Acting Attorney General Todd Blanche formally terminated a $1.776 billion fund established earlier this year for victims of purported government weaponization late Sunday, apparently clearing the way for his nomination to advance through the Senate Judiciary Committee.
Two of the panel’s lame-duck GOP members, John Cornyn of Texas and Thom Tillis of North Carolina, had threatened to withhold their support unless Blanche confirmed in writing that the fund was terminated. Their stubbornness forced the postponement of a planned committee meeting last week to consider Blanche’s nomination.
That meeting is now set for Tuesday morning. Blanche likely needs the support of all 12 Republican panelists for his nomination to be reported favorably to the full Senate.
“My team and I have met with committee members and Senators over the past several weeks and addressed any concerns or outstanding questions,” Blanche wrote in an X post accompanying the order. “We have enjoyed good faith discussions, and as a result issue the following order and update with regard to the May IRS settlement. The Department always welcomes and appreciates productive engagement with all members of Congress.”
A spokeswoman for Cornyn confirmed Blanche’s statement was part of a deal with both senators. Tillis had no immediate comment.
The May 18 order establishing the anti-weaponization fund — which was deemed “rescinded” and “having no force or effect” Sunday — was part of an agreement that saw President Trump drop a $10 billion lawsuit against the IRS over the leaking of his tax returns to the New York Times in 2019.
The settlement also protected Trump, members of his family, and the Trump Organization from audits of their past tax filings.
Chaz Littlejohn, an IRS contractor who also leaked the tax documents of thousands of other wealthy Americans to ProPublica, pleaded guilty to one count of unauthorized disclosure and was sentenced to five years in prison in January 2024.
The fund was to be overseen by five board members — all appointed by Blanche — who would consider claims of government wrongdoing.
Sunday’s order made clear that “[n]o Members were appointed; no funds were transferred; no process for receiving claims was established; no claims were paid … This Order establishes, beyond any doubt, that there is no Fund.”
A DOJ statement also clarified that the tax audit immunity agreement “applies by its terms only retroactively” and does not protect the president from examination of future tax filings.
Trump has said that he thinks the fund should go forward and threatened to implement it if Blanche was not confirmed.
After the Thursday vote was delayed, Trump said in a social media post that he might withdraw Blanche’s nomination and resubmit it after Cornyn and Tillis leave office in January.
On Sunday evening, Trump said that people who had faced charges in connection with the Jan. 6, 2021, Capitol riot and could have been compensated from the fund had “their lives destroyed.”
“This would be a reimbursement for the pain that they suffered,” the president said. “A lot of people like it.”
Blanche has been serving as acting attorney general since Pam Bondi’s dismissal on April 2.
With Post wires
