Acting Attorney General Todd Blanche formally rescinded President Donald Trump’s $1.8 billion "anti-weaponization" fund on Sunday after negotiations with Republican senators whose opposition had jeopardized his nomination ahead of Tuesday’s Senate Judiciary Committee vote.
Blanche’s Order Clears Key Confirmation Roadblock
The order followed "good faith discussions" with lawmakers, Blanche said. "My team and I have met with committee members and Senators over the past several weeks and addressed any concerns or outstanding questions."
My team and I have met with committee members and Senators over the past several weeks and addressed any concerns or outstanding questions. We have enjoyed good faith discussions, and as a result issue the following order and update with regard to the May IRS settlement. The… pic.twitter.com/U6hs15kw2D
— Acting AG Todd Blanche (@DAGToddBlanche) August 3, 2026
Sens. John Cornyn (R-Texas) and Thom Tillis (R-N.C.) had withheld support, demanding written proof after Blanche testified in June that the Justice Department was "not moving forward with the fund, period." Their resistance delayed a Senate Judiciary Committee vote on his attorney general nomination.
Trump Fund’s Creation Drew Bipartisan Scrutiny
The Justice Department created the $1.776 billion fund in May through a settlement of Trump’s $10 billion lawsuit over the disclosure of his tax records. The plan drew money from the federal Judgment Fund and authorized compensation, apologies and other relief for people claiming politically motivated prosecution.
The proposal drew bipartisan criticism after Blanche initially declined to rule out compensation for people convicted in connection with the Jan. 6, 2021, Capitol attack. Vice President JD Vance also said Hunter Biden could seek compensation if eligible.
Sunday’s order said no board members were appointed, no money was transferred, no claims process was created and no payments were made. "This order establishes, beyond any doubt, that there is no Fund," the department said.
Tax Protections Narrowed As Vote Approaches
Blanche also narrowed a tax-audit protection in the settlement. The order says it applies only retroactively to matters open when the agreement took effect and does not shield Trump or his family from future filings.
The clarification follows legal scrutiny. A federal judge concluded in July that Trump’s IRS lawsuit lacked genuine adverseness and was filed to secure judicial approval for an agreement with "no viable basis in law or fact."
Trump nevertheless defended compensation for Jan. 6 defendants Sunday, saying "their lives [were] destroyed" and payments would reimburse "the pain that they suffered." His continued support had raised fears he might revive the fund.
Blanche’s action removes the primary obstacle to his confirmation, though his nomination still requires approval from both the Judiciary Committee and the full Senate.
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