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A giant portrait of President Donald Trump looks down from the Justice Department in Washington, Tuesday, June 2, 2026. The Justice Department said it would comply with a court order pausing the implementation of a $1.776 billion settlement fund designed to compensate President Donald Trump's political allies after GOP senators revolted.
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Acting Attorney General Todd Blanche said the Trump administration has definitively scrapped a $1.8 billion fund to compensate President Donald Trump's allies, but the White House is sticking with the part of the deal that permanently drops tax claims against him. It's an extraordinary flex of executive power that could help shield the president from further examination of his finances and legal conduct. Meanwhile the endorser-in-chief suffered a setback in Tuesday's elections, failing to lift Rep. Randy Feenstra to victory in Iowa’s Republican primary for governor. That sets up what the Democrats see as one of their best opportunities to pick up a governorship this year.