DOJ creates $1.776 billion fund

The Justice Department said on May 18 that it created a $1.776 billion “Anti-Weaponization Fund” as part of a settlement ending President Donald Trump’s $10 billion lawsuit against the Internal Revenue Service. The department said Trump, Donald Trump Jr., Eric Trump and the Trump Organization will receive a formal apology but no monetary payment, and will dismiss the case with prejudice. The fund is meant to hear claims from other people who say they were subjected to “weaponization and lawfare,” according to the department. Trump told reporters at the White House on Monday that he knew “very little about it” and said, “I wasn’t involved in the creation of it.” ### How is this tied to Trump’s IRS lawsuit? The Southern District of Florida case was filed by Trump, his sons and the Trump Organization after the leak of their tax returns, and the Justice Department said the settlement resolves that suit. The department said the plaintiffs also agreed to withdraw two administrative claims tied to the Mar-a-Lago search and the Russia investigation. (justice.gov) May 18 court filings ended the case the same day the department announced the fund, and Politico reported Miami-based U.S. District Judge Kathleen Williams closed the case Monday evening. Thomson Reuters reported the voluntary dismissal came two days before a court deadline on whether the court had jurisdiction to hear the suit. ### Where does the $1.776 billion come from? (justice.gov) The Justice Department said the fund will receive $1.776 billion from the federal Judgment Fund, a permanent appropriation used to pay certain judgments and settlements against the United States. In a May 18 order, the attorney general directed the government to provide Treasury, within 60 days of the settlement’s effective date, the paperwork needed to transfer the full amount into a designated account for the fund. (politico.com) The attorney general’s order said the money “does not represent the value of any claim by Plaintiffs,” but instead is based on the “projected valuation of future claimants’ claims.” The order also said that once the money is deposited, the United States has no liability for protecting the funds against bank failure, fraud or misuse. ### Who can file claims, and what can the fund award? (justice.gov) The Justice Department said there are “no partisan requirements” to file a claim and that submission is voluntary. The department said the fund can issue formal apologies and monetary relief to claimants, and that it must protect private information and guard against fraud. Politico reported the fund will be overseen by a five-person commission. (justice.gov) The department’s order said members will serve as volunteers, though they may receive travel expenses and per diem as allowed by law. ### Are Jan. 6 defendants or Trump allies excluded? Todd Blanche, the acting attorney general, did not identify categories of eligible claimants in the department’s announcement. (justice.gov) Politico reported that Blanche did not elaborate on who could qualify, while NBC News, citing ABC News’ earlier reporting, said the mechanism could allow pardoned Jan. 6 defendants to seek compensation for alleged government overreach. (politico.com) PBS reported the fund could compensate Trump supporters who say they were wrongly investigated or prosecuted by previous administrations. The Justice Department’s own statement did not name Jan. 6 defendants, but it described the fund broadly as a process to hear and redress claims from people who suffered “weaponization and lawfare.” (politico.com) ### What oversight and deadlines are built in? The Justice Department said the fund must send quarterly reports to the attorney general identifying who received relief and what form it took. The department also said the fund can be audited at the attorney general’s direction, and that any money left over when operations end will revert to the federal government. (pbs.org) December 1, 2028 is the deadline in the department’s press release for ending claim processing, while Politico reported processing would run through mid-December 2028. The next concrete step is Treasury’s transfer of the $1.776 billion within 60 days of the settlement’s effective date under the May 18 attorney general order. (justice.gov)