Acting Attorney General cbsnews.com issued a formal order late Sunday evening terminating President Donald Trump’s $1.8 billion anti-weaponization fund, which was intended to compensate political allies and individuals who claimed they were politically persecuted. The formal termination followed weeks of intense negotiations with Republican Senators Thom Tillis of North Carolina and John Cornyn of Texas, who had threatened to block Blanche’s confirmation to lead the Justice Department permanently.
Acting Attorney General Todd Blanche Terminates $1.8 Billion Fund
The order stated: The Attorney General's May 18, 2026 Order establishing the Anti-Weaponization Fund ('Fund') is rescinded and shall have no force or effect.
An accompanying Justice Department statement emphasized that the new document establishes beyond any doubt, that there is no Fund.
According to the department, no money was ever transferred from the Treasury to any other account since the settlement was announced.
Resolving the Standoff Before the Senate Judiciary Committee Vote
The resolution clears the path for a Senate Judiciary Committee confirmation vote scheduled for Tuesday. The vote had been delayed from the previous Thursday after Senators Cornyn and Tillis stated they required more from the administration before providing the necessary votes. Both senators had blocked Blanche’s nomination while other Republican colleagues criticized the fund.
Senator Cornyn lost his reelection bid this year after President Trump endorsed his primary opponent, while Senator Tillis is retiring when his term ends in January. A spokeswoman for Senator Cornyn confirmed that an agreement had been reached with the Department of Justice regarding the fund and the scope of the IRS settlement.
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. Writing
Limits Placed on Tax Audit Immunity
Alongside the termination of the financial fund, the document released by Blanche on Sunday night restricts another provision originating from President Trump’s settlement in a lawsuit against the IRS and Treasury Department. The updated agreement clarifies that the tax audit immunity granted to Mr. Trump and members of his family applies only retroactively
to claims open at the time of the settlement. It does not protect the president from the examination of future tax filings.
The Justice Department confirmed that Blanche stands by all of his July 15, 2026, Senate Judiciary Committee testimony, including answers provided to Senator Cornyn regarding the scope and applicability of the earlier May 19, 2026, order.
Political Backlash and Bipartisan Opposition
The fund originated from a May settlement resolving a lawsuit brought by President Trump against the IRS and Treasury Department. It immediately generated widespread bipartisan outrage and criticism from Democrats, who labeled it a “slush fund.” Lawmakers and the public raised significant concerns that potential payouts could extend to participants in the January 6, 2021, attack on the U.S. Capitol who assaulted police officers.
Despite Blanche previously advising Congress through testimony and written responses that the fund was not moving forward, President Trump had signaled alternative intentions. On Saturday, the president threatened to push for the fund’s revival if Senators Cornyn and Tillis did not back Blanche’s confirmation, stating that individuals facing charges from the Capitol riot had their lives destroyed
and that the payments would serve as a reimbursement for the pain that they suffered.
President Trump also criticized the two senators on social media, noting that he had no objection to temporarily withdrawing Blanche’s nomination and resubmitting it after Cornyn and Tillis leave office. However, with multiple Republicans joining Democrats in opposing the fund, its future implementation remains questionable following Sunday’s formal rescission.
