Attorney General nominee drops $1.8 billion anti-weaponization fund as Senate prepares confirmation hearing
Acting AG Todd Blanche withdrew a proposed $1.8 billion fund for alleged government targeting, a move that may ease his Senate confirmation, while President Trump announced the cancellation of planned strikes on Iran.
Acting Attorney General Todd Blanche sent a letter on Thursday rescinding a $1.8 billion "anti-weaponization" fund that was intended to compensate individuals who claim they were unfairly targeted by the federal government. The fund was part of a settlement in a lawsuit filed by President Trump against the IRS over leaked tax returns. Republican senators John Cornyn and Thom Tillis have withheld their support for Blanche’s nomination because they oppose the fund, and the withdrawal removes a key obstacle ahead of his confirmation hearing.
"The provision of the deal that protects Trump and his family from future IRS tax audits was not addressed in Blanche's order," NPR’s Claudia Grisales said, adding that the move leaves unanswered questions about whether Blanche has enough Republican backing on the Senate floor.
The Senate is set to begin its final session before a recess in mid-September, with the confirmation hearing for Blanche on the agenda. With the Republican majority holding a slim margin, even a few dissenting votes could jeopardize the nomination.
Over the weekend, President Trump posted that the United States was calling off planned strikes on Iran after “the perimeters of a deal” were reached, crediting allies for persuading him to avoid renewed attacks. The U.S. and Israel had been poised to target Iran’s energy infrastructure. Trump said the prospective agreement would fully reopen the Strait of Hormuz and eliminate Iran’s nuclear threat.
"When it comes to the war, Trump has been in a pattern of threatening military strikes, then backing off and saying a diplomatic resolution has been reached," NPR’s Hadeel Al-Shalchi noted, describing a recurring cycle since the initial U.S.–Iran deal in April.
Following Trump’s announcement, oil prices fell sharply, with Brent crude dropping about 8 % to roughly $83 a barrel.
In a separate development, Capital One disclosed in a new court filing that it closed roughly 385 accounts linked to the Trump Organization in mid-2021 after an internal anti-money-laundering review. The bank has asked a federal judge to dismiss a lawsuit alleging the closures were politically motivated retaliation after the Jan. 6 Capitol riot.