Acting U.S. Attorney General Todd Blanche has rescinded the order establishing the controversial “anti-weaponization” fund, removing a major obstacle to his confirmation as attorney general ahead of a crucial Senate committee vote on Tuesday.
Republican Senators John Cornyn of Texas and Thom Tillis of North Carolina had delayed Blanche’s nomination, demanding assurances that the Justice Department would abandon the $1.8 billion fund. The fund was created as part of a settlement between President Donald Trump and the Justice Department over Trump’s lawsuit against the Internal Revenue Service concerning the handling of his tax records.
Supporters argued that the fund was designed to compensate individuals allegedly targeted unfairly by the federal government. Critics, however, described it as a potential vehicle for directing taxpayer money to Trump’s political allies, including participants in the January 6 Capitol attack.
The controversy also extended to a separate Justice Department order that restricted the IRS from pursuing audits related to Trump’s past tax claims and those of his family and businesses. Cornyn’s office stated that the Justice Department had agreed to permanently terminate the fund and clarify that the tax-related settlement applied only to the plaintiffs involved in the case.
Blanche, who has served as acting attorney general since April following Trump’s dismissal of Pam Bondi, reiterated that the tax order applied only retroactively. Despite Trump’s recent comments suggesting he would seek congressional approval for the fund if Blanche’s nomination failed, the Justice Department’s latest move appears aimed at securing Senate support ahead of the confirmation process.
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