The Treasury Department’s top lawyer resigned Monday over the creation of a $1.8 billion “anti-arms fund” that could soon make payments to President Trump’s political allies, according to three people familiar with the matter.
Brian Morrissey, the Treasury’s general counsel, left his post seven months after the Senate confirmed him and just hours after the Trump administration announced the fund on Monday.
Mr. Morrissey did not respond to requests for comment. The Treasury Department did not immediately respond to a request for comment.
The Justice Department created the fund to make payments to people who claim the Biden administration inappropriately targeted them — a population that includes supporters of Mr. Trump and former members of his staff. Among them are people who stormed the Capitol on January 6, 2021.
The Treasury Department is responsible for depositing $1.776 billion into an account that will be controlled by a group of people selected by Acting Attorney General Todd Blanche, according to terms of the fund released Monday. That money will come from the Judgment Fund, an uncapped pool of money the federal government has to pay claims without needing congressional approval.
The Justice Department is creating an anti-militarization fund as part of a deal to settle a lawsuit filed by Mr. Trump against the Internal Revenue Service, which is part of the Treasury Department. In his suit, Mr. Trump accused the IRS of not doing enough to prevent unauthorized disclosure of his tax information during his first term. The president dropped the charges on Monday, under scrutiny from a judge who questioned whether Mr. Trump could legally sue a government agency he controls.
