A federal judge has ordered former President Donald Trump to respond to allegations of fraud and deception in a settlement that led to the creation of a $1.776 billion "anti-weaponization fund." The order comes after dozens of retired federal judges asked the court to reopen the case, arguing that Trump and the Justice Department may have deceived the court into dismissing the lawsuit. Judge Kathleen Williams directed Trump's legal team to file a response by June 12, addressing claims that the lawsuit was "collusive from the start" and intended to provide legal cover for an unlawful settlement.
The case originated earlier this year when Trump sued the Internal Revenue Service (IRS) for allegedly leaking his tax returns. Judge Williams initially signaled she would scrutinize the lawsuit's validity, as Trump was effectively suing his own government. However, the case was dismissed at Trump's and the Justice Department's request, with Williams noting there was no "settlement of record." Hours later, the Justice Department announced the creation of the anti-weaponization fund to compensate alleged victims of government "weaponization." The fund is part of a settlement in which Trump agreed to drop a $10 billion lawsuit against the IRS.
Earlier on the same day, a different federal judge temporarily barred the Justice Department from moving forward with the fund's implementation, following a separate lawsuit. The fund's future remains uncertain as legal challenges continue.