Overview
- The Justice Department announced the roughly $1.776–$1.8 billion fund as part of a settlement with President Trump on May 18 to end his $10 billion IRS lawsuit.
- A federal judge on Friday ordered the government to stop transferring money and to halt processing claims while multiple lawsuits challenge the settlement.
- The settlement would finance payouts through the Treasury Judgment Fund and place decisions with a five‑member commission appointed by the attorney general with minimal public selection rules.
- Lawmakers from both parties and many Republican senators privately urged Trump’s aides to drop the plan, and the fund has already delayed Senate business and provoked sharp public criticism.
- Plaintiffs including January 6 officers have sued to block the fund and a hearing is set for June 12 to determine whether the injunction should be extended as litigation proceeds.