By: Paul Goldberg – Senior Correspondent | LGBT Politics USA
WASHINGTON, D.C. — (June 19, 2026) — A growing legal battle between the U.S. Department of Justice and a federal judge intensified Friday after government attorneys refused to provide sworn assurances that a controversial $1.8 billion compensation fund proposed earlier this year will never move forward.
The dispute centers on a proposed federal compensation program announced in May by Acting Attorney General Todd Blanche following a settlement involving the Trump family and the Internal Revenue Service (IRS). The initiative was designed to compensate individuals who claimed they had been subjected to politically motivated investigations or government “lawfare.”
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Judge Orders DOJ to Put It in Writing
Last week, U.S. District Judge Leonie Brinkema indefinitely blocked the proposal and directed senior administration officials to certify under penalty of perjury that the fund would not proceed. The judge gave Acting Attorney General Todd Blanche, Treasury Secretary Scott Bessent, and Associate Attorney General Stanley Woodward seven days to provide written declarations intended to prevent additional litigation.
The court’s order came after concerns were raised that public statements alone may not be sufficient to guarantee that the proposed fund would remain inactive.
DOJ Pushes Back Against Court Demand
Instead of submitting the requested declarations, Justice Department attorneys argued that such demands were unnecessary and raised constitutional concerns involving the separation of powers between the judicial and executive branches.
In a filing submitted Friday, senior DOJ counsel Andrew Block stated that previous statements from administration officials already established that the fund would not move forward.
“Such declarations are unnecessary and the compelled testimony of senior officials from the Executive Branch implicates serious separation of powers concerns,” Block wrote.
The filing further argued that requiring sworn testimony from Cabinet-level officials would represent an inappropriate intrusion into executive branch operations.
Critics Say Administration Still Won’t Swear Fund Is Dead
The lawsuit challenging the compensation proposal was brought by a former federal prosecutor and other plaintiffs represented by Democracy Forward.
Skye Perryman, president and CEO of Democracy Forward, criticized the Justice Department’s latest filing and questioned why administration officials continue to refuse to formally certify their position under oath.
“It is telling that even after the federal court gave them a week, the Acting Attorney General and other senior administration officials continue to refuse to say under oath that the fund is dead and won’t operate in the future,” Perryman said in a statement.
Plaintiffs also contend that the administration has not fully demonstrated compliance with earlier directives issued by the court.
How the $1.8 Billion Fund Became a Political Flashpoint
Blanche first announced plans for the $1.776 billion compensation program in mid-May following a settlement involving the Trump family and the IRS.
According to the proposal, the fund would have been authorized to issue financial compensation and formal apologies to individuals who claimed they had suffered government “weaponization” or politically motivated legal actions.
The announcement quickly generated criticism from lawmakers across the political spectrum. Opponents questioned who would ultimately qualify for payments and whether political allies of President Donald Trump could disproportionately benefit from the program.
Administration officials maintained that eligibility would not be based on political affiliation.
Blanche Says Program Is Finished — But Questions Remain
As scrutiny intensified, administration officials appeared to retreat from the proposal.
Earlier this month, Blanche told House lawmakers that the fund was “not moving forward, ever.” Similar statements were later included in multiple court filings, where DOJ attorneys argued that the program had never actually been established and that legal challenges were therefore premature.
Block emphasized in Friday’s filing that those statements were already made under circumstances carrying significant legal consequences for any false representations.
“All these statements were made against the backdrop of serious penalties for falsity,” Block wrote. “So there is no reason why declarations should affect the Court’s mootness analysis.”
Nevertheless, plaintiffs argue that public statements and legal filings are not a substitute for sworn declarations specifically requested by the court.
Federal Court May Face Constitutional Showdown Next Week
The latest filing sets the stage for a potential constitutional clash over judicial authority and executive branch independence.
With federal courts closed Friday in observance of the Juneteenth holiday, Judge Brinkema is not expected to respond until next week.
Legal observers will be watching closely to determine whether the court accepts the DOJ’s position or takes additional action to compel compliance with its earlier order.
The outcome could carry broader implications for future disputes involving executive authority, judicial oversight, and the extent to which courts can require testimony or sworn statements from senior administration officials.
JRL CHARTS LGBT Politics USA delivers in-depth coverage of federal court rulings, constitutional law, government accountability, public policy, and political developments shaping America and the LGBTQ+ community.
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