Acting Attorney General Todd Blanche officially terminated President Donald Trump’s $1.8 billion anti-weaponization fund. This fund was intended to compensate political allies of Trump but has faced significant controversy. The termination order came late Sunday, after negotiations with two Republican senators who were blocking Blanche’s nomination for attorney general.
A spokeswoman for Texas Senator John Cornyn, one of the senators blocking the nomination, confirmed the deal. The decision comes ahead of the Senate Judiciary Committee’s Tuesday vote on Blanche’s nomination. North Carolina Senator Thom Tillis, the other senator involved, did not provide immediate comments.
In a June hearing, Blanche assured that the fund would not proceed due to bipartisan concerns. There was outrage at the possibility of payouts to violent rioters who attacked police at the U.S. Capitol on January 6, 2021. Cornyn and Tillis insisted on a written confirmation of this promise before endorsing Blanche’s nomination, especially since Trump continued expressing support for the idea.
Blanche stated that after good faith discussions, the decision to cancel the fund was made. He emphasized that his team addressed all concerns and questions from committee members and senators.
“My team and I have addressed any concerns or outstanding questions,” Blanche said.
The Justice Department, in a statement accompanying the order, declared that all previous steps concerning the fund had ceased. This includes the lack of appointed members, fund transfers, claim processes, or payments. The department emphasized that this order firmly ends any movement toward establishing the fund.
The order also narrows a provision from a prior settlement that had offered Trump and his family broad immunity from tax audits. It now clarifies that this immunity applies only retroactively to open claims at the time of the settlement and does not shield future tax filings.
Cornyn and Tillis expressed GOP colleagues’ discontent and blocked Blanche’s nomination amidst criticism about the fund. The Judiciary Committee postponed a scheduled vote on Blanche’s nomination due to this opposition. The senators indicated the Justice Department seemed willing to reach a resolution, but the White House remained unyielding, affecting the confirmation of Trump’s former personal attorney.
Cornyn remarked, I think as far as Blanche and the Department of Justice, we were pretty much on the same page.
However, he noted Trump’s reluctance to agree to the order once informed.
Blanche, having previously acted as Trump’s defense lawyer, became deputy attorney general last year. He was promoted to acting attorney general after Pam Bondi was dismissed by Trump. Although Blanche denied seeking the permanent role, he has pursued Trump’s agenda vigorously, focusing on investigations into Trump’s perceived adversaries.
While negotiations proceeded, Trump publicly supported continuing the fund, suggesting he might withdraw Blanche’s nomination if it faced further delays. Trump stated that individuals charged from the January 6 Capitol attack deserved compensation for their alleged suffering.
“This would be a reimbursement for the pain that they suffered,” Trump commented.
On Friday, Trump’s attorneys appealed a judge’s critical ruling on the settlement with the IRS. The judge questioned the settlement’s validity and requested disciplinary review of one of Trump’s attorneys while criticizing Blanche’s prior involvement with Trump.
Blanche disagreed with the judge’s inferences about his actions. Although Justice Department lawyers asserted the fund wouldn’t proceed, they refused a judge’s order to have Blanche and other officials file declarations under penalty of perjury. The department deemed such court demands unnecessary.
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