US Judge Temporarily Stops Trump’s Controversial $1.8bn Compensation Programme
Federal court freezes proposed compensation fund linked to Trump allies pending further legal review
US Judge Temporarily Stops Trump’s Controversial $1.8bn Compensation Programme
A United States federal judge has temporarily blocked the White House from moving forward with a controversial $1.8 billion compensation programme linked to allies of President Donald Trump.
US District Judge Leonie Brinkema on Friday ordered the administration to halt all actions connected to the fund while the court reviews legal challenges against the initiative.
The ruling prevents officials from transferring funds, processing applications, or issuing payments until further notice.
According to the judge, the temporary freeze was necessary to ensure that no money is “irreversibly disbursed” before the legal dispute is fully examined in court.
The compensation programme was reportedly created by the US Justice Department as part of a settlement connected to Trump’s lawsuit against the Internal Revenue Service over the leak of his tax records by a former government contractor.
The Trump administration defended the initiative, describing it as a programme intended to compensate individuals who allegedly suffered from what it called government “weaponisation” and politically motivated actions against conservatives.
However, critics strongly opposed the move, arguing that the fund lacked proper legal backing and sufficient oversight.
Opponents also alleged that the programme could unfairly benefit Trump loyalists, including some individuals convicted in connection with the January 6, 2021 Capitol riot in Washington, DC.
The legal challenge against the fund was filed by several plaintiffs, including former federal prosecutor Andrew Floyd and California professor Jonathan Caravello.
They described the initiative as an unlawful arrangement with “no congressional authorization, no basis in law, and no accountability.”
Judge Brinkema has scheduled another hearing for June 12 to determine whether the temporary freeze should remain in place pending further legal proceedings.
The White House and the Justice Department had not officially responded to the ruling as of the time of filing this report.
Meanwhile, reports indicate that some individuals claiming unfair treatment by the government had already begun seeking compensation under the proposed programme before the court intervention.
The controversy has also reportedly caused concern among some Republican lawmakers, with Senate leaders allegedly delaying discussions on related immigration enforcement funding over fears linked to potential payouts.
The case remains one of several ongoing lawsuits seeking to stop the programme entirely.
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