1.8billion

Senate rejects an initial attempt to ban Trump’s $1.8-billion ‘anti-weaponization’ fund

Initial efforts in the Senate failed Thursday to block the $1.8-billion fund that the Trump administration has sought to establish to pay people who claim the government wronged them, though further attempts were likely to come Thursday afternoon.

Republicans narrowly voted down a Democratic amendment to ban the payout fund and then Democrats killed a Republican amendment, which would have prohibited the use of federal money for the fund but would have sent $1.7 billion to the Justice Department’s fraud division.

It was the second effort in Congress to rebuke President Trump in two days, following the House vote Wednesday to rein in Trump’s war powers in Iran.

The dueling amendments were proposed by Senate Minority Leader Chuck Schumer (D-N.Y.) and Sen. Thom Tillis (R-N.C.). They were attached to the reconciliation bill that would fund Immigration and Customs Enforcement and the Border Patrol, a high priority for Republicans.

The votes came as the Senate began a “vote-a-rama,” during which lawmakers were expected to propose a stream of amendments to the immigration bill on various topics.

The Trump administration’s plan for the payment fund — widely seen as a way for Trump to compensate his political allies, including those who participated in the Jan. 6, 2021, attack on the Capitol — set off particular ire from some GOP lawmakers.

The plan has fueled growing unrest within parts of Trump’s party over his governance, compounded by the president’s endorsement of primary challengers to Sens. John Cornyn (R-Texas) and Bill Cassidy (R-La.), as well as Rep. Thomas Massie (R-Ky.), which angered some Republican senators.

Cassidy, who lost his primary and has since voiced strong opposition to Trump’s $1.8-billion fund, became a key player in the Thursday votes, voting down Schumer’s amendment but supporting Tillis’.

On Wednesday, Cassidy joined with Sen. Cory Booker (D-N.J.) to argue in a court filing that the $1.8-billion fund circumvents Congress’ authority and violates the Constitution’s spending and appropriations clauses.

“It is an unconstitutional attempt to spend the People’s money without Congressional approval,” Cassidy and Booker wrote in an amicus brief filed in the federal court case challenging the fund.

The fund was created by the Justice Department to settle a lawsuit brought by Trump against the Internal Revenue Service over the leak of his tax returns. Trump and his sons agreed to drop their personal lawsuit against the government in exchange for the creation of the $1.776-billion fund. Critics immediately questioned the plan, and it drew a rare backlash from Republicans.

In late May, GOP senators derailed plans to vote on the immigration bill over their displeasure with the payout fund and with Trump’s desire to use taxpayer funds for his planned White House ballroom. Senate Republicans removed the ballroom funding from the immigration package Wednesday, another setback for Trump.

The Trump administration sought to back away from its plans for the fund this week, following bipartisan outcry and a federal court ruling that temporarily blocked any payouts from the fund. Acting Atty. Gen. Todd Blanche said Tuesday the administration would end its plans to move ahead with the concept.

But Trump on Wednesday told reporters he didn’t know whether the fund was dead, calling it “a beautiful thing.”

After Schumer proposed the first amendment to ban the fund Thursday morning, the Senate came to a standstill as three key Republican senators deliberated. Schumer framed his effort to ban the fund Thursday as a way to force a referendum on Trump’s plan.

The amendment “offers Republicans a choice: Do you support Donald Trump’s $2 billion taxpayer-funded slush fund, or do you want to protect the American people and their paychecks?” Schumer said on the Senate floor before the vote.

Sen. Bernie Moreno (R-Ohio) urged Republicans to reject the amendment, saying Democrats were planning to “play so many games” on Thursday during the marathon session.

“We are going to fund immigration enforcement and border patrol, and I urge my Republican colleagues to stay united on that singular mission,” Moreno said.

The amendment failed after Cassidy voted against it. Republican Sens. Susan Collins of Maine, Jon Husted of Ohio and Dan Sullivan of Alaska voted in favor.

Schumer’s amendment was uniformly supported by Democrats, including California Sens. Adam Schiff and Alex Padilla.

Tillis, who also voted against Schumer’s amendment, immediately proposed his amendment. Sen. Jeff Merkley (D-Oregon) urged Democrats to oppose it, saying that the proposal would create “a new slush fund” by giving the money to the Justice Department.

“We heard over the last 48 hours that the acting attorney general said that this fund’s not moving forward. All this amendment does is codify what I believe the policy of the DOJ is,” Tillis said on the floor before voting began on his amendment. “This [fund] is unpopular, this administration has said they’re not moving forward with it; this is an opportunity for us to put it to bed.”

Responded Merkley: “Taking one slush fund and eliminating it and then creating a new slush fund still under control of the attorney general is not the way to go. The way to go is to get rid of these slush funds altogether.”

Trump has faced a recent string of failures, including the House vote Wednesday, a court ruling to remove his name from the Kennedy Center and a record-low approval rating among Americans as concern rises about economic issues, gas prices and Trump’s war with Iran.

On Wednesday, Trump lashed out against the four Republicans who backed the House war powers resolution, calling it “an unpatriotic thing” to do and calling the vote “meaningless.”

“They’re GRANDSTANDERS! They should be ashamed of themselves. MAGA!!! President DJT,” Trump wrote.

Times staff writer Ana Ceballos, in Washington, contributed to this report.

Source link

Trump’s $1.8-billion fund unravels amid court setbacks, bipartisan pushback

The Trump administration is backing away from plans to create a $1.8-billion fund to compensate people who claim the government was weaponized against them, a retreat that comes amid a cascade of legal setbacks and a revolt within members of the Republican Party.

But Senate Democrats say the concession is not enough, and are pushing legislation to ensure no president can ever attempt the creation of such a fund again.

“If Republicans are serious about ending this brazenly corrupt scheme, they should have no problem voting for legislation banning any president from creating such a slush fund in the future,” Sen. Adam Schiff (D-Calif.) wrote Monday in a post on X.

Senate Minority Leader Chuck Schumer (D-N.Y.) added that Democrats plan to force a vote on a measure to ensure that Trump and Republicans are “truly abandoning this corrupt scheme.”

“Trump’s word is nowhere near enough,” Schumer wrote on X. Earlier in the day, Schumer vowed to force a floor vote to make Republican lawmakers take a public stance on the issue.

Schiff, along with Sens. Mark Kelly of Arizona and Elissa Slotkin of Michigan, introduced the “Drain the Slush Fund Act” on Monday. The bill, if approved, would bar any payout arising from a lawsuit filed by a president or vice president, language that is designed to permanently foreclose the fund, or anything like it, from being put in place by a future administration.

The White House did not comment on the president’s thinking. But in a statement, the Department of Justice said the decision to scrap the fund was in response to a federal judge’s ruling last week that temporarily blocked payouts from the fund while legal challenges remain pending. The department said it “disagrees strongly” with the move, but stopped short of saying it would challenge the decision.

“This fund was open to anybody who was so weaponized, targeted, or persecuted, whether they were Democrat, Republican, Conservative, Independent, or otherwise,” the statement read. “The Department will abide by the Court’s ruling.”

U.S. District Judge Leonie Brinkema, who was nominated to the bench by President Clinton, a Democrat, has scheduled a June 12 hearing for argument on whether to extend the order blocking the fund.

While the court ruling is not permanent, the unraveling over the fund is a notable defeat for Trump, who has cast it as a long-overdue reckoning for Americans he says were targeted by “an evil, corrupt and weaponized Biden administration.” For Republicans who publicly criticized the fund, it may come as a relief as the concept had been widely seen as a political liability heading into the midterm elections.

The Department of Justice created the fund to settle a lawsuit Trump personally brought against the Internal Revenue Service over the leak of his tax returns. The settlement also includes a clause permanently barring the IRS from pursuing any tax claims against Trump and his businesses that were filed before May 19 — a provision that, according to an analysis by Forbes, would save Trump and his family more than $600 million.

The White House declined to comment on whether the administration would also make changes to the tax immunity clause. The Democrats’ bill does not address that provision.

“Congress doesn’t need to pass a law to remind the Acting Attorney General [Todd Blanche] that he doesn’t have the authority to grant a blanket pardon for tax crimes by the president, much less when the AG is his personal attorney,” a Schiff spokesperson said in a statement. “The attempt at IRS immunity is corrupt and undoubtedly illegal — and we look forward to seeing it exposed as a fraud.”

Beyond Trump’s own legal disputes with the IRS, the fund was structured to accept claims from anyone who said they had been targeted by the government, a category the administration made clear could include those who were convicted for attacking the U.S. Capitol on Jan. 6, 2021.

Trump pardoned and commuted the prison sentences of 1,500 people who were charged in connection with the attack, and neither he nor Vice President JD Vance ruled out the possibility that those individuals would be able to receive money from the fund.

That possibility immediately ran into trouble with lawmakers. Senate Republicans, many of whom were caught off guard by the arrangement, publicly revolted against the fund and derailed plans to vote on legislation to fund Trump’s immigration crackdown amid the deep disagreement.

A closed-door meeting last month between Blanche and GOP senators grew heated, with lawmakers demanding answers the administration was seemingly not prepared to give.

Sen. Ted Cruz (R-Texas), who attended the meeting, described it as “angry” in an episode of his podcast last month. Cruz said that roughly 45 Senate Republicans had attended and estimated that “at least half of them were blasting the attorney general.” Based on those reactions, Cruz predicted the administration would need to amend its position on the fund.

“We will see the administration announcing at a minimum a modification of this, because if they don’t they’ve got a full-on revolt in the Senate,” he said.

The fund also led to criticism outside of Congress. Former Vice President Mike Pence, who served in Trump’s first administration, told NBC News in an interview Sunday that it was a “bad idea from the start.”

“I would encourage the administration just to drop it,” Pence said.

Source link

Newsom vows to levy 100% tax on California recipients of Trump’s $1.8-billion ‘slush fund’

Gov. Gavin Newsom has threatened to tax 100% of the money Californians receive from President Trump’s “anti-weaponization” fund for his political allies.

Trump’s Justice Department had announced last week that it would establish a $1.776-billion fund to compensate allies of the president who claim they have “suffered weaponization and lawfare” under the Biden administration’s Justice Department.

“Anyone from California that receives any of those funds, we want to tax 100% of those proceeds,” the governor told reporters Thursday.

“That’s an action the state of California can take …[and] it’s an action we look forward to taking.”

Just how Newsom would do so remains unclear. He indicated that he would need action from the Democratic-led California Legislature to impose the new tax. If adopted, the measure would likely face legal challenge.

The fund has prompted outrage from Democrats and some Republicans — including Sen. Mitch McConnell (R-Ky.), who said in a statement that the “slush fund,” which would “pay people who assault cops,” was “utterly stupid.”

Newsom’s remarks about Trump’s settlement fund came on Thursday as he signed a bill designed to prevent election interference ahead of Tuesday’s primary.

The bill, Senate Bill 73, restricts law enforcement agencies and officers — including those from federal agencies — from interfering with state and local election officials, such as confiscating ballots, voter rolls or voting machines without a warrant.

The governor said the bill is meant to address “legitimate anxiety” over threats to election integrity after Riverside County Sheriff Chad Bianco’s decision to seize ballots from the county’s voter registrar as part of a fraud probe. Bianco, a long-time Trump supporter, is one of the top Republicans running to succeed Newsom after the end of his second and final term as governor.

Newsom also pointed to ICE and Border Patrol’s decision last November to stage an event near Dodger Stadium, calling it a “show of force designed to intimidate free expression and free speech.”

“That’s why we have to step up and we have to draw the line,” Newsom said. “We have to clarify the rules of engagement… there are fines associated with this, criminal fines and jail time of three years, so that’s a warning [to] the folks out there that think they can do the bidding of the Trump administration.”

Newsom said he expects Trump to interfere with the upcoming election — noting that the president has falsely claimed that he “won” California in the last election.

“Every single thing that Donald Trump is saying only suggests that he will do more, not less, to intimidate and to impact the outcome of this election,” Newsom said. “I absolutely expect the worst again, because we’ve been on the receiving end of it.”

Source link

GOP senators balk at Trump’s $1.8-billion ‘anti-weaponization’ fund, force delay in key vote

President Trump’s grip on his party slipped on Thursday as anger boiled over among Senate Republicans about a growing list of issues.

In a striking display of defiance, GOP senators abruptly derailed plans to vote on legislation to fund Trump’s immigration crackdown amid deep disagreements over security funding for a White House ballroom and a $1.8-billion fund to pay people who claim to have been politically persecuted.

The discontent had been building for weeks. Many senators had grown frustrated over Trump’s decision to endorse candidates running against longtime Republican incumbents.

Others, worried about rising costs as a result from the war in Iran, had aired concerns ahead of the midterm elections. But the breaking point came when the Justice Department, with little warning, pushed to create what it termed the “anti-weaponization fund.”

Senate Majority Leader John Thune (R-S.D.) acknowledged the concerns over the fund Thursday after a reportedly contentious private meeting about it between Senate Republicans and acting Atty. Gen. Todd Blanche. He also conceded midterm politics had added to the tension.

“It’s hard to divorce anything that happens here from what’s happening in the political atmosphere around us,” Thune told reporters. “You can’t disconnect those things.”

A day earlier, Sen. Bill Cassidy, a Louisiana Republican who lost his primary race on Saturday to a Trump-backed challenger, expressed strong disagreement with the creation of the fund, which would be controlled by appointees without congressional oversight.

“People are concerned about paying their mortgage or rent, affording groceries and paying for gas, not putting together a $1.8 billion fund for the president and his allies to pay whomever they wish with no legal precedent or accountability,” Cassidy wrote on X. “If there needs to be a settlement, the administration should bring it to Congress to decide.”

Sen. Mitch McConnell (R-Ky.) also had harsh criticism for the fund.

“So the nation’s top law enforcement official is asking for a slush fund to pay people who assault cops? Utterly stupid, morally wrong — take your pick,” he said in a statement.

The discord was striking, partly because Republicans have largely steered clear of checking the president’s power, and Congress has been largely sidelined under the second Trump administration on the war in Iran and other issues.

“I don’t think the Republicans had any choice but to pull the plug until we come back in June, because they’re facing a bit of a mutiny within their conference,” Sen. Adam Schiff (D-Calif.) told The Times, saying he had heard that the meeting between Blanche and Republicans “didn’t go well.”

As tension simmered on the background, Trump seemed unbothered by the group of Republicans’ public rebellion against his agenda. When asked whether he was losing control of the Senate, he said he didn’t know.

“I only do what is right,” he told reporters in the Oval Office.

However, he expressed annoyance at lawmakers who would not support $1 billion in federal funding for security costs related to the ballroom project. He said the structure is being privately funded by him and other “great patriots.”

“We are making a gift to the United States,” Trump said. “This is being made as a gift from me and other people that are great patriots and spent a lot of money. We are building what will be the finest ballroom anywhere in the world.”

The $1 billion for security funding would be “very much a good expenditure,” he said. If Congress does not sign off on the money, Trump said the “White House won’t be a very secure place.”

Trump did not immediately comment on Thursday about the Senate’s delaying of the funding bill. The White House declined to comment on the matter.

Trump’s second-term actions have frequently tested the loyalty of Republican lawmakers, who have largely stayed in line. The settlement fund, with its ethical questions, appears to have crossed a line for some senators in a party that has traditionally opposed wasting taxpayer funds.

The money comes from the judgment fund, which is a Congress-approved ongoing appropriation that allows the Justice Department to settle cases and make payments.

Stephen Miller, a top aide to Trump, told reporters at the White House that the $1.8-billion settlement was “just a small measure of the justice” that many people are owed after being targeted by the federal government. Miller declined to say whether the White House was reaching out to senators to ease concerns about the fund.

Republicans in Congress decried the use of similar third-party settlements during the Obama administration, with House lawmakers repeatedly passing a bill aimed at stopping settlement slush funds, noted Molly Nixon, a senior fellow at the Cato Institute.

Though the Trump administration’s plan is novel because the settlement money isn’t going to a third party, the general concept has been offensive to Republicans in the past; the Republican-controlled House Judiciary Committee termed it an abuse in 2017.

“If you’re taking a consistent view, you’d be at least equally as opposed to this settlement,” Nixon said of Republican lawmakers.

That could be driving some of the opposition now, along with concerns about who is going to get the money and whether it could be distributed to people who wouldn’t have been able to make a successful case before a court of law, Nixon said.

“The fund is going to plaintiffs who were victims of lawfare or weaponization. … Those are pretty ambiguous terms. They’re sort of in the eye of the beholder,” Nixon said. “It’s pretty easy to see how this could very easily become a quiet political claims process.”

Police officers who defended the U.S. Capitol during the Jan. 6, 2021, riot have already filed a federal lawsuit seeking to block the creation of the fund, arguing in part that it would compensate extremist convicted of committing violent crimes.

“The fund’s mere existence sends a clear and chilling message: those who enact violence in President Trump’s name will not just avoid punishment, they will be rewarded with riches,” the lawsuit says.

When Trump returned to office in January 2025, one of his first acts was pardoning or commuting the prison sentences of the 1,500 people who were charged in connection with the attack. Vice President JD Vance on Wednesday did not rule out that settlement money could go to those rioters, saying the money would be given out on a “case-by-case basis.”

Thune told reporters on Thursday that the Justice Department would have to come up with some guardrails to ease concerns among senators.

“We need to get some clarity,” he said.

Though the number of Republicans angry with Trump is significant enough to make or break legislation, the caucus appeared far from falling apart.

Senate Republicans blocked an attempt by Sen. Alex Padilla (D-Calif.) on Thursday to pass a bill to prohibit federal funds from reaching Jan. 6 rioters, an attempt to prevent the fund from being used to compensate them.

“I’m encouraged hearing some of my Republican colleagues agreeing with me,” Padilla said on the Senate floor. “Let’s stand up for congressional oversight as a unified Senate.”

Sen. Tommy Tuberville (R-Ala.) objected to Padilla’s bill, later writing on X: “PROUD to object today to Senator Padilla’s RIDICULOUS bill and stand up for ALL FREEDOM-LOVING AMERICANS.”

Schiff, who is working on an amendment that would target the fund, said other Republican colleagues he spoke to Wednesday evening were unhappy with the position Trump has put them in. He said Trump’s actions have helped underscore Democrats’ arguments against his party.

“All [it’s] doing is helping us make the case that the Republicans couldn’t care less about people’s cost of living … that there’s plenty of money for golden ballrooms for the president, there’s plenty of money for the president’s cronies, but there’s no money for the average family,” Schiff said.

Source link

Officers who defended Capitol from rioters sue to block payouts from $1.8-billion ‘anti-weaponization’ fund

Two police officers who helped defend the U.S. Capitol from an attack by a mob of President Trump’s supporters sued on Wednesday to block anyone — including Jan. 6, 2021, rioters — from receiving payouts from a new $1.776-billion settlement fund for people who claim to be victims of politically motivated prosecutions.

The officers’ attorneys filed the federal lawsuit a day after acting Atty. Gen. Todd Blanche defended the fund’s creation during a congressional hearing. Blanche, a personal attorney for Trump before joining the Justice Department, wouldn’t rule out the possibility that rioters who assaulted police on Jan. 6 would be eligible for fund payouts.

The lawsuit claims the government’s “Anti-Weaponization Fund” is an illegal slush fund that Trump will use to “finance the insurrectionists and paramilitary groups that commit violence in his name.” It describes the fund’s creation as “the most brazen act of presidential corruption this century” and calls for dissolving it.

“No statute authorizes its creation, the settlement on which it is premised is a corrupt sham, and its design violates the Constitution and federal law,” the suit says.

The fund stems from a settlement of Trump’s $10-billion lawsuit against the IRS over the leak of his tax returns. It’s designed to compensate those who believe they were mistreated by prior administrations’ Justice Department. Decisions on payouts will be made by a five-member commission appointed by the attorney general.

More than 100 police officers were injured during the Capitol riot. Nearly 1,600 people were charged with Jan. 6-related crimes, but Trump used his pardon powers to erase all of those cases in a sweeping act of clemency last year.

The plaintiffs suing Trump over the fund are Metropolitan Police Department officer Daniel Hodges and former U.S. Capitol Police officer Harry Dunn, who is running in Maryland for a seat in Congress. Hodges and Dunn both testified before Congress about their harrowing experiences on Jan. 6. Videos captured a rioter ripping a mask off Hodges as he was pinned against a door during a fight for control of a tunnel entrance.

The officers claim the fund “encourages those who enacted violence in the President’s name to continue to do so.”

“Dunn and Hodges already face credible threats of death and violence on regular basis; the Fund substantially increases the danger,” the suit alleges.

On Tuesday, members of Congress peppered Blanche with questions about the fund. He described it as “unusual” but not unprecedented. Blanche failed to acknowledge that Trump’s Justice Department has investigated and prosecuted some of the Republican president’s political enemies, including former FBI Director James Comey and New York Atty. Gen. Letitia James.

Blanche and Treasury Secretary Scott Bessent also are named as defendants in the officers’ lawsuit. Spokespeople for the Justice and Treasury departments didn’t immediately respond to requests for comment on the suit.

One of the attorneys for the officers is Brendan Ballou, a former Justice Department prosecutor who handled Jan. 6 cases.

Kunzelman writes for the Associated Press.

Source link