$1.77 billion will be set aside under a May 18 Justice Department settlement to compensate alleged victims of government “weaponization” tied to Trump’s lawsuit against the IRS.
The deal resolves Trump’s $10 billion claim over a 2019 leak of his tax information to the New York Times, an unusual move because DOJ typically defends federal agencies like the IRS rather than settling without a fight.
Acting Attorney General Todd Blanche said Trump himself will not receive money from the fund, but the arrangement could still channel millions in taxpayer dollars to Trump allies and supporters.
Critics cast the settlement as collusion between Trump and loyalists now running the Justice Department, widening concerns about political use of federal legal machinery.
How does this $1.77 billion settlement change the rules for individuals suing the U.S. government?
What is the precedent of granting a president permanent immunity from past IRS tax audits?