Justice Department creates nearly $1.8 billion claims fund as Trump drops IRS lawsuit
The Facts
- The Justice Department announced a fund of roughly $1.7 billion to $1.8 billion to compensate people who say they were subjected to government "weaponization" or politically motivated treatment.
- Trump, Donald Trump Jr., Eric Trump and the Trump Organization moved to dismiss their $10 billion lawsuit against the IRS in federal court in Miami.
- Multiple outlets reported that the fund was created as part of the settlement or exchange for Trump dropping the IRS lawsuit.
- The lawsuit stemmed from the leak of Trump's tax return information, which the plaintiffs said the IRS and Treasury failed to prevent.
- The Justice Department said Trump and the other plaintiffs would receive an apology but no direct monetary compensation from the new fund.
- Public reporting indicates that people who could seek compensation may include pardoned Jan. 6 defendants and others who claim they were unfairly investigated or prosecuted.
- The dismissal came shortly before a May 20 court deadline tied to questions about whether a live legal dispute still existed because Trump now oversees the IRS through his administration.
- Key operational details of the fund, including exactly who will qualify and how claims will be evaluated, were not fully spelled out in the initial announcement and reporting.
How left and right are reading this
- Both agree
- A large Justice Department compensation fund is being created as the IRS suit is dropped, with Trump receiving only an apology and the basic standards for who qualifies and how claims are judged still not clearly defined.
- They split on
- Less a disagreement than a question of emphasis: the risk of an expansive, underdefined process compensating politically charged claims, versus the significance of the government formally recognizing that some people may have faced politically motivated treatment.
Analytical frames for this storyTap to explore
Context
What lawsuit did Trump drop?
It was a $10 billion lawsuit against the IRS and Treasury Department over the leak of Trump's tax returns and related tax information. Trump, Donald Trump Jr., Eric Trump and the Trump Organization were plaintiffs in the case Aol,Hill,Newsweek.
Will Trump personally get money from the new fund?
No. The Justice Department said Trump would not receive money from the fund, and reports said the plaintiffs instead would receive an apology as part of the settlement NYT,BBC,News18.
What is still unclear about the fund?
Reporting says the administration has not fully detailed who will be eligible, how claims will be reviewed, or how much individual claimants could receive. While some reports say people such as pardoned Jan. 6 defendants may apply, the full scope of the program remains unsettled in public disclosures NYT,Aol,Yahoo! Finance.
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Wire services (9)
Independent coverage (50)
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FranceinfoLe gouvernement de Donald Trump crée un fonds susceptible d'...
El HuffPostTrump se inventa un fondo de casi 1.800 millones para compen...
MoneyControlWhy Trump's controversial $1.8 billion "weaponization" fund ...
CNN EspañolEl plan de compensación de Trump es una metáfora de una pres...
The Times of IndiaDOJ announces $1.8bn fund to compensate Trump allies
CNN InternationalAnalysis: Trump's compensation plan is a metaphor for a braz...
The Wall Street JournalTreasury Lawyer Quits as Government Settles Trump IRS Suit
The Daily BeastTrump Gives Brazen Excuse for Shocking MAGA Grift
Le Parisien" Une caisse noire avec l'argent de vos impôts " : Trump cré...
News18Trump Settles IRS Case As DOJ Creates $1.8 Billion 'Weaponiz...
cnbctv18.comDonald Trump drops IRS lawsuit in exchange for DOJ $1.7 bill...
The Jerusalem PostTrump drops IRS lawsuit in exchange for DOJ 'weaponization' ...
Le Monde.frL'administration de Donald Trump crée un fonds pour indemnis...
CNN InternationalWhat to know about Trump's $1.8 billion taxpayer-fueled fund...
AolWho could benefit from Trump's $1.7+ billion "weaponization"...
CBS NewsWho could benefit from Trump's $1.7+ billion "weaponization"...
CBS NewsTrump settles $10 billion lawsuit against IRS over tax retur...
Express.deTrump-Fonds: Sollen Kapitol-Stürmer entschädigt werden? Heft...
Le Figaro.frTrump crée un fonds de 1,8 milliard de dollars pour indemnis...
CBS NewsTrump proposes $1.7B fund to compensate allies investigated ...
The IndependentVance harps on fraud as Trump pledges $1.7B in public funds ...
DIE WELT"Schmiergeld": Trump erntet wegen Entschädigungsfonds Kritik...
T-online.de"Schmiergeld": Trump erntet wegen Entschädigungsfonds Kritik
ZEIT ONLINEJustiz in den USA: "Schmiergeld": Trump erntet wegen Entschä...
stern.de"Schmiergeld": Trump erntet wegen Entschädigungsfonds Kritik
20minutesLe gouvernement Trump crée un fonds pour ses partisans pours...
Hindustan TimesHillary Clinton targets Trump over 'anti-weaponization' fund...
www.elcolombiano.comTrump retira demanda millonaria por filtración de sus impues...
ForbesWhy Trump's $1.8 Billion IRS Settlement Could Actually Cost ...
El CronistaTrump cambia su demanda contra el fisco de EE.UU. por un fon...
Deutsche WelleTrump drops IRS lawsuit, gets billion-dollar "victim's fund"
Economic TimesDonald Trump's IRS lawsuit dismissed with a $1.76 billion fu...
Yahoo NewsTrump admin creates $1.7 bln fund to compensate allies prose...
Ouest FranceLe gouvernement Trump crée un fonds d'indemnisation pour ses...
Fox NewsApologies and cash headed to alleged 'weaponization' victims...
BioBioChileTrump retira millonaria demanda contra el fisco por la filtr...
The New York TimesTrump's 'Anti-Weaponization' Fund, Explained
mintTrump Administration announces $1.7 billion fund for support...
NDTVTeam Trump Creates $1.7 Billion Fund For Allies Prosecuted U...
Al Jazeera OnlineTrump drops IRS lawsuit, sets up $1.7bn US anti-weaponisatio...
Yahoo NewsTrump administration creates $1.776 billion fund for allies ...
CBS NewsTrump settles $10 billion lawsuit against IRS over tax retur...
eldiario.esTrump crea un fondo de 1.776 millones para compensar a sus a...
ZEIT ONLINEUSA: US-Justizministerium schafft Entschädigungsfonds für Tr...
LaVanguardiaTrump instaura un fondo de 1.776 millones para compensar a l...
The HillTrump dropped IRS suit in deal to create $1.776B 'anti-weapo...
The Times of India$1.7 bn for Trump's allies? New 'Anti-Weaponization Fund' sp...
Raw Story'This is a criminal act': DOJ's $1.776 billion 'slush fund' ...
BBCJustice department sets up $1.7bn fund to compensate Trump a...
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