The Justice Department has formally confirmed in court filings that the $1.8 billion anti-weaponization fund will not move forward, asking judges to dismiss related lawsuits seeking to block or dissolve the program.
The fund was created as part of a settlement in President Trump's lawsuit against the Internal Revenue Service over the leak of his tax returns. The administration described it as compensation for individuals who claimed they were targeted by federal law enforcement for political reasons. However, the program faced swift legal challenges and significant political opposition after its announcement last month.
A federal judge in Virginia temporarily blocked the administration from transferring money from the fund after Democracy Forward filed a lawsuit to dissolve it. The legal setbacks, combined with mounting political pressure, appear to have prompted the decision to abandon the initiative.
The fund generated substantial controversy over eligibility criteria and oversight. Administration officials had indicated that pardoned January 6 rioters could potentially receive payments, raising serious concerns among lawmakers. Vice President Mike Pence called the possibility of compensating rioters who assaulted police officers "deeply offensive," saying the view is "broadly held by most Republicans and most Americans."
Multiple Republican senators expressed alarm about the lack of oversight and accountability. Senate Majority Leader John Thune told reporters that "the best way to handle it is if the administration decides to shut the fund down themselves." The fund's terms did not require disclosure of payment amounts or recipient identities, which sparked additional criticism from both parties.
Senate Democrats had pledged aggressive action to block the fund, with Senate Minority Leader Chuck Schumer describing it as "corruption in broad daylight" and "the most brazen act of self-dealing yet." Democrats vowed to force Republicans to vote on measures to prevent distributions from the fund and demanded that records be preserved for congressional hearings.
Several Democratic-led states took independent action. California Governor Gavin Newsom proposed a 100 percent income tax on any fund distributions to California residents. Similar proposals emerged in Illinois, New York, and Connecticut.
A Republican attempt to redirect the fund's purpose also failed. Senator Thom Tillis proposed converting it into an anti-fraud fund, but the Senate voted down the measure, leaving no clear alternative use for the allocated money.
The Justice Department's written confirmation to federal courts marks a formal end to the program. By asking judges to dismiss pending lawsuits, the department is effectively closing the door on compensation claims under the initiative that had faced opposition across the political spectrum and from multiple levels of government.