Blanche Quashes Trump Fund Controversy

Todd Blanche, Donald Trump’s nominee for attorney general and the acting head of the Justice Department, moved to eliminate a major political obstacle to his confirmation by formally rescinding Trump’s controversial $1.8 billion “anti-weaponization” fund. The fund, created through an IRS settlement tied to Trump’s lawsuit, had drawn sharp resistance from Senate Republicans on the Judiciary Committee, especially Sens. John Cornyn and Thom Tillis, who wanted explicit assurances that the arrangement would not extend beyond past tax disputes or create a broader compensation scheme for alleged victims of federal “weaponization.” In response to those concerns, Blanche posted on X that his team had met with senators and addressed outstanding questions, and he attached an order saying the May 18, 2026 directive creating the fund was rescinded and had no force or effect. The move appears designed to preserve Blanche’s path to confirmation after days of uncertainty. Trump had threatened to pull and later resubmit Blanche’s nomination if Senate Republicans would not support him, and he continued to defend the fund as a way to reimburse supporters who said they had suffered from government weaponization. The article says the Sunday order also narrows the tax-related immunity addendum, clarifying that it applies retroactively only to the named parties in the IRS lawsuit—an important concession for Cornyn. A Cornyn spokesperson said the Texas senator had reached an agreement with the Justice Department, while Tillis remained opposed. Overall, the episode highlights the tension between Trump’s political demands and Senate confirmation politics, with Blanche caught between satisfying the White House and addressing Republican senators’ legal and procedural objections.

Acting Attorney General Todd Blanche formally rescinded President Donald Trump’s proposed $1.8 billion “anti-weaponization fund” late Sunday, a move that appears designed to resolve a confirmation standoff in the Senate Judiciary Committee. The fund had been controversial because it was widely viewed as a mechanism to compensate Trump allies and potentially Jan. 6 rioters, prompting bipartisan criticism and resistance from Republican Sens. John Cornyn and Thom Tillis. Both senators had blocked Blanche’s nomination for attorney general until the administration put the cancellation in writing. Blanche said the decision followed weeks of “good faith discussions” with committee members and senators, and the Justice Department said the new order makes it “beyond any doubt” that no fund will exist. The order also narrows a separate settlement provision involving tax audit immunity for Trump and his family, clarifying that it applies only retroactively to claims already open at the time of the settlement and does not shield future tax filings. Despite the rescission, Trump continued publicly supporting the concept, calling it reimbursement for people whose lives were destroyed by Jan. 6-related charges and suggesting he might withdraw and resubmit Blanche’s nomination if needed. The article frames the episode as a clash between Senate oversight, DOJ decision-making, and Trump’s continued pressure to advance a settlement criticized as self-dealing.

Acting Attorney General Todd Blanche moved significantly closer to Senate confirmation after agreeing to Republican senators’ demands to rescind a disputed $1.8 billion “anti-weaponization fund” and narrow the scope of tax protections tied to President Donald Trump’s IRS settlement. The breakthrough came after Sen. John Cornyn and Sen. Thom Tillis temporarily blocked Blanche’s confirmation, insisting on written assurances from the administration that the fund would be permanently terminated and that the settlement would not shield future tax filings. Blanche complied by issuing an order that formally canceled the May 18 directive creating the fund and clarifying that the tax-related protections only apply retroactively to the plaintiffs involved, not to future filings. The Justice Department also said the fund never became operational: no members were appointed, no money was transferred, no claims process was created, and no payments were made. Cornyn’s office said the written agreement could secure his support at Tuesday’s Judiciary Committee vote, while Tillis had not yet publicly committed but was expected to follow. Democrats remain uniformly opposed, so all Republicans are needed to advance the nomination. Blanche said he had met with senators over several weeks and welcomed productive engagement with Congress. Senate Republicans now hope to move his nomination forward before the end of the week.

Todd Blanche, the acting attorney general, moved to secure the support of Republican senators by putting in writing that the Justice Department would abandon parts of a controversial agreement reached with President Trump over his lawsuit against the IRS. The deal had included a proposed $1.8 billion “anti-weaponization fund” and broad immunity for Trump, his family, and their businesses from IRS scrutiny. Senators John Cornyn and Thom Tillis had threatened to block Blanche’s confirmation unless he formally rescinded the fund and narrowed the tax-audit protections. On Sunday night, Blanche posted documents showing that the fund had been rescinded and that the immunity protections were being limited to Trump, two of his sons, and the Trump Organization, while excluding a broader circle of relatives and associates. He also said future Trump tax returns could still be audited, addressing another demand from Cornyn. The timing matters because the Senate Judiciary Committee was set to vote on Blanche’s nomination Tuesday, and these written assurances may clear the path to confirmation. The article frames the dispute as part of a larger political fight over Trump’s attempt to use the Justice Department and IRS settlement for personal and political benefit. Trump publicly tried to revive the fund over the weekend, intensifying Republican concerns that he might find another way to restore the payments. Democrats condemned the arrangement as corrupt, and some Republicans were alarmed that the fund could reimburse people tied to the Jan. 6 Capitol attack. Even with the revised terms, the article notes that halting audits of Trump’s prior returns remains an extraordinary and potentially illegal benefit to the president.