Amici (including ex-Judge Gleeson & ex-SG Don Verrilli) have told the judge in IRS v Trump of 3 “substantial defenses” in Trump’s tax case, including (1) sovereign immunity, being argued *now* by DOJ in other cases involving tax leaks by the *same* govt contractor ...
— Roger Parloff (@rparloff) May 16, 2026
1/3 https://t.co/xxLMLIpy8G pic.twitter.com/KjNu0WIZS9
Trump needs a lawsuit in order to access the Judgment Fund. Otherwise he’d just tell Treasury: “Gimme money.” What, you think Bessent would say no? Clearly they need some slightly colorable argument at law to make this happen. (There’s a lot of minions who would have to do the mechanics of moving/reporting/accounting. They wouldn’t be immune from criminal charges. You don’t fuck with the money. That’s when shit gets real.)Given the “atypical treatment” being given Trump’s claims, amici suggest judge inquire about compliance with “regulatory” & statutory limits on secrecy and legitimate awards for “damages, costs, and fees.”
— Roger Parloff (@rparloff) May 16, 2026
3/3-endhttps://t.co/CsN6joyrUM pic.twitter.com/pbT6a8Rhke
This new proposed settlement is not meant to avoid litigation, but to settle it. There is an active court case and the court can refuse a motion to dismiss when the authority of the court (access to government money) is being used for a clearly corrupt practice. That is the question of “legitimate awards for ‘damages, costs, and fees.’” The court deadline for briefs on the jurisdictional question is Wednesday. It’s not that it’s too late, but why hasn’t DOJ put a bow on this $1.7 billion package yet?
OCICBW, but I don’t think this is a done deal, yet.
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