Earlier this year, Trump filed a $10 billion lawsuit against the IRS over the leak of his tax returns by a private contractor in 2019 and 2020. The lawsuit immediately triggered questions about conflicts of interest: How could the Justice Department and IRS now controlled by Trump appointees defend against a lawsuit brought by their boss?
But before the lawsuit advanced, Acting Attorney General Todd Blanche revealed that a settlement had been reached. Instead of a payout to Trump, the settlement would result in the establishment of the nearly $1.8 billion fund to make payouts to people described in the settlement as victims of government weaponization.
The announcement generated particular excitement among hundreds of people Trump pardoned for their roles in storming the Capitol on Jan. 6, 2021, with many announcing their intention to pursue payouts. Police officers who defended the Capitol and former Justice Department prosecutors who pursued Jan. 6 defendants sued to block the fund altogether, with another judge earlier Friday ordering a two-week pause on its establishment.
A spokesperson for Trump’s legal team did not immediately respond to a request for comment.
In her four-page order Friday, Williams indicated that she’s considering reopening the case. She also noted the former judges’ suggestion that Trump’s attorneys knew from the start that their lawsuit had no merit and filed it solely to justify a purported settlement that the administration wanted to announce.
The judge added that a federal court rule requires attorneys to ensure that court filings are “not presented for any improper purpose.”