Overview
- The fund is legally frozen by a federal judge and the Department of Justice has said it will follow the court order while arguing it disagrees, leaving transfers and payouts on hold as of Thursday, June 4.
- Acting Attorney General Todd Blanche told lawmakers the DOJ is “not moving forward” on the fund but declined to rescind the underlying settlement in writing, and the audit shield for President Trump and related entities remains in effect.
- President Trump publicly praised the fund and gave mixed signals about its future, a split that has deepened distrust among senators who want a statutory ban or other guarantees.
- Senators voted in a vote‑a‑rama effort to bar the fund and the measure failed about 49–50 after three Republicans joined Democrats, and Republican proposals to permanently nullify or divert the money were also blocked.
- The fund’s design — financed through the long‑standing DOJ Judgment Fund and created by a settlement with the IRS — has prompted lawsuits, ethics and appropriations concerns, and lawmakers warn the fight could sink the $70 billion immigration enforcement bill or lead to further court rulings before the midterms.