U.S. President Donald Trump looks on as he speaks to members of the media aboard Air Force One en route to Joint Base Andrews, Maryland, U.S., March 29, 2026. REUTERS Elizabeth Frantz
President Donald Trump’s controversial $1.8 billion slush fund exists as a result of his suit against the IRS. But now 35 former federal judges say the creation of that fund demands a reinvestigation of Trump’s suit.
“The Court was deceived,” say the bipartisan group of former judges. “Despite plaintiffs not having mentioned any settlement in their notice, the Department of Justice publicly announced a ‘settlement’ of this action shortly after Plaintiffs filed their dismissal.
The judges are asking the judge who oversaw Trump’s lawsuit against the IRS to reopen the case and begin an inquiry into whether Trump’s deal to resolve it can be challenged as an act of fraud.
“The purported ‘settlement’ that was publicly disclosed after this court dismissed this matter raises profound questions about the parties’ candor toward the court and manipulation of the judicial system, which threatens to undermine confidence in the administration of justice,” the former judges legal team argues.
The former judges filed their motion in Federal District Court in Miami, to a Judge Williams, who closed the I.R.S. case last week after Trump voluntarily dismissed his suit
Trump and his family first sued the I.R.S. in January, claiming they were owed at least $10 billion because a former contractor at the agency had leaked their tax returns and others during the president’s first term in the White House. Contractor, Charles Littlejohn is serving time for releasing the tax informationation — which showed Trump paid very little taxes that year — to The New York Times and ProPublica. But Trump argued that the IRS should have done more to protect his information.
Williams closed the case, but noted in her order that there had never been a “settlement of record.” Within hours, however, the former judges complain that the terms of Trump's $1.8B deal was posted in an agreement that was signed by a senior Justice Department official. The next day, the former judges say the department released an addendum to the agreement giving the Trump family immunity from all past I.R.S. investigations.
The judges tell Judge Williams that this behavior reveals the fraudulent nature of the agreement, while adding that she does not have to immediately rule Trump’s settlement invalid — but they demanded the inquiry into the legality of events begin.
Critics say Trump’s “slush fund” is a “multitool for corruption and maintaining MAGA discipline,” not only through open bribery but also in “more subtle” ways.
“It’s about holding people on side,” said Bulwark editor Jonathan Last.
