Trump sued his own IRS for $10B — then "settled" with his former personal lawyer, now Acting AG, for $1.776B of your tax dollars.
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"I'm supposed to work out a settlement with myself." – Pres. Donald Trump
— Pres. Donald Trump
"It is unclear to this Court whether the Parties are sufficiently adverse to each other so as to satisfy Article III’s case or controversy requirement.”
It is as if somebody sued themselves and agreed upon a settlement with themselves that's going to be funded by the rest of us.
Eight steps, all on the public record.
Trump "was essentially suing himself, and the lawyers tasked with defending the other side worked for him.”LAWFARE ANALYSIS
* Settlement alleges that the fund’s dollar amount is not arbitrary, but “based on the projected valuation of future claimants’ claims.” The valuation just happens to reflect America’s founding year by coincidence.
One day after announcing the settlement, an addendum was added to the DOJ website, signed by Acting AG Blanche, without a dedicated press release. It was discovered when reporters noticed a new hyperlink in the existing DOJ announcement.
The addendum permanently bars the IRS from auditing any tax returns filed by Trump, his family members, and affiliated businesses — for any matters "currently pending or that could be pending."
Critics note that the original lawsuit concerned a privacy violation (a leaked return), not the substance of Trump's taxes. The addendum's scope extends far beyond what the lawsuit alleged.
QUESTION What would prevent more settlement addendums from quietly appearing on DOJ's website, at any time, of any scope? Do the legislative and judicial branches have any check on ostensibly self-serving executive "settlements"?
Congress holds the power of the purse. This $1.776B was not appropriated by any vote. Two federal lawsuits are already challenging it.
"No money shall be drawn from the Treasury, but in consequence of Appropriations made by Law."
Two lawsuits. One constitutional question.
Jan. 6 Capitol Police officers Harry Dunn and Daniel Hodges argue the fund will financially reward the rioters who attacked them, calling it "the most brazen act of presidential corruption this century." The fund's creation violates the separation of powers. The Appropriations Clause requires Congressional authorization. No such vote occurred.
FIRST LAWSUIT (PDF)A coalition led by fired Jan. 6 prosecutor Andrew Floyd and Democracy Forward Foundation sued on May 22. On May 29, Judge Brinkema (E.D. Va.) enjoined the fund — halting all transfers, claims processing, and disbursements while the case proceeds. Hearing: June 12.
COMPLAINT (PDF) ORDER (PDF)Imagine that — a fund that is set up to compensate people who assaulted Capitol police officers?
Courts, not this site, will determine the outcome. All legal positions are presented as active proceedings.
President Trump's initial $10B claim rested on "reputational and financial harm" from a tax document leak. Yet he repeatedly promised, on the record, to release those exact documents.
OBSERVATION Trump sought $10B in damages for the release of documents that he wanted to release.

In interview I told @AP that my taxes are under routine audit and I would release my tax returns when audit is complete, not after election!
Nobody knows, by design. No court oversees the process. No judge signs off. The commission writes its own rules.
Settlement never approved by a federal court
Zero dollars authorized by Congress
President can remove any member without cause
Only confidential reports to the AG who created it.
Acting AG Blanche cites the settlement fund established in Keepseagle v. Vilsack (the Native American Agriculture Fund) as legal precedent for the Anti-Weaponization Fund, while ignoring material differences in their origin and structure.
"The analogy that has been drawn to that case is grossly inaccurate."
— JOSEPH M. SELLERS
LEAD COUNSEL FOR THE PLAINTIFFS KEEPSEAGLE V. VILSACK PBS NewsHour ↗
Yes. A certified class of Native American farmers sued the USDA for documented loan discrimination. The government contested liability for years before settling. Parties were genuinely adverse.
No. Trump sued an agency he controls. His former personal criminal defense attorney — now Acting AG — privately negotiated a settlement on behalf of the U.S. in a few weeks.
Yes – and unlike ordinary settlements, court approval was legally mandatory under Federal Rule of Civil Procedure 23, because Keepseagle was a certified class action. A federal judge held a public fairness hearing, approved the settlement, and retained supervisory jurisdiction throughout the claims process.
No – the parties dismissed the case before any judge reviewed it. There was no public fairness hearing and no requirement that anyone represent the interests of the taxpayers footing the bill.
Eligibility was defined in advance by a court-certified class: Native American farmers who applied for USDA loans within specific dates. The administrator had discretion over award amounts — but not over who qualified. That threshold was set by a federal judge, in public, before a dollar moved.
Anyone claiming to be a "victim of weaponization," as determined by 5 AG-appointed commissioners. Adjudication criteria determined in secret. Jan. 6 defendants who physically attacked law enforcement are not excluded. Potential for abuse.
After 3,600+ Native American farmers were paid, $380 million remained unclaimed. A federal judge approved distributing the surplus to nonprofits already serving the same Native American farming community. The recipients were limited to the same subject matter and population as the original case.
The settlement states that unspent funds by Dec. 15, 2028 would be transferred to a federal account "designated by the President." No judicial or congressional control of public funds.
Claims were adjudicated by a court-appointed neutral (JAMS / Lester Levy) with no connection to either party — not removable by plaintiff – under published procedures with defined evidence requirements. Court retained supervisory jurisdiction and had to approve any changes to settlement terms.
A 5-person commission to be appointed by the Attorney General and removable by the plaintiff (President) at will. Settlement asserts that the commission will write its own rules and may publish them "in whole or in part, in its discretion."
Yes, class members could object, and two did – all the way up to the Supreme Court. SEE D. CRAIG TINGLE, NO. 16-5189; & K. MANDAN, NO. 16-5190
No, the settlement explicitly bars any appeal, arbitration, or judicial review of any determination made by the fund. A denied claimant has no recourse inside the fund's secret processes.
Yes, the settlement was part of a public court record, modifications required court approval and public notice to class members, and the claims process operated under continuing judicial jurisdiction. Accountability was structural, not discretionary.
No, the settlement only requires confidential reports to the Attorney General. Blanche asserts that recipient names may be withheld under "privacy laws" or "privilege." Critics flag this lack of transparency as formula for political patronage and abuse.
"I don't even think we have a word for how unprecedented this is. This is in a totally different solar system than any past government settlement on record."
— Adam Zimmerman, Professor of Law, USC Gould School of Law PBS NewsHour ↗
Sources: Keepseagle v. Vilsack No. 99-cv-3119 (D.D.C.) · Trump v. IRS No. 1:26-cv-20609 (S.D. Fla.) · Settlement Agreement, May 18, 2026 · AG Order, May 19, 2026 · Senate Appropriations Hearing, May 20, 2026 · PBS NewsHour · Spectrum News · The Hill · CNN · Cohen Milstein case summary
Primary documents and credible reporting only. No partisan opinion. Read for yourself.
DOJ.GOV · SIGNED BY ASSOC. AG WOODWARD
HOUSE LITIGATION TASK FORCE · "COLLUSIVE"
COURTLISTENER · S.D. FLORIDA
JUSTICE.GOV · ANNOUNCEMENT
LAWFARE · JUDGMENT FUND HISTORY
LAWFARE · STATUTE / EMOLUMENTS
U.S. TREASURY DATASET
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