The New York Times reports:

The Trump administration is considering the establishment of a $1.7 billion fund to compensate allies investigated by the Justice Department under President Biden, creating an ethical, legal and political minefield for Republicans and the department’s leadership.

The unusual plan, which Democrats and former government officials criticized as a vast political slush fund financed by taxpayers, has yet to be finalized or approved, according to three people familiar with the situation who spoke on the condition of anonymity to discuss internal deliberations.

The proposal comes in response to various claims President Trump has made against a federal government he himself controls. He has sought compensation for the leak of his tax returns during his first term, as well as the investigations into his handling of classified documents after he left office and into his 2016 campaign’s potential ties to Russia.

The idea of establishing a government fund to pay Mr. Trump’s political allies has gained traction internally as the Justice Department and White House try to resolve a $10 billion lawsuit Mr. Trump filed in January against the Internal Revenue Service. The judge overseeing that case is considering throwing out Mr. Trump’s suit because it is ridden with perceived conflicts of interest and the potential for self-dealing. [Continue reading…]