Trump creates $1.8B fund
- President Donald Trump’s Justice Department created a $1.776 billion Anti-Weaponization Fund on May 18 as part of settling Trump’s IRS tax-return leak lawsuit. - Acting Attorney General Todd Blanche said “anybody” could apply, and ABC News reported Jan. 6 defendants and Trump allies were already preparing claims. - A lawsuit filed Friday seeks to halt payouts, while Senate Republicans and House critics press for more scrutiny.
President Donald Trump’s administration has created a $1.776 billion “Anti-Weaponization Fund” through the Justice Department, tying the new payout system to the settlement of Trump’s lawsuit against the Internal Revenue Service over the leak of his tax returns. The department announced the fund on May 18, saying it would provide a process for people who claim they were harmed by “weaponization and lawfare” during the Biden administration to seek compensation or formal apologies. Within days, Jan. 6 defendants, Trump allies and other conservative figures began signaling plans to apply. The move has now drawn objections from some Republicans in Congress and a court challenge from a coalition of Trump critics. ### How was the fund created? The Justice Department said on May 18 that the fund was established as part of a settlement in President Donald J. Trump v. Internal Revenue Service. According to the department, Trump, Donald Trump Jr., Eric Trump and the Trump Organization agreed to drop claims tied to the unauthorized disclosure of their tax returns, and the attorney general would create a mechanism to hear claims from other alleged victims of “weaponization and lawfare.” The fund totals $1.776 billion, a figure that has been widely rounded to about $1.8 billion in news coverage. The settlement did not provide direct damages to Trump and his co-plaintiffs, but instead created the compensation process for others, according to Time and the Justice Department announcement. ### Who is trying to get paid? ABC News reported on May 22 that Jan. 6 defendants and Trump allies were already lining up to seek payouts from the new fund. (justice.gov) The report said attorneys and prospective claimants were preparing applications less than a week after the program was announced. Acting Attorney General Todd Blanche told senators this week that he would not rule out Jan. 6 defendants receiving compensation. (justice.gov) CNBC reported Blanche said “anybody” could apply to the fund, a remark that intensified scrutiny because some potential applicants were convicted of assaulting police officers during the Jan. 6, 2021 attack on the U.S. Capitol. (abcnews.com) CBS News and NBC News also reported that lawyers and Trump-aligned figures were moving quickly to position clients for payouts, with some discussions about claims dating back months before the fund was formally announced. ### Why are some Republicans objecting? Senate Republicans joined Democrats in criticizing the fund this week, and The Hill reported the backlash was strong enough to delay votes on a reconciliation package on May 22. (cnbc.com) Trump defended the program and an IRS-related settlement as criticism spread inside his own party. The objections have centered on the possibility that people involved in the Jan. 6 attack could receive taxpayer-backed payments. (cbsnews.com) The New York Times, cited in the source briefing, reported that some Republican lawmakers who were at the Capitol on Jan. 6 were especially resistant to compensating people involved in the assault. ### What does the lawsuit against the fund say? (thehill.com) A coalition of Trump critics sued on May 22 to block the payouts before money is distributed. The Associated Press reported the plaintiffs include a fired prosecutor and a college professor acquitted of assaulting federal agents at a protest, and that the suit seeks a court order halting implementation of the fund. (thehill.com) NBC News reported one of the plaintiffs is a fired Jan. 6 prosecutor. The lawsuit argues the administration lacks legal authority to disburse the money through this mechanism, according to those reports. ### What are the legal hurdles to stopping it? The legal path is uncertain even as criticism grows. (usnews.com) The source briefing cited legal analysis saying challenges could run into questions about tax immunity and congressional approval, making it harder to stop the fund in court than to attack it politically. CNBC reported that members of Congress have also introduced legislation aimed at blocking the fund, adding a second track of resistance alongside the lawsuit. (nbcnews.com) Friday’s court filing is the next immediate test. Senate Republicans, House critics and the plaintiffs in that case are now pressing for details on how claims will be reviewed, who qualifies and when any payouts could begin. (cnbc.com)