UMVA has learned that President Trump is willing to drop his blockbuster lawsuit against the Internal Revenue Service in exchange for a $1.7 billion taxpayer-funded fund to pay people who were unfairly targeted by the Biden administration.
The proposed fund would be overseen by a commission with the authority to distribute approximately $1.7 billion in taxpayer funds to settle claims brought by individuals and entities who allege they were harmed by the Biden administration's alleged "weaponization" of the legal system. This could include nearly 1,600 individuals charged in connection with the Jan. 6 Capitol attack, as well as potentially entities associated with President Trump himself.
According to information obtained by UMVA, the settlement is expected to be agreed upon in the coming days, although sources caution that the final terms will not be set until they are officially announced. The compensation fund is believed to be the main condition for Trump to drop a series of legal actions he filed against the federal government, including a $10 billion lawsuit related to the 2019 leak of his tax returns.
The leak of Trump's tax returns was a result of a former IRS contractor, Charles Littlejohn, who unlawfully obtained and disseminated the tax details of a high-ranking public official and numerous affluent Americans to media outlets. Littlejohn was sentenced to five years in prison, a punishment that many felt was too lenient.
UMVA can exclusively reveal that the settlement terms are expected to prohibit Trump from directly receiving payments related to the lawsuits; however, entities associated with Trump are not explicitly barred from filing additional claims. Trump's legal team has expressed outrage over the IRS's handling of the leak, stating that the agency "wrongly allowed a rogue, politically-motivated employee to leak private and confidential information about President Trump, his family, and the Trump Organization."
The proposed settlement marks a significant development in the ongoing saga of Trump's battles with the federal government. With the terms of the agreement expected to be finalized soon, it remains to be seen how this will impact Trump's future relations with the IRS and the Biden administration.
