A United States federal judge has temporarily blocked the White House from proceeding with a $1.8 billion compensation fund linked to the administration of President Donald Trump, halting what critics have described as a politically sensitive payout scheme.
US District Judge Leonie Brinkema issued the order on Friday, preventing any further steps to create, manage, or distribute funds while a legal challenge against the programme is reviewed.
The judge also barred the transfer of money into the fund and suspended any consideration of claims or disbursement of payments, stating that the freeze was necessary to ensure no funds were “irreversibly disbursed” before the case is heard.
The compensation scheme, created by the US Department of Justice, has drawn criticism from Democrats, legal experts, and some Republicans, who argue it lacks clear legal authority and could be used to benefit political allies of the administration.
According to the Justice Department, the fund is intended to compensate individuals who claim they were victims of government “weaponisation” and politically motivated legal actions.
However, opponents have described it as a “slush fund” with little transparency or oversight, warning that it could potentially benefit individuals connected to the January 6, 2021 US Capitol attack.
The lawsuit challenging the programme was filed by a group of plaintiffs, including former federal prosecutor Andrew Floyd and California professor Jonathan Caravello, who argue that the fund is unlawful and lacks congressional approval.
They described the initiative as a “collusive agreement” with no legal foundation or accountability mechanisms.
Judge Brinkema has scheduled a hearing for June 12 to determine whether the freeze on the fund should remain in place for a longer period.
The Justice Department has not yet responded publicly to the ruling.
The case adds to a growing series of legal and political disputes surrounding the fund, which has become a flashpoint in Washington due to concerns over its structure and potential beneficiaries.
Some Republican lawmakers have also reportedly expressed unease, delaying related legislative actions amid concerns about how the fund could be used.
Further legal challenges remain ongoing, including cases brought by law enforcement officers and oversight groups seeking to block the programme entirely.
