The Trump administration plans to withdraw the Justice Department’s $1.8 billion anti-weaponization fund in the face of legal and political backlash, reports said Monday.
The fund was established as part of President Donald Trump’s $10 billion settlement of a lawsuit against the Internal Revenue Service. It aims to compensate alleged victims of prosecutorial overreach by the Justice Department under the Biden administration.
In addition to the Justice Department creating a fund, the settlement included an agreement to protect Mr. Trump and his family from any enforcement action, including audits related to tax returns taken before the agreement was announced.
Reports that the fund was being frozen came after House Speaker Mike Johnson (R-Louisiana) met with President Trump at the White House about the fund.
“I think the best way to deal with this is for the administration to decide on its own to shut down,” Senate Majority Leader John Thune (D) told reporters on Monday.
U.S. President Donald Trump speaks with members of the media on the South Lawn of the White House before boarding Marine One on Friday, May 8, 2026 in Washington, DC, USA.
Aaron Schwartz | Bloomberg | Getty Images
In a report on Monday, Axios quoted a senior government official as saying the fund “will not be operational for the foreseeable future.”
Separately, Punchbowl reported, “The administration is expected to comply with the court order and announce that it will not proceed with the development of the weaponization fund.”
MS NOW made the announcement shortly after confirming Axios’ report.
On Friday, a federal judge blocked the Justice Department from taking any steps to create the fund or disburse any money from it as the lawsuit against the fund progresses in U.S. District Court in Alexandria, Virginia.
Judge Leonie Brinkema also scheduled a June 12 court hearing on whether to uphold the injunction against the fund.
Brynma is overseeing one of three federal lawsuits seeking to block the fund.
On Monday, when asked about reports that the fund would be eliminated, a Department of Justice spokesperson told CNBC in an email: “The Department of Justice strongly disagrees with the decision regarding the Anti-Weaponization Fund made by a judge in the U.S. District Court for the Eastern District of Virginia. The court stated that under no circumstances can the Department of Justice proceed with the operation of the Anti-Weaponization Fund, which was recently established to make up for the tremendous abuse, harm, and hatred that has been unfairly shown to so many people.” people. ”
“This fund is available to anyone who has been weaponized, targeted or persecuted, whether Democrat, Republican, Conservative, Independent or otherwise,” the spokesperson said. “The ministry will abide by the court’s ruling.”
Brinkama’s ruling only temporarily suspended the funds, not permanently.
When asked for comment on the fund’s fate, the White House referred CNBC to a post on X by the Justice Department that included a statement that it would abide by Brynma’s ruling.
Mr. Brynma’s order suspending the fund came hours before another federal judge in Miami effectively reopened Mr. Trump’s lawsuit against the IRS, a settlement that triggered the creation of the fund. Trump had sued the IRS over leaks of his tax records by IRS employees.
In resuming the case, Judge Kathleen Williams said she wanted to investigate “serious allegations” that Trump and the Justice Department voluntarily dismissed the case to avoid scrutiny of its merits.
Williams’ move comes after a group of 35 former federal judges urged her to reopen the case, arguing in a court filing that “a purported ‘settlement’ that the parties have never instituted before this court raises serious questions about the parties’ integrity with the court and the operation of the judicial system, and threatens to undermine confidence in the administration of justice.”
On Monday morning, Senate Minority Leader Chuck Schumer of New York said Democrats would “launch a concerted effort to eliminate slush funds before a penny is left.”
Schumer said Democrats would introduce a series of amendments during an expected reconciliation vote to fund immigration enforcement agencies within the Department of Homeland Security, forcing Republican senators to vote on the fund.
Following criticism of the fund within the Senate Republican caucus last month, Republican senators withdrew plans to hold a reconciliation vote before the Senate went into recess.
“If Trump and the Republican Party really want to abandon this corrupt program, they should have no problem outlawing it,” Schumer said in a tweet late Monday.
“This week, Senate Democrats will pass legislation to ban this slush fund and ensure the president can’t do it again,” Schumer said. “President Trump’s words are never enough.”
