Daijiworld Media Network - Washington
Washington, Jun 2: The administration of US President Donald Trump has signalled that it is stepping back from a proposed $1.776 billion “anti-weaponization” fund that was intended to compensate Americans who claimed they were unfairly prosecuted during the administrations of former presidents Joe Biden and Barack Obama.
The US Department of Justice said on Jun 1 that it would stop work on establishing the fund after a federal judge temporarily blocked its creation.
The proposal had faced strong criticism from both Democrats and Republicans, with opponents describing it as a potential “slush fund” that could benefit Trump's political allies. The controversy also complicated efforts by Republican leaders to advance legislation related to immigration enforcement.
A federal judge in Virginia on May 29 issued a temporary order preventing the administration from taking further steps to create or operate the fund, including transferring federal money or reviewing compensation claims. A hearing in the case is scheduled for Jun 12.
In a statement, the Justice Department said it would comply with the court's ruling while maintaining its disagreement with the decision.
The development followed discussions between Trump and Mike Johnson during a lengthy meeting at the White House. Reports indicated that concerns surrounding the fund were among the issues discussed.
According to media reports, the administration is now considering scrapping the initiative altogether.
The fund was announced on May 18 by Acting Attorney General Todd Blanche as part of a settlement in a lawsuit filed by Trump and his family against the Internal Revenue Service (IRS). The lawsuit sought $10 billion in damages over the disclosure of Trump's tax returns.
Under the settlement, the Trump family agreed to voluntarily withdraw the case in exchange for the creation of the compensation fund.
Critics raised concerns that the fund could potentially be used to compensate some of the nearly 1,600 Trump supporters who were convicted and later pardoned for their roles in the Jan. 6, 2021 attack on the US Capitol.
Senate Majority Leader John Thune publicly urged the administration to abandon the proposal.
The watchdog group Common Cause, which is among the plaintiffs challenging the fund in court, welcomed reports that the administration may be retreating from the initiative but said it would continue legal action until the decision is formally confirmed.
Under the original proposal, a five-member committee appointed by Blanche would have been responsible for determining eligibility and approving compensation claims.
Despite the growing backlash, Trump had defended the fund in recent weeks, arguing that it would provide justice to individuals whom he claimed had been targeted by a politically motivated justice system.
The future of the proposal remains uncertain as legal proceedings continue.