Acting attorney general says Trump’s $1.8bn ‘anti-weaponization’ fund is scrapped

Key Points:

• The federal government has decided not to proceed with a $1.8 billion secretive fund intended to compensate Donald Trump’s allies, but will maintain an agreement preventing the IRS from auditing Trump, his family, and related entities.
• Acting Attorney General Todd Blanche stated the fund was abandoned despite the underlying concerns about government weaponization remaining relevant, but did not explain why the anti-audit provision will continue.
• The agreements were part of a settlement to resolve Trump’s $10 billion lawsuit against the IRS over leaked tax returns, but faced bipartisan opposition due to the fund’s lack of restrictions and transparency.
• Former IRS officials criticized the audit immunity clause as unprecedented and potentially unconstitutional under the emoluments clause, which prohibits the president from receiving personal financial benefits from office.
• Legal challenges have stalled the fund’s implementation, with federal judges blocking action on the fund and reopening the case to investigate possible wrongdoing related to the settlement.