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Justice Department Sets Up $1.776 Billion Anti‑Weaponization Fund and Bars IRS Probes of Trump

The settlement uses the Treasury’s Judgment Fund and a Justice Department‑appointed commission to distribute payments, raising sharp separation‑of‑powers and oversight questions.

Overview

  • The Justice Department announced the creation of a $1.776 billion Anti‑Weaponization Fund as part of a settlement tied to President Trump’s withdrawal of his IRS lawsuit, and an addendum signed by Acting Attorney General Todd Blanche bars the IRS from pursuing past tax investigations of Trump, his family, and related businesses.
  • The fund will be paid from the federal Judgment Fund and run by a five‑member commission chosen by the attorney general with one appointment made in consultation with congressional leaders, and it will stop taking claims on December 1, 2028.
  • Acting AG Blanche and White House officials told lawmakers that anyone may apply and that there is no categorical exclusion for Jan. 6 defendants, leaving open the possibility that people convicted in the Capitol attack could seek payouts.
  • Two Jan. 6‑era police officers filed a federal suit to block the fund as an illegal ‘slush fund’ and Democrats and some Republicans have launched subpoenas and amendment efforts to constrain it, but legal experts say challengers face high hurdles on standing and appropriations grounds.
  • Because the Judgment Fund normally pays court‑ordered claims without a new appropriation, the arrangement raises unusual questions about Congress’s power of the purse, judicial oversight, and the immediate safety and financial stakes for officers, claimants, and victims who say the fund could reward those who engaged in violence.