‘Greatest abuse of the legal system in history’: Trump’s $1.7 billion fund for his allies has ethics experts sounding the alarm

President Trump has created a $1.7 billion “anti-weaponization fund” as part of a settlement with the Internal Revenue Service and the Treasury Department. The fund is meant to provide financial relief to people who claim they were mistreated by the Justice Department during Trump’s second term. 

According to CBS News, Ethics experts and government watchdog groups are calling it the “greatest abuse of the legal system in history.” The fund is one of several steps Trump has taken to benefit his supporters. He has also pardoned over 1,500 people convicted of crimes related to the Capitol insurrection, stripped security clearances from people he sees as enemies, and pushed the Justice Department to investigate them.

According to a memo signed by Acting Attorney General Todd Blanche, the fund will be run by a five-member commission appointed by the attorney general. The commission will have the power to issue formal apologies and give money to claimants. However, it is still unclear who exactly is eligible, how claims will be processed, and who will be making the final decisions.

Trump’s highest-profile allies are likely to be the biggest beneficiaries of the fund

Jan. 6 rioters, including those convicted of violent behavior but later pardoned by Trump, could apply for money from the fund. High-profile former Trump administration and campaign officials who were in legal battles with the Justice Department may also benefit. For example, Mark Houck, an anti-abortion activist who was acquitted in early 2023 on FACE Act charges, is reportedly set to receive $1.1 million from the Justice Department to settle his lawsuit.

Michael Flynn, a former Trump national security official, has also been awarded at least $1.25 million in settlement negotiations. These cases give a clearer picture of who is likely to access the fund and how much money could be involved. This comes at a time of broader tension in Trump’s foreign policy, as experts warn about how US-China relations could escalate into conflict.

Richard Briffault, a professor at Columbia University Law School who specializes in government ethics, has described the fund as an “open-ended slush fund.” He raised serious concerns about how decisions will be made. “It’s not clear what – if any – kind of screening mechanism they’re going to use. How they can decide who’s going to get how much money,” Briffault said.

Liz Oyer, a former pardon attorney at the Justice Department, went further, calling the fund a “criminal conspiracy” between the Trump legal team and the Justice Department. “There’s no transparency. The five members of the fund appear to have total discretion to award money to whomever they choose. There does not appear to be any oversight mechanism,” Oyer said.

The nonprofit Citizens for Responsibility and Ethics in Washington condemned the settlement as “the most brazen act of self-dealing in the history of the presidency.” CREW president Donald K. Sherman said it “quite likely” violates the Constitution’s Domestic Emoluments Clause. 

The clause prohibits the president from receiving gifts or benefits from foreign or domestic entities. The Trump family’s business dealings have also faced scrutiny elsewhere, including a recent dispute over Eric Trump’s alleged ties to China.