Acting Attorney General Todd Blanche announced documents withdrawing an order establishing an $1.8 billion fund and clarifying tax immunity limits, an agreement reached with Republican Senators John Cornyn and Thom Tillis to secure their confirmation votes. The two senators indicated they would support Blanche’s nomination at the Senate judiciary committee vote scheduled for Tuesday, characterizing the arrangement as addressing their concerns about the fund and tax settlement scope.
Democratic lawmakers and legal experts quickly contested the effectiveness of Blanche’s announcement, arguing the documents lack enforceability and leave open paths for revival. Brandon DeBot, policy director at NYU’s Tax Law Center, stated the assurances do not prevent future fund creation and criticized the absence of congressional action. Senator Richard Blumenthal asserted that tax immunity protections remain unlimited and the fund remains viable from Trump’s perspective. Jamie Raskin, ranking Democrat on the House judiciary committee, contended the announcement does nothing to prevent the administration from recreating the fund under a different name.
The underlying settlement stemmed from a $10 billion lawsuit filed by Trump, his sons, and his business over unauthorized release of tax returns. A federal judge previously characterized the suit as “bad-faith” designed to engineer favorable outcomes. Critics noted that Blanche’s rescission order does not modify the original settlement agreement, meaning Trump or his sons could theoretically sue to enforce it. Virginia Canter of Democracy Defenders Action characterized the agreement as “completely hollow,” stating Blanche could reverse course without all parties’ consent.
Trump himself undermined the assurances by praising the fund over the weekend and stating he had not reviewed Blanche’s agreement. Some conservative figures aligned with Trump similarly suggested the commitments could be rescinded following confirmation. Senator Dick Durbin, top Democrat on the judiciary committee, expressed skepticism about whether Blanche would maintain the promises post-confirmation. Additionally, legal observers noted that alternative mechanisms, including the Federal Tort Claims Act, could provide payment pathways to January 6 defendants independent of the disputed weaponization fund.
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