World

US judge extends indefinite block on Trump’s $1.8bn ‘anti-weaponisation’ fund

A federal court ruling prevents the Trump administration from proceeding with a controversial fund designed to compensate alleged victims of government “weaponisation”, compounding previous legal and political setbacks for the Justice Department.

Author
Adrian Cole
Political Correspondent
Published
Draft
Source: Al Jazeera Global News · original
US judge extends block on Trump’s $1.8bn ‘anti-weaponisation’ fund
Preliminary injunction halts settlement-linked compensation scheme before any payouts or commission formation

A US federal judge has indefinitely blocked the Trump administration from proceeding with a $1.8 billion fund intended to compensate individuals alleged to have been victims of government “weaponisation”. Judge Leonie Brinkema of the US District Court for the Eastern District of Virginia issued the preliminary injunction, extending a temporary halt that was set to expire on Friday. The ruling represents a formal extension of the block on the fund, which was originally part of a settlement between President Trump and the Justice Department regarding a $10 billion lawsuit against the Internal Revenue Service (IRS).

The Department of Justice had previously scaled back the plan following significant backlash from lawmakers and legal challenges, noting that the overseeing five-member commission was never formed. Attorney General Todd Blanche walked back the plans earlier in the month amid growing criticism, with government attorneys arguing that lawsuits challenging the scheme are now irrelevant. Despite the administration moving away from the scheme, President Trump has not endorsed its cancellation and has continued to discuss it positively in comments to the press.

Plaintiffs who sued to block the plan argued that the scheme diverted taxpayer funds into what was essentially a slush fund. They have expressed doubt about Blanche’s assurances that the fund will not move forward, despite the Justice Department’s stated intention to drop the initiative. The fund was designed to be helmed by a five-member commission to distribute funds to those deemed victims of “weaponisation”, a term used by Trump to describe investigations and criminal cases into himself and his allies.

Compounding the controversy, many of the Republican president’s allies are opposed to compensating rioters who stormed the US Capitol on January 6, 2021. In May, Attorney General Blanche would not rule out the possibility that Capitol rioters who engaged in violence could be eligible to apply for payments from the fund. Trump issued mass pardons to Capitol rioters on his first day back in the White House last year, erasing more than 1,500 cases before the attack.

The Justice Department did not form the five-member commission to decide on payout criteria, meaning no money was paid out or claims accepted before the administration announced it was dropping the fund. The legal block ensures that the $1.776 billion fund remains frozen indefinitely, leaving the question of compensation for alleged “lawfare” victims unresolved within the current administrative framework.

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