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A Florida judge has announced that she will review the agreement between the Justice Department and President Donald Trump that resolved his $10 billion lawsuit against the Internal Revenue Service (IRS). The "compromise" has sparked strong reactions, even from Republican politicians.
Trump sued his own government over the leaking of his tax returns to the media. Under the proposed settlement, the president dropped the lawsuit and the Justice Department agreed to create a $1.8 billion fund to compensate victims of the "abuse of justice."
Federal Judge Kathleen Williams on Friday ordered Trump's lawyers to respond by June 12 to a petition filed by 35 retired federal judges who allege the settlement "is the product of collusion and constitutes a fraud on the court." She also asked them to answer the question of whether the case should be reopened because of the allegation that the lawsuit was the result of "deception" by Trump and the government.
After the settlement, Trump dropped the lawsuit to avoid any judicial review of the agreement. Williams initially accepted that dismissal on May 18, but in her new order she says that "the court has the authority to investigate serious misconduct."
It is highly unusual for a judge to order the government to respond to a petition after a case has already been dismissed. If the judge reopens the case, she may schedule a hearing or take other action.
The retired judges say in their petition that the agreement, which was never subject to court approval, raises serious questions about the actions of Trump and the administration "and the manipulation of the judicial system that threatens to undermine confidence in the administration of justice."
Separately, on Friday, another federal judge, Leonie Brinkema of Virginia, temporarily blocked (at least until June 12) the Trump administration from creating this "Anti-Instrumentalization Fund."
The creation of this fund has also drawn criticism among Republicans because some of the Trump supporters who stormed the Capitol on January 6, 2021, and were prosecuted for their actions, could be compensated with taxpayer money. Some critics of the government describe it as a "black fund". The agreement also prohibits the Internal Revenue Service (IRS) from reviewing past tax returns of Trump, his relatives and companies, for returns filed before May 18.
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