DOJ Rescinds $1.8B Fund in Writing

After weeks of brinkmanship, a secretive $1.8 billion justice “slush fund” is now dead on paper—and that one-page order may decide who really runs the law in Washington.

Story Snapshot

Acting Attorney General Todd Blanche issued a written order formally rescinding President Trump’s $1.8 billion “anti-weaponization fund.”
Republican Senators John Cornyn and Thom Tillis, who had blocked Blanche’s nomination, say the deal clears the way to support his attorney general bid.
The new order also narrows a controversial tax audit immunity deal for President Trump and his family.
The fight shows how even powerful Republicans no longer fully trust verbal promises from the Justice Department and demand binding written limits.

Blanche Puts Controversial Fund “In Writing” to Save His Nomination

Acting Attorney General Todd Blanche posted a signed order late Sunday that says the earlier directive creating the Anti-Weaponization Fund “is rescinded and shall have no force or effect.” The fund, tied to a tax lawsuit settlement between President Trump and the Internal Revenue Service, was designed to steer up to $1.8 billion in taxpayer money to people the administration said were targets of government “weaponization.” For weeks, that plan turned Blanche’s nomination into a hostage in the Senate Judiciary Committee.

Texas Senator John Cornyn and North Carolina Senator Thom Tillis, both Republicans, had refused to let Blanche’s confirmation advance unless the Justice Department formally killed the fund. They did not just want hearing sound bites or friendly letters; they wanted a legal document that could be waved in court, saying the fund no longer exists. After Blanche posted the rescission on X, aides for Cornyn confirmed that the agreement met their demands and cleared the “principal obstacle” to supporting the nomination.

Rescission Order Also Limits Trump’s Tax Audit Shield

Blanche’s Sunday night move did more than end the fund. The Justice Department also released language narrowing a separate part of the Trump–Internal Revenue Service settlement that had worried both parties on Capitol Hill. That earlier deal seemed to give President Trump, some family members, and the Trump Organization sweeping immunity from future tax audits. Blanche’s new order says the protection applies only to past years covered by the original dispute and does not bar audits of future tax returns.

For many Americans, this part of the deal may matter even more than the fund itself. Both liberals and conservatives complain that wealthy political figures play by different tax rules than everyone else. Narrowing the immunity clause does not erase the special treatment already given, but it does stop short of giving the president and his businesses a permanent shield. That helps explain why Cornyn and Tillis framed their agreement as defending basic fairness in how the Internal Revenue Service treats taxpayers, not as a favor to the White House.

Why Two Republican Senators Took on Their Own Party’s Administration

Blanche had already told Congress, more than once, that “we are not moving forward with the fund, period,” and that it was “dead.” Justice Department lawyers also told federal judges the same thing in court filings. Still, Cornyn and Tillis refused to back down until they saw a signed order. That stubbornness shows how far trust in federal agencies has fallen, even inside the party that currently controls the White House, Senate, and House.

Conservatives have long argued that Washington uses the justice system to punish political enemies, while liberals say the real problem is special deals that let powerful insiders escape consequences. The Anti-Weaponization Fund managed to touch both nerves at once. Critics on the right saw it as proof that the system had been “weaponized” and now needed a payoff fund to fix it. Critics on the left saw it as a rich man’s pool of hush money for allies. With such deep anger on both sides, Cornyn and Tillis likely understood that simply taking Blanche at his word would not fly back home.

What This Fight Says About the “Deep State” and the Rule of Law

Supporters of President Trump framed the fund as help for people who were unfairly targeted by the government, including January 6 defendants and other allies. Opponents called it a “slush fund” that would let politicians use public money to reward loyalty and punish critics. By forcing Blanche to rescind the fund in a formal, public order, Cornyn and Tillis tried to close off one more path for political insiders to move billions behind closed doors. That is a win for transparency, at least on paper.

Todd Blanche's nomination wasn't moving.

Then DOJ put its promises in writing.

Blanche formally rescinded the $1.8 billion Anti-Weaponization Fund, and DOJ clarified that the IRS settlement applies only to the named plaintiffs and previously filed tax returns.

That was enough.… pic.twitter.com/3qJnvikKPp

— P a u l ◉ (@SkylineReport) August 4, 2026

At the same time, the underlying settlement that created the fund still exists and can only be changed if the Trump side and the government sign a new agreement together. Blanche’s order cancels the implementation of the fund but does not rewrite the deal itself. That detail feeds a wider fear shared by many voters: even when Congress pushes back, elite lawyers can leave back doors open in complex agreements. The written rescission ends the immediate threat, but it also reminds Americans that watching the fine print in Washington is now a full-time job for anyone who cares about equal justice.