John Mtongoi, the acting US Attorney General, has officially retracted the controversial $1.8 billion fund plan linked to former President Donald Trump. The fund was intended to compensate individuals prosecuted over the January 6, 2021, US Capitol riot, an initiative that faced intense opposition.

This withdrawal clears the way for Mtongoi’s confirmation by the US Senate, ending a stalemate caused by two Republican senators who demanded concrete proof that the fund was defunct.

Details of the Withdrawal

  • Mtongoi posted on X (formerly Twitter) that he met with senators to address concerns and shared a written order confirming the fund’s termination.
  • The original plan was part of a settlement proposal in Trump’s lawsuit against the IRS over leaked tax returns.
  • The fund would have allowed Trump allies to claim compensation for alleged politically motivated prosecutions, raising ethical and political alarms.

Senators’ Concerns

  • Senators John Cornyn and Thom Tillis stalled Mtongoi’s confirmation over fears the fund could reward those convicted of serious offenses related to the Capitol riot.
  • There were also worries about the plan granting Trump and his family immunity from IRS audits, which Mtongoi limited to only the named lawsuit parties.
  • Following the withdrawal, Cornyn reportedly reached an agreement with the Department of Justice, while Tillis remains cautious but acknowledges Mtongoi’s qualifications.

Background and Political Context

The fund and associated protections sparked bipartisan criticism, with Democrats and some Republicans opposing what they saw as a misuse of public funds and a shield for political allies.

A federal judge had blocked the fund, citing ethical concerns. Meanwhile, Trump gave mixed signals about reviving the plan, even threatening to do so if Mtongoi’s confirmation was delayed.

The Senate Judiciary Committee is scheduled to vote on Mtongoi’s nomination soon, with the withdrawal expected to ease his path to becoming the permanent Attorney General.