The Trump administration announced on Monday the creation of a $1.8 billion fund to compensate those who claim they were targeted by the Biden Justice Department and Democrats, forging a pipeline to funnel taxpayer money to President Trump\u2019s allies.<\/p>\n
The highly unusual \u201canti-weaponization\u201d fund<\/a> \u2014 denounced by critics as a political slush fund \u2014 was unveiled just after Mr. Trump withdrew his lawsuit demanding at least $10 billion against the Internal Revenue Service. It was an apparent effort to skirt oversight by the judge in the case who had expressed concern that the suit represented self-dealing between the president and a department run by his former defense lawyer, Todd Blanche.<\/p>\n The tandem moves amounted to an end-run that stripped Judge Kathleen M. Williams, who had been overseeing the I.R.S. case in the Southern District of Florida, of her appointed role in approving a formal settlement agreement. By dismissing the case in its entirety, Mr. Trump was able to reach an agreement with his own appointees without risking the rebuke of an impartial and independent arbiter.<\/p>\n The cash value of the fund was set at $1.776 billion, a nod to the nation\u2019s founding. The Justice Department added in its announcement that its creation was intended \u201cto provide a systematic process to hear and redress claims of others who suffered weaponization and lawfare,\u201d though it offered few other details, including who might qualify.<\/p>\n In addition to withdrawing his suit against the I.R.S., Mr. Trump will also drop separate administrative claims. Those include his demand the government pay him $230 million<\/a> for investigations into his 2016 campaign\u2019s potential ties to Russia and into his handling of classified documents after he left office.<\/p>\n Mr. Trump, his two sons and his family business, who sued the I.R.S. together, would receive an apology but not be paid out of the new fund, officials said.<\/p>\n It remains unclear if the announcement represents a serious effort to disburse cash or a provocative distraction intended to provide the president with political cover as he retreats from a dubious lawsuit he was about to lose, or some combination of both.<\/p>\n Mr. Trump and the department\u2019s leadership have repeatedly accused Democrats of weaponizing federal law enforcement against their enemies. They have yet to provide evidence of illegality, or political animus, in the two federal prosecutions of Mr. Trump or in investigations into his allies.<\/p>\n \u201cThe machinery of government should never be weaponized against any American, and it is this department\u2019s intention to make right the wrongs that were previously done while ensuring this never happens again,\u201d Mr. Blanche said in a statement announcing the proposal.<\/p>\n He added, \u201cAs part of this settlement, we are setting up a lawful process for victims of lawfare and weaponization to be heard and seek redress.\u201d<\/p>\n A memo signed by Mr. Blanche, just over one page in length, offered only the vaguest outline of how the fund will operate. It did not define \u201cweaponization,\u201d specify the process by which claims would be assessed or even enumerate the actual amount of money that would be distributed.<\/p>\n The amount specified in the department\u2019s news release \u2014 with its symbolic value \u2014 \u201cdoes not represent the value of any claim by plaintiffs, but rather is based on the projected valuation of future claimants\u2019 claims,\u201d Mr. Blanche wrote in his memo.<\/p>\n Money for the fund will come from a special, unlimited account available to the Justice Department for settling lawsuits. A group of five people, selected by Mr. Blanche, will oversee its operations, though Mr. Trump can fire its members at will. The fund will stop processing claims on Dec. 15, 2028, weeks before Mr. Trump leaves office.<\/p>\n Creation of the fund, which could be used to compensate Trump supporters who ransacked the Capitol on Jan. 6, 2021, is sure to please a president who has demanded not only retribution but recompense. But it could create major political problems for congressional Republicans already dealing with the political ballast of his unpopularity \u2014 and who will now be forced to say if they support or oppose allocating taxpayer cash to his allies at a time when many Americans are struggling economically.<\/p>\n \u201cThis is one of the single most corrupt acts in American history,\u201d said Donald K. Sherman, president of the Citizens for Responsibility and Ethics in Washington, a nonprofit legal watchdog group that has been critical of the administration.<\/p>\n Stacey Young, found of the Justice Connection, a network of former department employees, said the fund fit a larger \u201cpattern of corruption that is eroding D.O.J.\u2019s integrity and Americans\u2019 faith in the rule of law.\u201d<\/p>\n Potential recipients were thrilled.<\/p>\n Mark McCloskey, a St. Louis-based lawyer best known for having brandished an AR-15-style rifle during a racial justice protest outside his home six years ago, had tried for nearly a year to get compensation from the government for about 430 Jan. 6 defendants<\/a> but repeatedly ran into opposition from Mr. Blanche and others in the Justice Department.<\/p>\n But Mr. McCloskey hailed the announcement of the fund, saying that he would seek money from it for his current clients and that he expected more Jan. 6 rioters to come forward asking for payouts.<\/p>\n \u201cI was somewhat skeptical at first because lots of things get said,\u201d Mr. McCloskey said. \u201cBut it looks like this is a done deal. I\u2019m really excited to see what they come up with.\u201d<\/p>\n Judge Williams had been considering dismissing Mr. Trump\u2019s I.R.S. suit on her own because he effectively controls both his personal lawyers bringing the complaint and the government lawyers who are supposed to respond to it. She had ordered the Justice Department, which has yet to make an appearance or filing<\/a> in the case, and Mr. Trump\u2019s lawyers to brief her by Wednesday to explain whether they were actually in opposition<\/a> \u2014 or were colluding to achieve a mutually agreeable outcome.<\/p>\n In their filing on Monday, Mr. Trump\u2019s lawyers said their dismissal meant that \u201cno judicial analysis is appropriate\u201d for the suit.<\/p>\n