Pentagon Misses Clean Audit for 8th Straight Year

The Pentagon has failed its annual financial audit for the eighth straight year, a result that again underscores long-running problems with accounting systems, inventory tracking and basic financial controls across the federal government’s largest agency.

The Department of Defense said the fiscal 2025 audit ended in a “disclaimer of opinion,” meaning independent auditors could not obtain enough evidence to determine whether the department’s agency-wide financial statements were reliable. 

The audit effort, overseen by the Defense Department inspector general and supported by audits of nearly 30 defense components, assessed about $4.6 trillion in assets.

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