Stop Settlement Slush Fund Going to Third Party Activists

January 23, 2024 | Blog, Tax

Our government must be of the people, by the people and for the people.  And yet, the Biden Administration is creating it just for them.

Every year, the Justice Department obtains billions of dollars through lawsuit settlements.  These are the funds that our government was able to win using the tax dollars of the American people.

But instead of giving this settlement money back to the American people, the Biden Administration resurrected the Obama-era rule, which would allow federal bureaucrats to funnel that money straight to the pockets of organizations pushing liberal agendas.  The most unconscionable part is that they are allowed to force defendants to make “donations” to activist groups that have nothing to do with the lawsuits.

This is a swampy policy that has no place in our government.

That is why the House stepped up to call out this policy earlier this month by passing the Stop Settlement Slush Funds Act, which would prohibit the federal government from entering into or enforcing a settlement agreement on behalf of the United States that provides for a payment to any person or entity other than our government.

House Republicans will continue to fight to make sure the money that belongs to us does not end up in the pockets of President Biden’s allies.

 

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