A federal judge in Florida has ordered lawyers representing US President Donald Trump and his family to respond to what she described as “grievous allegations” that an unusual settlement agreement ending their lawsuit against the Internal Revenue Service (IRS) may have constituted fraud.
In an order issued on Friday, US District Judge Kathleen M. Williams directed the parties to explain why the controversial deal was an appropriate resolution of the case. The move marks an unusual use of judicial authority to investigate possible misconduct involving the court.
The development could result in the reopening of a lawsuit that was dismissed earlier this month and could also challenge the legal foundation used by acting Attorney General Todd Blanche to establish a nearly $1.8 billion compensation fund for individuals who claim they were unfairly investigated or prosecuted.
Judge Williams’ order followed a filing by a group of retired federal judges who asked the court to reopen the Trump family’s lawsuit against the IRS over the disclosure of leaked tax records.
The retired judges argued that the parties had misled the court by failing to disclose key terms of the settlement agreement and urged Judge Williams, who oversaw the case, to revisit the dismissal.
In her order, Williams instructed lawyers for Trump and his family to address the allegations and justify the settlement arrangement, raising fresh scrutiny over a deal that now underpins a major compensation fund established by the US Justice Department.
Faridah Abdulkadiri
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