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Court halts Trump administration's $1.8bn compensation fund
The US Department of Justice (DOJ) announced on Monday it will adhere to a federal court ruling that temporarily blocks a $1.8 billion fund designed to compensate individuals alleging political targeting by previous administrations. The decision follows a lawsuit challenging the fund's legality.
DOJ defends fund despite legal setback
In a statement posted on X, the DOJ expressed strong disagreement with the court's decision but confirmed it would comply. The department argued the fund was created to address "tremendous abuse, harm, and hate" suffered by individuals across the political spectrum, including Democrats, Republicans, and independents.
The fund, announced last month as part of a settlement agreement with former President Donald Trump over the leak of his tax returns, was described by the DOJ as open to anyone who claimed to have been "weaponized, targeted, or persecuted."
Legal challenge and political opposition
US District Judge Leonie Brinkema issued a temporary injunction last week, barring the DOJ from establishing or operating the fund until a preliminary hearing on 12 June. The order followed a lawsuit filed in Virginia by two plaintiffs who argued the fund was discriminatory and excluded them despite their claims of political retribution.
The DOJ had previously defended the fund's legality, stating it was "extremely confident" in its legal standing. However, the fund has faced bipartisan criticism, with lawmakers from both parties voicing opposition.
Bipartisan backlash
Senate Majority Leader John Thune, the top Republican in the chamber, urged the White House to abandon the fund, tying its fate to the passage of a $72 billion budget reconciliation package for immigration agencies. "The best way to handle it is if the administration decides to shut it down themselves," Thune said.
Senate Democratic Leader Chuck Schumer also condemned the fund, announcing plans to introduce legislation to ban it permanently. "Senate Democrats will push legislation to ban Trump's corrupt MAGA slush fund and ensure that no president can ever do this again," Schumer wrote on X.
Public and political figures weigh in
Former Vice President Mike Pence, who served under Trump, criticized the fund over the weekend, calling it a "bad idea from the start" and urging its termination. Many Trump supporters, including those prosecuted for their roles in the 6 January 2021 Capitol riot, had expressed intentions to file claims.
Acting US Attorney General Todd Blanche, a former personal lawyer for Trump, announced the fund last month after assuming the role following the ouster of Pam Bondi in April.
Next steps
The DOJ is expected to present its arguments at the 12 June hearing, where Judge Brinkema will consider whether to extend the injunction or allow the fund to proceed. The White House has deferred all comments on the matter to the Justice Department.
