Trump Drops IRS Lawsuit for Apology and $1.776B Victims Fund, Allowing Hunter Biden to Apply
WASHINGTON – President Trump has dropped his $10 billion lawsuit against the IRS in return for an apology and the creation of a $1,776,000,000 billion fund to support victims of federal government misuse.
Anyone who feels they have been unjustly targeted by any administration may be eligible to seek compensation through the Justice Department's newly established Anti-Weaponization Fund — this includes individuals charged in relation to the January 6, 2021, Capitol riot and even discredited former first son Hunter Biden, according to a senior administration official speaking to The Post.
The goal here isn't to turn every January 6 participant into a millionaire," the official stated. "The aim is to provide compensation and restore some of their self-worth and what they've lost, including financial resources, whether it's for legal expenses or other related costs they faced.
President Trump, his sons Don Jr. and Eric, and the Trump Organization — all of whom were involved in the IRS lawsuit — are not eligible for any payment from the fund, but will be given an official apology.
The Monday agreement will not impact Trump's individual claims concerning the FBI's August 2022 search of Mar-a-Lago or the FBI's inquiry into alleged coordination between the president's 2016 campaign and the Russian government.
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When Trump returned to power in January 2025, he promised to stop the use of government authority for political purposes, stating in his second inaugural speech: "Never again will the great power of the state be used to target political adversaries — something I have personal experience with."
The agreement arrives as Trump and the Department of Justice encountered a deadline this week to explain why the case should continue.
Several factors are taken into account when determining restitution from the fund, including the validity of the claim, the claimant's actions, the legal fees incurred, and the degree to which the claimant has already received any type of compensation.
Hunter Biden was found guilty of federal tax and gun-related charges and subsequently received a pardon from his father, President Joe Biden. Nevertheless, the younger Biden incurred millions in legal expenses and theThe law firm that is representing him is still pursuing payment..
I potentially expect it," the official stated when asked if Hunter Biden might submit a claim. "Whether the commissioners will support that view and believe he should be compensated remains to be seen.
The official statement indicates that the agreement does not require a claimant to be a Republican or a victim of a particular administration. Individuals and organizations alike are eligible to apply.
We didn't restrict it in that manner, as we genuinely saw it as, and this is what the president has stated, that the Department of Justice was utilized as a weapon for entirely inappropriate reasons, and if Hunter Biden believes the Department of Justice was used against him, he has the right to apply.
The fund will consist of five board members, all selected by Acting Attorney General Todd Blanche, plus one who will be chosen in collaboration with Congressional leaders. The president has the authority to remove board members at any time without needing to provide a reason.
"The main reason we are doing this is because the misuse of power takes many different shapes, and having five commissioners, each offering their own distinct viewpoint on how to address it, was our primary objective," the administration official stated.
Blanche has not yet made a decision regarding his appointments, as reported by a senior administration official, with Speaker Mike Johnson (R-La.) and Senate Majority Leader John Thune (R-SD) expected to be involved in the coming days.
The board has the authority to offer apologies and provide financial compensation or ask for additional details, including from the person making the claim and any applicable organizations.
The claims that are approved will be governed by FOIA regulations and federal inspections, and they must be disclosed to the attorney general.
The fund will expire on December 15, 2028, with any leftover funds returning to the federal government.
There is a history of creating similar funds. In 2010, the Obama administration resolved the Keepseagle v. Vilsack class-action lawsuit filed by Native American farmers by setting up a $680 million compensation fund and offering up to $80 million in farm loan debt relief.
The Trump family initiated legal action against the IRS on January 29, alleging that the government did not safeguard their private tax documents, which were disclosed to the New York Times in 2019.
Chaz Littlejohn, a contractor for the IRS, admitted guilt to a single charge of improper release and wasreceived a five-year prison sentence in January 2024.
Littlejohn also provided tax records of numerous affluent Americans, some of whom have subsequently filed lawsuits against the federal government, to ProPublica.
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