President Donald Trump is facing backlash from Democratic lawmakers over reports that his administration may settle his lawsuit against the IRS through a controversial $1.7 billion compensation.
Democrats Accuse Trump Of Weaponizing Public Funds For Political Gain
Sen. Ron Wyden (D-Ore.) condemned the potential deal, calling it “among the most corrupt acts in American political history,” CNBC reported on Friday.
“This lawsuit has never been anything more than a shakedown of the American people by a crook president and his crook lawyers,” Wyden said.
The proposed settlement stems from Trump’s lawsuit against the IRS and Treasury Department over the 2019 disclosure of his tax returns.
According to reports, discussions could include a compensation fund for individuals claiming they were unfairly targeted by the Joe Biden administration, along with a commission that may distribute financial awards.
Democrats Warn Of Unprecedented Abuse Of Presidential Power
Sen. Chris Van Hollen (D-Md.) accused Trump of abandoning a “bogus lawsuit” in exchange for a taxpayer-funded political payout.
Rep. Jamie Raskin (D-Md.) described the reported arrangement as “a massive and unprecedented presidential plunder of the American people.”
Sen. Elizabeth Warren (D-Mass.) previously said that “Trump thinks the U.S. Treasury is his personal piggy bank.”
Federal Judge Questions Legitimacy Of Trump’s IRS Lawsuit
In April, U.S. District Judge Kathleen Williams raised constitutional concerns, noting that Trump, as the sitting president, is effectively suing agencies under his own executive authority.
She ordered both parties to clarify whether the case qualifies as a legitimate legal dispute before a May 20 deadline.
Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by a Benzinga editor.
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