Blanche Ends Trump’s Compensation Fund Amid Nomination Negotiations

Blanche Ends Trump’s Compensation Fund Amid Nomination Negotiations

Acting Attorney General Todd Blanche has formally terminated President Donald Trump’s $1.8 billion “anti-weaponization fund” designed to compensate political allies. This decision follows negotiations with Republican senators John Cornyn and Thom Tillis, who were stalling Blanche’s nomination to become attorney general.

Ahead of a confirmation vote in the Senate Judiciary Committee, Cornyn’s spokeswoman confirmed the agreement reached. Tillis, however, did not provide immediate comments. Blanche had assured in June that the fund would not progress, addressing bipartisan concerns that recipients might include violent participants in the January 6, 2021 Capitol attack. Despite these assurances, Cornyn and Tillis sought a written confirmation to support Blanche’s nomination, especially given Trump’s continued endorsement of the fund.

In a statement, Blanche expressed his commitment to resolving concerns through “good faith discussions,” mentioning meetings with committee members and senators over the past weeks. The Justice Department echoed this in a statement clarifying that “the Fund is not moving forward,” officially rescinding the previous order from May 18, 2026.

“No 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,”

The Justice Department highlighted these points to eliminate any confusion around the fund’s status. Additionally, a provision of the settlement that offered broad tax audit immunity to Trump and his family was modified. The adjusted agreement specifies that immunity applies to past claims at the settlement’s time, not future tax filings.

Opposition from Cornyn, who lost his primary after Trump’s endorsement of his opponent, and retiring Tillis delayed Blanche’s Judiciary Committee vote. Their concerns aligned with many GOP colleagues critical of the fund. Despite repeated dialogue suggesting the Justice Department’s willingness to cooperate, the White House remained inflexible, impacting Blanche’s nomination.

Trump publicly supported the fund’s continuation amid these negotiations, even considering Blanche’s nomination withdrawal if confirmation hurdles persist. He argued reimbursement was necessary for those impacted by the January 6 incident. Post vote delay, Trump voiced intentions to nominate Blanche again after Cornyn’s and Tillis’s Senate departures.

Separately, Trump appealed a judge’s critical ruling on his IRS lawsuit settlement, accusing improper self-dealing. The judge’s order criticized Blanche, given his previous defense work for Trump. Blanche denied any wrongdoing, despite the court’s appeal for validated commitments from him and officials to stagnate fund activities. The Justice Department considered such court demands “unnecessary.”

Leave a Reply

Your email address will not be published. Required fields are marked *