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LetMyPeopleVote

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49. MS NOW- Even if Trump kills his $1.8 billion slush fund, his IRS lawsuit headache isn't over
Thu Jun 4, 2026, 03:47 PM
6 hrs ago

The controversial settlement included both a fund that has sparked a political backlash and IRS immunity for the president, his relatives and Trump businesses.



https://www.ms.now/opinion/trump-billion-fund-irs-settlement-legal-jeopardy

A lawsuit is valid only when there is “a case or controversy” between adverse parties. Since Trump controls the executive branch, there was an obvious lack of adversity between a sitting president and entities whose decisions were subject to his direction. From the outset, Williams, who presides over the case in the Southern District of Florida, expressed skepticism of the lawsuit’s legitimacy. She asked the parties to submit briefs addressing whether the lawsuit was, in fact, a legitimate adverse proceeding....

Last week, 35 former federal judges filed a motion asking Williams to reopen the case. They argued that “the purported ‘settlement’ that the parties never placed before this Court raises profound questions about the parties’ candor toward the Court and manipulation of the judicial system, which threatens to undermine confidence in the administration of justice.” The settlement is “a fraud on the Court,” they wrote.

Two days after the 35 former judges filed their motion, Judge Williams issued an order in response. The court, she wrote, “is empowered to investigate serious misconduct as a collateral issue” and to determine whether the suit was filed for an “improper purpose.”

Among the key points in her order:

the grant of IRS immunity did not relate “to the immediate subject matter of the claim,” which was the leak of Trump’s tax information;

the IRS and the U.S. Treasury “did not ‘even try to defend against” Trump’s claims, despite actively opposing “nearly identical claims in other litigation”;

and, as the former judges had argued, Trump’s claims were “clearly untimely” and barred by the expired statute of limitations.

Williams ordered Trump, the IRS and the U.S. Treasury to respond by June 12 on: “(1) the charges of collusion and whether the Parties are truly adverse; (2) the assertion that the dismissal in this case was premised on deception by the Parties; and (3) the question of whether the case should be reopened because the Court was the ‘victim of a fraud.’”

So here is Trump’s quandary: He must answer Williams’ questions with facts. He cannot simply submit a memorandum filled with platitudes denying collusion or dismissing the matter as a witch hunt. The court will likely expect sworn affidavits setting out facts to support any defense that there was no collusion and no deception.

The judge will almost certainly expect Trump, the named plaintiff, to submit an affidavit himself responding to all three of Williams’ inquiries.

Whatever is filed in response to the court’s order could raise additional issues, which could lead to an evidentiary hearing with witnesses. Matters not fully addressed in the affidavits or that otherwise remain ambiguous would need to be explored, with Williams empowered to assess credibility firsthand.....

Because we have an independent judiciary and judges committed to the rule of law, Trump could remain accountable for fraud or other misdeeds he may have committed in pursuing his lawsuit against the IRS or the settlement. Jettisoning the controversial fund doesn’t automatically end Judge Williams’ inquiry.

Even if trump drops the slush fund part of the case, Judge Williams will need to still hold a hearing on the IRS immunity issue and trump may have to testify by either affidavit or in person. This hearing will be fun to watch

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So he gets to keep the money for himself? greatauntoftriplets Monday #1
Not unless the judge signs off on it. cstanleytech Monday #5
No, it was going to be from an existing "Judgment fund" muriel_volestrangler Monday #22
That would violate the Domestic Emoluments Clause. TomSlick Monday #41
I'm old enough to remember when that was a thing. Orrex Tuesday #44
I'm old enough to remember a Congress that would enforce it. mdbl Tuesday #48
The perpetual shell game. littlemissmartypants Monday #2
We should not get too excited because another grift will happen Deuxcents Monday #3
Exactly. He's getting bolder and bolder with his grifts.... groundloop Monday #8
Yep. Just like the Iran war market manipulation and all the unregulated prediction market and AI bullshit the regime Karasu Monday #15
Every Court where some of that bullshit was filed should hold full evidentiary hearings for fraud Ponietz Monday #4
Yup and drum roll.....this might not be something he can claim Presidential immunity to escape. cstanleytech Monday #6
Yes He was suing as a private citizen tikka Monday #30
But then... GiqueCee Monday #32
This message was self-deleted by its author cstanleytech Monday #11
I doubt this is the end. twodogsbarking Monday #7
we need to watch carefully to prevent him from transferring money to those J6ers BlueWaveNeverEnd Monday #16
will this also kill his IRS get out of jail free card? eggplant Monday #9
heckuva good question! rurallib Monday #10
Yes. There is no settement because there was never a legitimate case. The whole thing was a fraud on the court Wiz Imp Monday #13
Only if the courts stop it ThoughtCriminal Monday #24
A very good chance that the slush fund was intentional rage bait that VTderry Tuesday #43
Apparently a separate issue..... reACTIONary Monday #35
This was such a blatant theft that even some of the republicans in Congress were against it. patphil Monday #12
It's already taking place Akakoji Monday #19
Notice nothing said about his supposed tax immunity nakocal Monday #14
yes Skittles Monday #17
That's what Trump really wanted, a 'Get Out Of Jail Free' card from the IRS, so his family's criminal organization sop Monday #31
This was said.... reACTIONary Monday #33
Yes Dog Walkers Rock Monday #37
Get them to court! Akakoji Monday #18
Good, this should piss off the inbred MAGAts who thought they were going to get fat stacks Aviation Pro Monday #20
MAGAts got owned by the judge. Dr. T Monday #27
Democrats would be correct to not trust or believe someone as dishonest and corrupt as Trump. J_William_Ryan Monday #21
"Allies" hibbing Monday #23
Maybe he called John Roberts. JohnnyRingo Monday #25
This blew up massively in his Stoopid face underpants Monday #34
I thought it should have been $1.933 Bengus81 Tuesday #45
You aren't thinking like him. JohnnyRingo Tuesday #46
"Purely about him". JohnnyRingo Tuesday #47
More appropriate headline title:"Trump to drop his $1.8B slush fund to pay those who stormed the capitol on Jan 6th" n/t iluvtennis Monday #26
To pay domestic terrorists. Dave Bowman Monday #28
.. that's the right descriptor. 🙏 iluvtennis Monday #38
That just means he'll find another way to channel Figarosmom Monday #29
Excellent! Fuck you Donny! Initech Monday #36
There are a lot of maga hissy fits right now, I'm sure. C Moon Monday #39
It is the thing that will not die. They will reconstitute it in another form when they think they can slip it by. Ford_Prefect Monday #40
Trump is counting on the Republicans lightening up on this if they hold Congress in November. LudwigPastorius Monday #42
MS NOW- Even if Trump kills his $1.8 billion slush fund, his IRS lawsuit headache isn't over LetMyPeopleVote 6 hrs ago #49
Latest Discussions»Latest Breaking News»Trump to drop his $1.8B '...»Reply #49