Donald Trump dismissed a $10bn lawsuit against the IRS after Department of Justice (DOJ) launched fund for allies.
According to The Guardian, Trump on Monday, May 18, dropped the lawsuit as his administration created a $1.776bn “anti-weaponization” fund to compensate allies for supposed persecution by the government.
The fund will be overseen by five commissioners, four of whom would be appointed by the attorney general and removable by Trump, who would oversee the body’s work.
A fifth commissioner will be appointed “in consultation” with congressional leadership. The fund also has the power to issue “formal apologies” and will send a quarterly report to the US attorney general outlining who has been paid from the fund.
As per a memo from Todd Blanche, the acting US attorney general, “Once the funds are deposited into the Designated Account, the United States has no liability whatsoever for the protection or safeguarding of those funds, regardless of bank failure, fraudulent transfers, or any other fraud or misuse of the funds.”
There did not appear to be any restrictions on who can seek compensation from the fund. Any money left in the fund at the end of Trump’s term would be returned to the federal government.
Blanche stated, “The machinery of government should never be weaponized against any American, and it is this Department’s intention to make right the wrongs that were previously done while ensuring this never happens again.”
“As part of this settlement, we are setting up a lawful process for victims of lawfare and weaponization to be heard and seek redress.”
As part of the settlement, Trump will also drop claims for monetary damages against the government for a raid on Mar-a-Lago and the investigation into Russian meddling in the 2016 election.
