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Blanche nomination faces Republican resistance over Trump IRS settlement

Key takeaways:

  • Sen. John Cornyn said he would not support Todd Blanche’s nomination without written assurances addressing the IRS settlement tied to Trump’s tax records lawsuit.
  • The settlement created a $1.8 billion “anti-weaponization” fund and included tax audit protections for Trump, his family members and related businesses.
  • The Senate Judiciary Committee is scheduled to vote Thursday on Blanche’s nomination, and Republicans need every GOP member on the panel to advance it.

Todd Blanche’s nomination to become U.S. attorney general hit a Republican roadblock Wednesday, as two GOP senators demanded written assurances that the Justice Department will dismantle a controversial “anti-weaponization” fund and narrow tax audit protections for President Donald Trump, his family and his businesses.

The Senate Judiciary Committee is scheduled to vote Thursday on whether to advance Blanche’s nomination to the full Senate. Blanche, Trump’s former personal defense lawyer, is serving as acting attorney general after previously holding the No. 2 post at the Justice Department.

Sens. John Cornyn of Texas and Thom Tillis of North Carolina have said they want changes in writing before supporting the nomination. Because Republicans need every GOP vote on the committee to advance Blanche, opposition from either senator could stall or derail his path.

“I haven’t seen a single piece of writing that is responsive to what I’ve requested,” Cornyn told reporters Wednesday.

At issue is a settlement connected to Trump’s lawsuit against the IRS over the unauthorized disclosure of his tax records. The agreement created a $1.8 billion fund for people who say they were victims of government “weaponization” and included provisions offering Trump, his family members and related companies protection from IRS audits. The Guardian reported that the settlement resolved a $10 billion lawsuit and gave Trump, his sons and related businesses blanket immunity from audits for matters filed before the agreement was reached.

The fund drew bipartisan scrutiny. A federal judge in Virginia has indefinitely blocked it after a former Jan. 6 prosecutor sued. A federal judge in Florida found Trump’s IRS lawsuit had been brought in “bad faith” and for an “improper purpose,” and ordered sanctions against several people involved, including Blanche.

Blanche said in June that the Justice Department was scrapping the fund, but Cornyn and Tillis have pushed for formal language to make that binding. Cornyn has also sought clarification that the tax audit protections cannot be applied to future matters or to people who were not parties to the settlement.

“Maybe they think I’m just going to give up or, you know, go along, but they’re mistaken,” Cornyn said, according to The Guardian. “We actually sent them a red-line strikeout of what we need, and they just need to make a decision. And if they do, then we’ll proceed with the markup tomorrow.”

A meeting between Cornyn and Blanche was canceled Wednesday morning. Talking Points Memo reported that a Justice Department official said the department had provided Cornyn’s staff with a written proposal Tuesday and “look forward to further discussion around any outstanding concern.” Cornyn said the materials were not responsive.

Tillis described the negotiations as active and more constructive. “They’re working on a draft right now,” he said Wednesday afternoon. “We’ve been in constant daily contact with DOJ, and to their credit, they’re engaging.” He also told reporters that language killing the fund was “pretty much agreed to,” while wording on the audit provisions remained unresolved.

Blanche’s nomination has faced broader scrutiny over his relationship with Trump. During his confirmation hearing this month, Blanche said he was not a “yes man” for the president. At a mid-July hearing, when Sen. John Kennedy asked whether he considered Trump a friend, Blanche replied, “I’m his lawyer,” then quickly corrected himself: “was his lawyer.”

Blanche became acting attorney general in April after Trump fired Pam Bondi amid frustrations with her leadership. NBC News reported that Blanche said in April that Americans should be “happy” Trump was so involved in Justice Department matters. Less than two weeks later, the administration brought a case against former FBI Director James Comey, a longtime Trump foe, over an Instagram photo of seashells.

Comey’s legal team argued in a court filing this week that the case arose because Blanche was seeking to “please President Trump” during his “audition” for the permanent job. Blanche has denied that his relationship with Trump creates a conflict and has said he acts independently.

Asked Wednesday about Cornyn’s hesitation, Trump defended his nominee. “Well, all I can say is Todd Blanche is outstanding,” Trump said, before adding, “Maybe John Cornyn’s upset with me because I didn’t endorse him. I don’t know what it is, but I haven’t heard that there’s a problem.”

Sources

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