Economy

Todd Blanche moves closer to confirmation after rescinding $1.8B fund

Acting Attorney General Todd Blanche moved closer to Senate confirmation Sunday after formally rescinding a controversial $1.8 billion “anti-weaponization fund” and narrowing tax protections included in President Donald Trump’s IRS settlement.

A spokeswoman for Sen. John Cornyn, R-Texas, confirmed an agreement had been reached after Cornyn and Sen. Thom Tillis, R-N.C., held up Blanche’s nomination. The agreement could clear the way for Cornyn to support Blanche at a Senate Judiciary Committee meeting Tuesday. Tillis had not publicly commented on the agreement as of Sunday night.

The committee is scheduled to vote on the nomination Tuesday, needing all Republicans on board to counter Democrats, who remain entirely opposed to Blanche’s confirmation. An earlier committee vote was postponed after Cornyn and Tillis said they needed a written commitment from the administration.

Blanche formally met the senators’ demands by terminating the fund and clarifying that tax-related protections in the settlement apply only retroactively and do not cover future tax filings.

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The fund never became operational: no members were appointed, no money was transferred, no claims process was established, and no payments were made, according to the Justice Department.

“My team and I have met with committee members and Senators over the past several weeks and addressed any concerns or outstanding questions,” Blanche said in a post on X Sunday.

“We have enjoyed good faith discussions, and as a result issue the following order and update with regard to the May IRS settlement. The Department always welcomes and appreciates productive engagement with all members of Congress,” he added.

Blanche’s order formally rescinded the May 18 directive establishing the fund and clarified that tax-related protections in the settlement apply only retroactively, not to future filings.

Cornyn and Tillis had sought the commitment in writing amid concerns that the fund could be revived, particularly as Trump continued to publicly support the idea. Lawmakers had also raised concerns that people convicted in connection with the Jan. 6, 2021, Capitol riot could be eligible for payments.

“Sen. Cornyn has reached an agreement with the Department of Justice, which will be issuing a formal order permanently terminating the anti-weaponization fund and making clear in a binding written document that the scope of the audit settlement is limited to only the plaintiffs, including the President, and the IRS,” Natalie Yezbick, a Cornyn spokesperson, told Politico.

Tillis had not announced whether the agreement was enough to secure his support.

Tillis is expected to follow Cornyn in backing Blanche on Tuesday after saying on Saturday, before the agreement was reached, that Trump “clearly intends to resurrect the payout pot for punks either by inappropriately establishing another bogus fund or pushing Congress to vote for a bill that the majority of Republicans in the Senate would be against.”

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“It’s unfortunate that Todd Blanche, who I consider qualified for the job, will not be confirmed because of this reversal. Hopefully, we can resolve this by Tuesday,” Tillis said at the time.

Blanche has been serving as acting attorney general since he took over for Pam Bondi in April.

Senate Republicans hope to advance Blanche’s nomination before the end of the week.

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This post appeared first on https://www.foxnews.com

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