Federal judge extends block on Trump administration’s $1.8 billion compensation fund
The Facts
- U.S. District Judge Leonie Brinkema extended an existing court block and issued a preliminary injunction preventing the Trump administration from creating or operating the roughly $1.8 billion fund while the case continues.
- The Justice Department argued the lawsuit was moot after acting Attorney General Todd Blanche said the administration was not moving forward with the fund, but the judge rejected that argument.
- Brinkema said statements from administration officials were insufficient because they were not made under oath, and she gave the administration about one week to submit a sworn statement that the fund will not go forward.
- Multiple reports said the judge remained unconvinced the fund was definitively abandoned, citing Trump’s comments and the lack of a formal rescission or sworn disavowal from the administration.
- The proposed fund was described by the administration as a way to compensate people who say they were victims of politicized or improper government investigations or prosecutions.
- The fund was tied to a settlement involving Trump’s lawsuit over the leak of his tax returns, which is why the court fight matters beyond Friday’s hearing: it affects whether settlement money can be used for the proposed compensation program.
How left and right are reading this
- Both agree
- Formal, sworn accountability is required before a roughly $1.8 billion fund tied to settlement money can be treated as abandoned; informal public assurances were not enough to lift the court block or make the case moot.
- They split on
- Less a disagreement than a question of emphasis: the rule that an administration must formally disavow a major compensation program under oath, versus the practical stakes for whether settlement money can still be used to create it.
Context
Why did the judge keep the fund blocked if the administration said it was ending the plan?
Brinkema said public assurances were not enough because they were not made under oath, and she pointed to Trump’s comments and the lack of a formal rescission as reasons she was not convinced the plan was definitively over Investing.com,NBC News,POLITICO.
What was the fund supposed to do?
According to the administration’s description in court coverage, the fund was meant to compensate people who claimed they had been targeted by politicized or improper government investigations or prosecutions Washington Post,POLITICO,PBS.org.
What happens next in the case?
The administration has about a week to provide a sworn statement that the fund will not move forward; until then, the preliminary injunction remains in place and the lawsuit continues rather than being dismissed as moot Investing.com,CNBC,CNN.
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