Blanche Fund Standoff.
Trump links Blanche's AG nomination to $1.8B fund, facing GOP resistance over 'slush fund' fears.
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Key Points
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The $1.8 billion Anti-Weaponization Fund was created via a settlement that Todd Blanche reached with the IRS and Treasury, not through congressional action, and the DOJ later said it would not move forward with the fund, prompting questions about executive authority and oversight.
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Sen. Thom Tillis described the fund as a 'payout pot for punks' in a post, underscoring Republican skepticism about the fund and its use to reward supporters.
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Sen. John Cornyn lost a primary to Trump’s chosen candidate for Texas attorney general, adding a layer of political dinámics to the Blanche nomination fight.
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Senate Judiciary Committee activity around Blanche was in flux, with Grassley canceling a planned July 30 confirmation vote and rescheduling, as debates over the anti-weaponization fund continued ahead of August recess.
President Trump issued a blunt ultimatum on August 1: confirm Todd Blanche as permanent Attorney General, or he will keep Blanche as Acting A.G. and push Congress to revive a controversial $1.8 billion 'Anti-Weaponization Fund.' The threat targets two Republican holdouts — Senators John Cornyn of Texas and Thom Tillis of North Carolina — whose votes are enough to sink the nomination. Fox News reported Trump posted on Truth Social that the fund will 'immediately be back on the table' if the senators don't fall in line. GV Wire noted this reversal came just one day after Trump told reporters the fund was 'dead.'
The standoff has stalled Blanche's confirmation and forced Senate Judiciary Committee Chair Chuck Grassley to cancel a July 30 vote, rescheduling it for August 4. With Republicans holding a narrow 53–47 Senate majority, losing Cornyn and Tillis is enough to block the nomination entirely.
The $1.8 Billion Fund That Refuses to Die
The Anti-Weaponization Fund was born from a federal court settlement in which Trump dropped lawsuits over his leaked tax returns and the Mar-a-Lago FBI raid. In exchange, the DOJ agreed to create a $1.776 billion fund using the federal Judgment Fund — a permanent pot that lets the DOJ settle lawsuits without a vote from Congress. Critics immediately called it unconstitutional. Senator Bill Cassidy called it a 'slush fund without a legal precedent.'
Under pressure, Blanche told lawmakers in June the fund was 'not moving forward.' He later admitted to Senator Dick Durbin in a private meeting that he 'made a mistake' championing it. But Blanche refused to put either commitment in writing — the exact assurance Cornyn and Tillis demand before they will vote yes. Fox News reported that Cornyn says Trump is 'mistaken' if he thinks only two Republican senators oppose the deal.
'Payout Pot for Punks': GOP Senators Draw a Hard Line
Tillis has been the sharpest Republican voice against the fund. He called it a 'payout pot for punks' and 'stupid on stilts.' After Trump's August 1 ultimatum, Tillis posted bluntly: 'It's unfortunate that Todd Blanche, who I consider qualified for the job, will not be confirmed because of this reversal.' More than 1,200 former DOJ employees also signed a letter urging the committee to reject Blanche. Fox News reported both senators want written proof the fund is dead before they will vote.
Cornyn's position carries extra political weight. He lost his May 2026 Texas primary runoff to Trump-backed Ken Paxton by a wide margin — Paxton won 63.8% of the vote. As a lame-duck senator, Cornyn has little reason to fear Trump's anger. He is also pushing to remove an 'audit immunity shield' in the settlement that reportedly bars the IRS from ever auditing Trump or his immediate family again. GV Wire noted this demand adds another obstacle to any deal.
Blanche's Rocky Road to Confirmation
Blanche, Trump's former personal defense lawyer, faced a stormy July 15 Senate hearing. He accidentally called himself Trump's 'lawyer' before correcting to 'was.' Press freedom groups condemned his defense of grand jury subpoenas issued to New York Times journalists. Survivors of Jeffrey Epstein's abuse lobbied against him on Capitol Hill, citing the DOJ's accidental leak of victims' names under his watch.
US HeadTopics reported that Trump has floated a backup plan: temporarily withdraw Blanche's nomination and resubmit it in January 2027, once both Cornyn and Tillis have left the Senate. That move would let Blanche keep running the DOJ in an acting capacity in the meantime — sidestepping a Senate vote entirely. For now, the August 4 Judiciary Committee meeting is the next key test.
What Happens If the Confirmation Collapses
If Cornyn and Tillis hold firm, Blanche stays as Acting Attorney General with no set end date. That leaves the nation's top law enforcement post filled by an unconfirmed official, which could invite legal challenges to DOJ decisions. Egyptian Gazette noted Trump has made clear he is willing to use that outcome as leverage, betting that the threat of a codified Anti-Weaponization Fund will scare enough senators into compliance.
The dispute lays bare a broader clash over who controls the DOJ — and whether Congress can rein in an executive branch willing to use billion-dollar settlements to settle political scores. Senate Majority Leader John Thune has said he is 'not a big fan' of the fund. But without a formal vote to kill it, the standoff may drag well past August recess.
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