ICE and other DHS components frequently purchase access to data rather than collecting it themselves or obtaining it via search warrants. Both ICE and Customs and Border Protection (CBP) have bought smartphone location data. ICE previously purchased access to a tool called Webloc, which allows monitoring of phones across entire neighbourhoods. The agency also bought access to phone, water, and electricity utility data before that market became restricted.
Senator Wyden noted that the Consumer Financial Protection Bureau was on the verge of closing this “data broker loophole” before the Trump administration dismantled the agency and blocked the new rule from taking effect. He argued that the next administration should permanently close this loophole.
DHS acknowledged a request for comment but ultimately did not provide a statement.
Key takeaways
- ICE has signed a nearly $10 million contract to purchase ITIN data from Thundercut Technology, potentially bypassing a court order that banned the agency from sourcing this information.
- While the contract is framed as a tool for fraud investigations, it enables the agency to access identifiers used by millions of undocumented workers who contribute billions in taxes.
- This purchase exemplifies the “data broker loophole,” a practice where agencies buy surveillance data from private vendors to avoid the stricter legal requirements of obtaining warrants or court orders.
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