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Trump says anti-weaponization fund in IRS settlement is 'dead' even as he defends it

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Trump says anti-weaponization fund in IRS settlement is 'dead' even as he defends it
News

News

Trump says anti-weaponization fund in IRS settlement is 'dead' even as he defends it

2026-08-01 11:49 Last Updated At:11:50

WASHINGTON (AP) — President Donald Trump said Friday that his $1.8 billion anti-weaponization fund is “dead” while also continuing to defend it, further complicating his administration’s negotiations with two Republican senators who are blocking his attorney general nominee in protest.

Trump told reporters at Camp David on Friday morning that administration officials had “agreed not to have a fund” that compensates his political allies, yet made clear that he disagrees with that decision.

The comments came hours after an early morning social media post in which Trump said people who had been prosecuted by the Justice Department — many of them for their involvement in the violent Jan. 6, 2021, attack on the Capitol — “are suffering still, many ruined, and I felt that they should be given compensation for what has been done to them.”

Trump’s reluctant declaration that the fund won't be created came as Republican Sens. John Cornyn of Texas and Thom Tillis of North Carolina, both members of the Senate Judiciary Committee, say they won’t support Todd Blanche’s nomination for attorney general until they see that promise in writing. They have been working for weeks with the White House and Blanche, who is now the acting attorney general, to produce a document to that effect, but both senators have said they aren’t satisfied so far.

“The President made it clear today that the so-called Anti Weaponization Fund is still alive, which is exactly why we are attempting to formally end it,” Tillis said after Trump’s initial social media post.

As negotiations continued late Friday, Senate Judiciary Committee Chairman Chuck Grassley rescheduled a committee vote for Blanche that had been postponed earlier in the week.

A spokesperson for the committee said Grassley would like to see Blanche confirmed before the August recess and putting the Tuesday vote on the calendar “gives more time for the White House to secure the votes for the President’s nominee.”

Blanche said at a hearing two months ago that the anti-weaponization fund would not move forward after Republican senators revolted and held up an immigration funding bill.

But Tillis, who is retiring when his term ends in January, and Cornyn, who lost reelection this year after Trump endorsed his primary opponent, said they want to ensure that the White House doesn’t reverse course, especially as Trump continues to argue that a fund is needed.

The Justice Department has provided the senators with language that says Blanche’s May 18 order establishing the “Anti-Weaponization Fund” is “rescinded and shall have no force or effect,” according to a document reviewed by The Associated Press.

Cornyn and Tillis have said they also want some clarifications on a separate piece of the settlement that would grant Trump and members of his family immunity from tax audits. Cornyn said this week that it was his understanding that the audits could extend to more than 100 different Trump organization subsidiaries into the future.

“Todd Blanche said it was limited to the parties to the litigation — and it was retrospective, not prospective,” Cornyn said. “And all we’re doing is asking them to put that in writing.”

The Judiciary Committee postponed the vote on Blanche’s nomination that had been scheduled for Thursday morning after Tillis and Cornyn said they needed more from the administration before they could provide the necessary votes.

After the meeting was delayed, Trump said in a social media post that he might pull Blanche’s nomination and resubmit it after Cornyn and Tillis leave office next year. But the two sides continued to negotiate through Thursday afternoon, when Blanche, Cornyn and Tillis met on Capitol Hill.

On Friday, a person familiar with the negotiations said talks had been positive but the senators were still awaiting a new offer from the Justice Department. The person requested anonymity to discuss the private negotiations.

The two senators have repeatedly said the Justice Department seemed interested in reaching an agreement, but the White House wouldn’t budge even to aid the confirmation of Trump’s loyal former personal attorney, who has aggressively pursued the administration’s priorities as acting attorney general.

“I think as far as Blanche and the Department of Justice, we were pretty much on the same page,” Cornyn said Thursday. “But then when the president got wind of it, he wasn’t willing to go along with it.”

Tillis said Blanche “has been forthright, thoughtful and patient” but attributed the holdup to an “incompetent personal adviser” to the president, even as Trump himself continued to advocate for the fund.

Behind the scenes, Trump legal adviser Boris Epshteyn is being blamed as an obstacle to an agreement that would let Blanche move forward, according to three people who have direct knowledge of the discussions and requested anonymity to discuss them.

Saying the AP’s “sources are wrong,” White House communications director Steven Cheung said “anyone trying to assign blame to the President or his team has no earthly idea of what is going on and clearly is trying to deflect from the issue at hand — Todd Blanche will be an exceptional Attorney General and he should be confirmed immediately.”

Also on Friday, Trump’s attorneys notified a court it would appeal a judge’s scathing ruling that characterized the settlement of the president’s lawsuit against the IRS as an improper exercise in self-dealing. The judge in her order earlier this month referred one of Trump’s attorneys for potential disciplinary action and criticized Blanche’s involvement in the settlement, given his prior representation of Trump.

Blanche has said he disagrees “with the judge’s insinuations” about him.

Even as they are usually deferential to Trump, a number of Republican senators have expressed strong objections to the settlement.

“The criminals who assaulted police officers and defiled our nation’s Capitol are not ‘great American patriots’ who are ‘victims of government abuse,’” Tillis said, echoing Trump’s comments about the rioters who could potentially have received payouts. On his first day back in office, Trump pardoned more than 1,500 people who had been charged in the attack.

Republican Sen. John Kennedy of Louisiana said Thursday that the majority of Senate Republicans aren’t comfortable with the settlement fund.

“Blanche said it’s dead, and he testified that it’s not coming back,” Kennedy said. “But for whatever reason, somebody didn’t want to put it in writing.”

This story has been updated to correct the year of the Capitol riot. It was 2021, not 2001.

Associated Press writers Eric Tucker and Lisa Mascaro contributed to this report.

Health and Human Services Secretary Robert F. Kennedy Jr., from left, acting Attorney General Todd Blanche and Vice President JD Vance attend a cabinet meeting, Friday, July 31, 2026, at Camp David, the presidential retreat, near Thurmont, Md., Friday, July 31, 2026. (AP Photo/Jacquelyn Martin)

Health and Human Services Secretary Robert F. Kennedy Jr., from left, acting Attorney General Todd Blanche and Vice President JD Vance attend a cabinet meeting, Friday, July 31, 2026, at Camp David, the presidential retreat, near Thurmont, Md., Friday, July 31, 2026. (AP Photo/Jacquelyn Martin)

President Donald Trump listens during a cabinet meeting, Friday, July 31, 2026, at Camp David, the presidential retreat, near Thurmont, Md., Friday, July 31, 2026. (AP Photo/Jacquelyn Martin)

President Donald Trump listens during a cabinet meeting, Friday, July 31, 2026, at Camp David, the presidential retreat, near Thurmont, Md., Friday, July 31, 2026. (AP Photo/Jacquelyn Martin)

CAIRO (AP) — U.S. President Donald Trump threatened more strikes on Iran as the United States presses for the reopening of the Strait of Hormuz.

Hours later on Saturday, Kuwait said it responded to a new round of drone attacks from Iran while a tanker was struck in the strategic waterway.

Meanwhile, Israel carried out heavy strikes on the Gaza Strip after the Palestinian militant group Hamas agreed to disarm.

Here are the most important developments in the Middle East today:

Speaking to reporters Friday during a meeting with members of his Cabinet at the Camp David presidential retreat in Maryland, Trump said “we just want to win” in Iran and signaled that he expected U.S. military action to continue for some time.

He said the U.S. will hit Iran “very hard” until they can’t take it anymore.

Later that day, White House press secretary Karoline Leavitt expressed the U.S. administration’s frustration anew, charging that Tehran last month signed a memorandum of understanding with the U.S. on a truce but then quickly “broke it, shot at commercial ships, and killed American soldiers.”

“President Trump is not going to stand by and allow this terrorist behavior to occur,” Leavitt said in a statement Friday evening. “Iran will continue to pay until they come to the table in, what President Trump deems, a meaningful way.”

On Saturday, the U.S. State Department issued new security alerts for Americans in 10 countries in the region to exercise heightened caution due to the escalating tensions with Iran.

The warnings — covering Bahrain, Israel, Iraq, Jordan, Kuwait, Lebanon, Oman, Qatar, Saudi Arabia and United Arab Emirates — urged U.S. citizens to prepare for the possibility of flight cancellations, temporary airspace closures and other travel disruptions.

Kuwait’s military said Saturday that its forces were responding to drone attacks which were part of Iran’s assaults on the country.

In a statement, Maj. Gen. Saud Abdulaziz Al-Otaibi, spokesperson for Kuwait's Defense Ministry, said the drones hit “a number of vital facilities,” including a government structure in the country's north. He said there were no casualties.

The British Navy said Saturday that a tanker was struck and a separate explosion hit close to a vessel in the Strait of Hormuz off the coast of Oman. No casualties were reported in either incident, it said. The United Kingdom Maritime Trade Organization said an unknown projectile hit the vessel on Friday 11 nautical miles northeast of Lima, Oman. The attack damaged the vessel’s engine room.

The group said that on Saturday a large splash and an explosion were reported close to another tanker while it was sailing 21 nautical miles northwest of Khasab city.

Separately, crude oil appeared to be leaking and spreading in recent days from a sanctioned tanker grounded off the coast of Oman, close to a marine protected area, satellite images reviewed by The Associated Press show.

Iran has repeatedly attacked vessels attempting to transit through the Strait of Hormuz without its authorization as part of its ongoing conflict with the U.S.

Intense Israeli strikes Friday night and Saturday killed at least four people in central and northern Gaza and wounded dozens more, according to local health officials.

The strikes overnight in Gaza followed evacuation warnings by Israel’s military, which said on Saturday that it had struck Hamas targets across the territory and dismantled five Hamas storage facilities.

The strikes came after Hamas confirmed Friday that it will disarm in a potential breakthrough for ending the war in Gaza, though major obstacles remain.

Palestinians in Gaza — most of whom are displaced or live in camps — received the news with both hope and skepticism. A 24-year-old tuk-tuk driver, Abdel Moneim Aboul-Roos, who lost his leg in an Israeli strike, told The Associated Press that he doesn't care about “talk about withdrawal and disarmament” as long as essentials like food and medicine remain lacking.

Israel has not officially commented on the Hamas deal, which is part of a U.S.-brokered ceasefire announced last October.

That agreement called for Hamas to disarm and hand over power to an independent Palestinian administration. Israel was to withdraw and an International Stabilization Force was to be deployed.

In a post on X Friday, Israeli far-right lawmaker Itamar Ben-Gvir called the deal “unacceptable” and said the killings in Gaza must continue. “Israel must win,” he said.

Egypt, a key Gaza ceasefire mediator, lauded Hamas and other Palestinian groups for “their positive response” in the phased peace plan, Egyptian state-run media reported.

The AP is tracking the progress of Trump’s plan to end the Israel-Hamas war.

Click here for full coverage from AP on the disarmament deal for Hamas.

— Houthi rebels forced eight Saudi ships to reroute from the Bab el-Mandeb strait after the Iranian-backed rebels announced a blockade on Saudi shipping in the choke point. Brig. Gen. Yahya Saree, the military spokesperson for the Houthis, said in a statement Friday that the vessels changed route to the Cape of Good Hope around Africa to avert the blockade.

— In southern Lebanon, Israeli forces set off explosions Friday to destroy an underground tunnel network under the Crusader-built Beaufort Castle that Israel says had been used by Iran-backed Hezbollah militants as a command center. The 12th-century castle, also known as Al-Shaqif, was seized by Israeli forces in May. It was recently added to UNESCO’s World Heritage List over Israel’s objections.

— Lebanon's President Joseph Aoun said the Israeli operation sent “negative messages” ahead of upcoming talks in Rome. Israeli and Lebanese negotiating teams are set to meet again there to continue hammering out a plan under which Israel would withdraw from southern Lebanon in exchange for Hezbollah’s disarmament.

— An Israeli army officer was moderately wounded in an encounter with Hezbollah militants in southern Lebanon overnight into Saturday, Israel's military said. There was no immediate comment from Lebanese authorities or Hezbollah. Thirty-eight Israeli soldiers have been killed in Lebanon or northern Israel since that conflict reignited when Hezbollah fired at Israel shortly after the start of the Iran war.

Madhani reported from Washington.

A plume of smoke rises following an Israeli military strike in Nuseirat, central Gaza Strip, Friday, July 31, 2026. (AP Photo/Abdel Kareem Hana)

A plume of smoke rises following an Israeli military strike in Nuseirat, central Gaza Strip, Friday, July 31, 2026. (AP Photo/Abdel Kareem Hana)

Palestinians inspect the scene of an Israeli airstrike near al-Aqsa Hospital in Deir al-Balah in the central Gaza Strip, Saturday, Aug. 1, 2026. (AP Photo/Abdel Kareem Hana)

Palestinians inspect the scene of an Israeli airstrike near al-Aqsa Hospital in Deir al-Balah in the central Gaza Strip, Saturday, Aug. 1, 2026. (AP Photo/Abdel Kareem Hana)

A Palestinian woman inspects the scene of an Israeli airstrike near al-Aqsa Hospital in Deir al-Balah in the central Gaza Strip, Saturday, Aug. 1, 2026. (AP Photo/Abdel Kareem Hana)

A Palestinian woman inspects the scene of an Israeli airstrike near al-Aqsa Hospital in Deir al-Balah in the central Gaza Strip, Saturday, Aug. 1, 2026. (AP Photo/Abdel Kareem Hana)

Relatives and friends grieve over the body of Hassan Qahman at a hospital morgue after he was killed in an Israeli airstrike in Gaza City, Saturday, Aug. 1, 2026. (AP Photo/Jehad Alshrafi)

Relatives and friends grieve over the body of Hassan Qahman at a hospital morgue after he was killed in an Israeli airstrike in Gaza City, Saturday, Aug. 1, 2026. (AP Photo/Jehad Alshrafi)

A Palestinian man rides his bicycle by the rubble of buildings that were destroyed during the Israel Hamas war, in Khan Younis, southern Gaza Strip, Friday, July 31, 2026. (AP Photo/Abdel Kareem Hana)

A Palestinian man rides his bicycle by the rubble of buildings that were destroyed during the Israel Hamas war, in Khan Younis, southern Gaza Strip, Friday, July 31, 2026. (AP Photo/Abdel Kareem Hana)

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