Acting Attorney General Todd Blanche testified before Congress on June 2, 2026, stating that the Trump administration is abandoning plans to establish a $1.8 billion fund intended to...
During the testimony, Blanche asserted, We are not moving forward with the weaponization fund.
Despite the verbal commitment, the transition from a proposed fund to a cancelled one remains legally ambiguous.
Acting Attorney General Todd Blanche testified before Congress on June 2, 2026, stating that the Trump administration is abandoning plans to establish a $1.8 billion fund intended to compensate allies of the president. The fund, described as a weaponization fund, had faced significant opposition in the courts, the media, and from members of Congress.
During the testimony, Blanche asserted, We are not moving forward with the weaponization fund. Period.
Despite the verbal commitment, the transition from a proposed fund to a cancelled one remains legally ambiguous. When Representative Grace Meng requested that the administration put the cancellation in writing, Blanche declined. He instead suggested that the official transcript of the hearing would serve as the record of his statement, telling Meng, I’m telling you it’s not progressing.
The proceedings also addressed a separate agreement granting audit immunity to Donald Trump, his family, and his businesses. Blanche claimed that the arrangement does not constitute blanket immunity, a claim that was immediately contested by Representative DeLauro.
According to reporting from Techdirt, the order in question—which Blanche falsely characterized as a settlement with the IRS—was actually executed by Blanche and the Department of Justice, as the IRS never signed the agreement. The text of the order provides broad protections against government pursuit of various claims.
The specific language of the order states:
Donald Trump White House MAGA compensation fund documents
The United States RELEASES, WAIVES, ACQUITS, and FOREVER DISCHARGES each of the Plaintiffs from, and is hereby FOREVER BARRED and PRECLUDED from prosecuting or pursuing, any and all claims, counterclaims, causes of action, appeals, or requests for any relief, including injunctive relief, monetary relief, damages, examinations or similar or related reviews, appeals, debt relief, costs, attorney’s fees, expenses, and/or interest, whether presently known or unknown, that as of the Effective Date of the Settlement Agreement-have been or could have been asserted by Defendants against any of the Plaintiffs or related or affiliated individuals (including, without limitation, family or others filing jointly), or parties including trusts, parent, sister, or related companies, affiliates, and subsidiaries, by reason of, with respect to, in connection with, or which arise out of (1) any matters that were raised or could have been raised in the Case or the Pending Agency Claims; (2) Lawfare and/or Weaponization; or (3) any matters currently pending or that could be pending (including tax returns filed before the Effective Date) before Defendants or other agencies or departments.
Todd Blanche full DOJ hearing: Acting AG talks Donald Trump 'slush fund,' Epstein files
Order read by Representative DeLauro
The scope of this order includes protections for tax returns filed before the effective date of the agreement, which critics argue constitutes the very blanket immunity Blanche denied during his testimony.
While the administration has signaled the end of the $1.8 billion fund, some potential beneficiaries suggest the goal of distributing taxpayer money may still be achievable through alternative administrative channels. Enrique Tarrio, the leader of the Proud Boys who was convicted of seditious conspiracy and later pardoned, indicated that the cancellation of the fund might actually be advantageous.
In a text message to reporter Liz Landers, Tarrio suggested that the administration could bypass congressional oversight and judicial review by settling individual tort claims and lawsuits.
Tarrio wrote:
Acting Attorney General Blanche press conference weaponization fund
This isn’t an abandonment. They simply state they’re going to wait two weeks… I believe even if this fund is killed in courts or at a congressional level, the President will find a way… They can just settle the tort claims and lawsuits. That has no judicial review or congressional oversight. And it would mean a lot more money in compensation.
Enrique Tarrio
This strategy would involve utilizing the existing Judgment Fund—the same financial source the proposed anti-weaponization fund intended to use—to pay out settlements to individuals involved in the January 6 Capitol attack. Because these settlements are handled as separate legal agreements, they would not require the same level of transparency or approval as a dedicated congressional appropriation.
The situation highlights a significant tension regarding the use of Department of Justice mechanisms to provide financial compensation and legal immunity without traditional legislative checks.
