The Justice Department announced a $1.776 billion “Anti-Weaponization Fund” to resolve a $10 billion lawsuit filed by President Donald Trump. [1] The settlement addresses the leak of his tax returns and civil claims tied to the Russia probe and the search of his Mar-a-Lago residence.
Settlement Details
Money for the fund will come from the Treasury’s Judgment Fund. This is an uncapped account that the federal government uses to settle cases. The $1.776 billion figure appears to be a direct nod to America’s founding year.
Trump and his family will receive a formal apology but no monetary damages.
Trump and his family will receive a formal apology, but no monetary damages. The settlement creates a massive taxpayer-funded program. It is designed to compensate individuals who claim the Justice Department politically targeted them, including those involved in the January 6 events.
Fund Oversight
A five-member commission will oversee the new claims. These commission members are appointed by the attorney general and can be removed by Trump. The commission will review applications and distribute funds through December 2028.
History and Context
The tax case originated from the actions of a former IRS contractor. That individual was sentenced to prison for leaking the tax data of high-profile figures between 2018 and 2020.
The structure is modeled after an Obama-era program that compensated Native American farmers for discrimination in federal lending.
The structure is modeled after an Obama-era program that compensated Native American farmers for discrimination in federal lending. However, the move could direct federal money to Trump allies with minimal oversight.
Notes:
- ^Trump IRS Lawsuit Settlement Fund – Wall Street Journal. Wall Street Journal. Retrieved from https://www.wsj.com/us-news/law/trump-irs-lawsuit-settlement-fund-c3edaf3f?st=q5TvV2?mod=1440 (go back ↩)
