Judge Reopens Trump I.R.S. Suit, Questioning 'Weaponization' Fund [View all]

Source: NYT

A federal judge in Miami made a striking turnabout on Friday, reopening President Trump’s $10 billion case against the I.R.S. and saying that she wanted to investigate “grievous allegations” that the hasty deal to resolve it was “premised on deception.”

The ruling by the judge, Kathleen M. Williams, was a significant blow both to Mr. Trump, who had voluntarily dismissed the suit last week, and to the Justice Department. After the president withdrew the suit, senior department officials released a pair of extraordinary agreements that settled the case by establishing a $1.8 billion fund to compensate people who claimed they were victims of government “weaponization” by Democrats. The deal also conferred lucrative tax benefits on Mr. Trump, his family and his businesses.

Judge Williams’s decision came in response to court papers filed on Wednesday by a bipartisan group of 35 former federal judges who urged her to bring the case back to life and dig into the details of the agreement to settle it.

Read more: https://www.nytimes.com/2026/05/29/us/politics/trump-irs-lawsuit-ruling.html?smid=nytcore-ios-share