Judge Reopens Trump’s IRS Suit to Examine $1.8bn Settlement with Justice Department A federal judge in Miami has reopened Donald Trump’s $10bn lawsuit against the Internal Revenue Service (IRS), following a third-party motion alleging that the settlement, which lacks detailed terms, is “a product of collusion and is itself a fraud on the court.” The ruling by Judge Kathleen Williams, an Obama appointee, revives a case initially filed by Trump and his sons against the IRS after their personal and business tax returns were leaked by a former contractor. The case had been dismissed earlier this month, but Williams ordered a review after a bipartisan group of 35 former federal judges urged her to scrutinize the settlement. The lawsuit, which Trump had dropped last week, centered on allegations that the IRS improperly accessed and disclosed his tax returns. In exchange for dropping the case, Todd Blanche, the acting attorney general and former Trump defense lawyer, reportedly secured a provision barring the U.S. government from auditing the Trump family’s tax returns indefinitely. This “forever” clause has drawn significant criticism, with the judge questioning its validity, noting that only Blanche signed the provision. The settlement includes a controversial $1.8bn “anti-weaponization” fund, intended to compensate individuals claiming they were victims of federal overreach. Critics, including lawmakers and some Republicans, have labeled the fund a “slush fund” and a political liability, arguing it could be used to reward Trump’s political allies while indirectly benefiting the family.#donald_trump #internal_revenue_service #todd_blanche #judge_kathleen_williams #charles_littlejohn
