President Donald Trump is reconsidering whether to proceed with a proposed $1.8 billion compensation fund for individuals he has described as victims of “weaponized” government action, amid mounting legal challenges and growing political resistance within his own party, according to a person familiar with his thinking.

The development comes as the U.S. Department of Justice (DOJ) confirmed it has temporarily paused implementation of the so-called “Anti-Weaponization Fund” in compliance with a court order. The program had been announced two weeks earlier as part of a settlement linked to Trump’s lawsuit against the Internal Revenue Service (IRS) over the alleged leak of his tax returns.

The fund, valued at approximately $1.776 billion, was intended to compensate individuals who the administration said had been unfairly targeted by law enforcement or government agencies. Officials had defended it as a corrective measure addressing what they described as politicized enforcement during the Biden administration.

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However, the proposal quickly faced backlash from Democrats and several Republicans, who raised concerns about oversight, eligibility criteria, and the possibility that funds could be directed to participants involved in the January 6, 2021, Capitol riot. The controversy has intensified scrutiny over how the program would be administered.

Legal setbacks have further complicated the plan. A federal judge issued a temporary order blocking implementation of the fund, with a hearing scheduled for June 12 to determine whether the pause should be extended. The DOJ said it would comply with the ruling but did not clarify whether it would continue defending the settlement in court. The political fallout has also spread to Capitol Hill, where Republican lawmakers have expressed unease over the program’s structure and implications.

Senate leaders indicated that the issue has stalled progress on broader legislative priorities, including immigration-related funding, as negotiations continue between Congress and the White House. Amid the pressure, senior Republican figures said the administration has not yet issued a clear directive on whether the fund will be fully withdrawn, though some lawmakers are urging a complete reversal. “They need to say what they actually mean,” Senator Jim Lankford said, calling for the program to be formally scrapped.

Senate Majority Leader John Thune suggested the matter could be resolved if the White House chooses to abandon the initiative, while other senators, including Lisa Murkowski, said they would be satisfied only if the fund is fully withdrawn. The legal dispute remains ongoing, with additional court proceedings expected later this month. Judges overseeing related cases have also raised questions about the settlement process and potential conflicts tied to the broader IRS lawsuit resolution involving Trump and his associates.

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