Trump Administration Ends $1.8B Fund for Allies Targeted by IRS Probes

The Trump administration will not create a $1.8 billion fund intended to compensate allies of the president, the Justice Department’s top official said Tuesday. Acting Attorney General Todd Blanche made the announcement during a House Appropriations subcommittee hearing on the department’s budget request. “We are not moving forward with the fund, period,” Blanche said.

Background on the Fund The proposed “Anti-Weaponization Fund” was created to settle a lawsuit filed by the president against the Internal Revenue Service over the leak of his tax returns. Under the settlement, the IRS agreed to drop pending tax probes involving the president.

The plan faced court setbacks and bipartisan criticism over lack of oversight and potential payments to participants in the Jan. 6, 2021, Capitol riot. Republican senators had refused to advance legislation funding immigration enforcement agencies until they received assurances the fund would be abandoned.

Blanche said the administration is still honoring the part of the settlement that ended the IRS audits. “Nothing has changed with that,” he said. A federal judge in Virginia had temporarily blocked the fund, and the Justice Department said Monday it would comply with that order.

Another judge in Florida had raised the possibility of reopening the IRS lawsuit because of allegations of improper dealing. " — Rep.