Trump Comments On Blanche Decision
Acting Attorney General Todd Blanche just pulled the plug on a massive $1.8 billion fund that had everyone talking. He issued an order Sunday night to kill it. The plan was to pay out money to people claiming the government targeted them unfairly. Now, per NBC News, that order is officially rescinded and has no force or effect. Blanche's signed statement declares that the order establishes there is no fund. This move clears the biggest roadblock to his permanent job.
The deal happened right before a key Senate vote. Two powerful RINOs, John Cornyn and Thom Tillis, had stopped the process. They wanted written proof the fund was dead. Blanche met with them for weeks. He informed NBC News that his team had met with Senators and committee members to address any outstanding questions or concerns. Now he has the votes he needs to move forward.
This fund started as part of a settlement between Donald Trump and the IRS. It was worth nearly $1.8 billion. The money came from a lawsuit Trump filed over leaked tax returns. Per the Washington Examiner, the fund was meant to compensate people who felt unfairly investigated. But critics saw a big danger. They worried the money would go to people involved in the Jan. 6 riot at the Capitol. Lawmakers on both sides of the aisle pushed back hard against that idea.
My team and I have met with committee members and Senators over the past several weeks and addressed any concerns or outstanding questions. We have enjoyed good faith discussions, and as a result issue the following order and update with regard to the May IRS settlement. The… pic.twitter.com/U6hs15kw2D
— Acting AG Todd Blanche (@DAGToddBlanche) August 3, 2026
There was another part of the deal that worried senators too. It involved tax audits. The settlement tried to stop the government from auditing Trump, his family, and their companies. According to ABC News, Cornyn wanted written proof that this protection would not extend to other groups. Blanche issued a second order to clarify this. He said the immunity only applies to the specific people in the original lawsuit. This gave Cornyn and Tillis the assurance they needed to stop stalling.
Here is the twist nobody expected. President Trump is not happy about killing the fund forever. He told reporters Sunday afternoon that the plan could come back. Per the Washington Examiner, Trump said a lot of people like it. He made a very specific threat about what happens if the Senate rejects Blanche. If they don't approve Todd, I could put it back on the table, Trump warned. This means the $1.8 billion might return if Blanche loses his confirmation.
Blanche has been acting in this role since April. He took over after Trump fired Pam Bondi. He has been pushing for the fund to be scrapped. Per the Washington Examiner, he has said repeatedly that plans for the fund will not move forward. Now he has made it official. But the President's words show the deal is fragile. It depends entirely on the Senate confirming Blanche as the permanent Attorney General.
This situation shows how quickly government money can vanish or reappear. One order kills a fund. One phone call from the President could bring it back. It all hinges on a vote in the Senate Judiciary Committee. The committee is set to vote on Blanche's nomination in two days. If they say yes, the fund stays dead. If they say no, the President might just sign the order again.
Every dollar in that fund came from taxpayers. The idea of using it to pay people involved in a riot was never right. Blanche did the right thing by killing it. But the threat of its return means the fight is not over. We need to watch the vote closely. The Senate must confirm Blanche to keep that money away from the people who broke the law. That is the only way to ensure the fund stays gone for good.
