Acting Attorney General Terminates Trump’s $1.8 Billion Fund

WASHINGTON — Acting Attorney General Todd Blanche has officially canceled a $1.8 billion fund proposed by former President Donald Trump. This decision follows intense negotiations with two Republican senators who had delayed Blanche’s nomination for attorney general.

A representative for Senator John Cornyn confirmed the deal, setting the stage for a Senate Judiciary Committee vote on Tuesday regarding Blanche’s nomination. Senator Thom Tillis did not immediately comment.

At a prior hearing, Blanche indicated the fund was stalled due to bipartisan concerns. Critics feared recipients might include individuals who participated in the January 6, 2021 Capitol riot. Despite these concerns, Cornyn and Tillis wanted written confirmation of the fund’s cancellation before supporting Blanche’s appointment.

Blanche stated, “My team and I have met with committee members and Senators over the past several weeks and addressed any concerns or outstanding questions.”

The Justice Department, accompanying the official order, emphasized that Blanche had regularly informed Congress and district courts of the fund’s halt. The order rescinded a previous directive from May 18, 2026.

The document stated that no progress had occurred on the fund—no appointments, fund transfers, or claims processed or paid. It unequivocally confirmed the fund’s termination.

Additionally, a settlement provision offering tax audit immunity for Trump and family members is adjusted. It pertains only to pre-existing claims and not future tax audits.

Senators Cornyn and Tillis, along with others, have blocked Blanche’s nomination in light of ongoing Republican opposition to the fund. The Judiciary Committee had to postpone Blanche’s nomination vote after Tillis and Cornyn demanded more clarity from the administration.

Cornyn commented that while Blanche and the Department of Justice were agreeable, President Trump remained resistant.

Initially serving as Trump’s defense attorney, Blanche joined the Justice Department as deputy attorney general and later assumed the top role after Pam Bondi’s firing. Bondi lost her position due to Trump’s dissatisfaction with her prosecutorial performance.

Blanche has denied aspiring to a permanent role, yet actively pursued Trump administration priorities. However, Trump continued advocating for the fund, threatening to advance it if Blanche was unconfirmed.

Trump stated publicly that individuals charged in connection to the Capitol attack had suffered and deserved compensation. His comments reflected ongoing support for the fund.

Meanwhile, Trump’s attorneys plan to contest a judge’s condemnation of the president’s IRS lawsuit settlement. The judge criticized Blanche’s participation due to previous ties with Trump. Blanche disagreed with the judge’s remarks.

Justice Department lawyers had previously documented that the fund was inactive. They declined a court directive for formal declarations from Blanche and administration officials to refrain from further fund actions, deeming the request superfluous.