News of the Day: That Horrible Slush Fund for Traitors (or: the One with all the GIFs)
This Week's Joseph N. Welch Awardees for Courage in the Face of Tyranny
This week’s Executive Dysfunction.
Paywall free.
What’s Happening
So, let’s talk about that weaponization fund.
Very briefly, because there’s been a lot going on:
(1) During his first term, an IRS contractor leaked some of Trump’s tax returns. This was illegal, and he went to prison.
(2) After coming back to office, Trump sued the IRS for $10 billion (PF) (yeah, with a b; that’s not a typo), for not taking sufficient safeguards to protect his privacy.
Brief or not, I need to point out the sheer lack of awareness of irony here. Last year the IRS shared what was supposed to be immigrants’ tax data with DHS to help them round them up, which would be bad enough; we’ve since learned they included citizens’ tax data as well. The situation with Social Security is worse: DOGE contractors improperly shared that department’s’ data on a nonsecure server - the Trump administration admitted as much in court filings - and separately, a whistleblower alleges a DOGE worker “improperly accessed data and planned to share it” with his new, private-sector employer. The first question that springs to mind is where can every person who’s not the president in those databases go to sign up for their $10bn? (Followed closely by the second: seriously, what the hell?)
(3) Trump mused in an interview how odd it was because he was essentially settling with himself. That shouldn’t be true, but it is, and the fact he’s openly admitting it deserves a mention.
(4) The DOJ finally did settle, for $1.776 billion (cute…) for people victimized by the “weaponization” of the Department of Justice. It’s widely assumed this means the January 6th insurrectionist, which it would cover, but also anyone who thinks they’ve been unfairly investigated under Biden or even during Trump’s first term (PF). Trump himself is excluded, but he could easily use it to pay off his political allies.
(5) The “settlement” also comes with immunity from IRS investigation and tax penalties (PF), at least through when the agreement went into effect, for the president, his family, and their businesses.
(6) I don’t know that this has any legal effect, but this is a government document to resolve a lawsuit built on the premise that the DOJ was weaponized against Trump and his allies.
Worth noting: when settling a lawsuit it’s not unusual to include a legal agreement to drop future litigation related to the wrong. If I get in a car crash and settle for $50,000, I can’t later come back and demand more money because I was hurt worse than I thought. So the DOJ could maybe argue they’d settled Trump’s claim his privacy had been violated in this one instance and that investigation couldn’t be reopened. To say it closed all investigations into Trump across the board is something else entirely, and extremely unusual.
(7) Apparently “tax dollars for insurrectionists that killed cops” was a step too far even for this Congress, and holy heck broke out (PF). For complicated reasons, the Trump administration claimed they didn’t need Congress to appropriate the money like they usually would have, and are probably right on that point.
But Congress can still refuse to do other things while the fund was active to show their displeasure for Trump, and they did. There was a pending bill authorizing more funding for DHS, and enough of Congress refused to vote for it that it stalled.
(8) Separately, the judges overseeing the lawsuits resolved by this settlement were asked to investigate if the lawsuit involved a “fraud upon the court.” (PF) Basically, since the DOJ is clearly acting at Trump’s direction, he’s on both sides of the lawsuit, meaning there’s no real contention between two different sides like lawsuits require. The judge gave the DOJ a deadline to prove they hadn’t misrepresented the situation when they filed the lawsuit. On top of providing political cover, doing this through a court case let Trump access tax money for the weaponization fund without needing to go to Congress. If the judge found fraud, they could have invalidated the whole settlement agreement, including Trump’s immunity. The lawyers who filed the case could also have been disbarred.
(9) Todd Blanche declared the fund was “dead,” and Congress finally passed the DHS funding bill (PF). He said the immunity protections for the Trump family would stay in place (PF). It’s unclear if Judge Williams’s investigation of fraud on the court will continue, or if she’ll consider it moot because the government doesn’t plan to pursue the fund, or is claiming as much for now.
*deep breath* That’s as straightforward as I can make it. As I said, there’s been a lot going on.
What They Said
From Judge Williams:
The parties have used this lawsuit—which was never an adversarial proceeding over which the Court even had jurisdiction—as a means to allow a “commission” controlled by the President to dole out $1.776 billion in taxpayer dollars without constitutional or congressional authority to do so, and to confer unlawful private benefits to the President and his family by purportedly prohibiting the United States from prosecuting any and all claims against them.
And the parties have plainly tried to shield this conduct from necessary judicial scrutiny by short-circuiting this Court’s inquiry into whether the lawsuit is in fact an actual case or controversy by [seeking to dismiss the case] before they announced the “settlement”—clearly in hopes of preventing the Court from ever completing that inquiry, which, if it comes out against the parties, will undo their collusive “settlement.” ….
Accordingly, because “[t]he parties’ ‘collusive’ activity perpetrated a fraud on the judicial machinery itself, by fostering an appearance that the litigation involved adverse parties, when, in fact, it did not,” the Court should void its prior dismissal and reopen the case to assess in due course whether a fraud occurred.
And from Robert Reich:
Judge Williams pointed out that a settlement addendum that waives all tax claims the U.S. may currently have against Trump, his two eldest sons, and his businesses and trusts was signed only by Todd Blanche, the acting attorney general.
This could result in questions being asked of Blanche. Ultimately, it could result in his disbarment or even imprisonment. Recall that Nixon’s attorney general, John Mitchell, was convicted of conspiracy, perjury, and obstruction of justice for his role in the Watergate break-in and cover-up. He served 19 months of a two-and-a-half to eight-year sentence in federal prison before being paroled. He was the first attorney general in United States history to be incarcerated.
Let me just say that there are forces in this country — specifically, Judge Kathleen Williams and the bipartisan group of 35 former federal judges — bent on preventing Trump from exercising authoritarian power.
What it Means
This time I actually will be brief.
(1) Sometimes pushing back really works. Yes, even now.
(2) It takes all sorts doing their own parts. I’d never heard of Judge Kathleen Williams before last week, but I’m glad to know her name now.
(3) This one’s not dead yet, I’m afraid. Then again, neither are we.
(4) It’s not all about the money (doo-wop, doo-wop).
Musical Break
Related News
Will Sommer, The Bulwark: "MAGA Lawyers Shiv Each Other Over Trump’s J6er Fund"
Andrew Egger, The Bulwark: "Schrödinger’s Slush Fund"
The Bulwark: "Retired Judges Call Out Trump’s “Unprecedentedly Fraudulent Scheme”"
The New York Times: “‘I Love It’: Trump Is Still in Favor of $1.8 Billion Payout Fund” (PF)
New York Magazine: “Trump’s Anti-Weaponization Slush Fund May Yet Live” (PF)
Salon: “Santos, Lindell, Proud Boys eye Trump’s $1.8B fund” (PF)
Bloomberg: “Ex-VP Pence Calls Trump’s $1.8 Billion Fund ‘Deeply Offensive’”
Slate: “The Capitol Rioters Who Think America Owes Them More Than a $1.8 Billion Check” (PF)
The New York Times: “Fact-Checking the Trump Administration’s Inaccurate Claims About the $1.8 Billion Fund” (PF )
The New York Times: “The IRS Thought it Could Fight Trump’s Lawsuit, but it Struck a Deal Anyway” (PF)
Mother Jones: “Who Is Eligible For Trump’s Slush Fund Money? Blanche Won’t Say.” (PF)
More News on Trump’s Drive for Loyalty from MAGA
Adam Kinzinger: "Crawl on Glass, or Go Home"
Will Saletan, The Bulwark: "They Are Who We Thought They Are"
The New York Times: “Sorry, Republicans, Trump Doesn’t Love You Back” (PF)
Reason: “Ken Paxton's Primary Victory Shows How Trump's Grudges Undermine His Party's Interests” (PF)
Axios: “Trump's retribution tour seeks new, more loyal MAGA guard” (PF)
The New Yorker: “Inside Washington’s New Pardon Industry” (PF)
Rolling Stone: “Trump Taps Don Jr.’s 38-Year-Old Turkey-Hunting Pal to Lead FDA” (PF)
Foreign Policy: “Trump Is Doing What FDR Could Not” (PF)
Vox: “MAGA’s civil war over immigration is over. Silicon Valley lost.” (PF)
The New York Times: “Is JD Vance the 2028 Front Runner? Trump Has Questions.” (PF)
The Atlantic: “The J6 Rioter Now Working at the Pentagon” (PF)















