"Never in American history have we seen corruption remotely like what is going on with Donald Trump and his cronies in and outside of government"

Leading off the list will be Trump’s personal lawsuit to brazenly pick $10 billion out of Americans’ pockets. It is a new low. 

And his machinations in recent days when it looked like a federal judge might stop him only highlight how depraved this whole scheme is. For this week’s publishers note we thought we would offer a deep dive on our new top scandal—with the full list to follow tomorrow.

This sordid story begins in January, when Trump, with his sons and the Trump Organization, sued the IRS and the Treasury Department. The plaintiffs argued that the agencies failed to take appropriate measures to protect Trump’s tax information, which leaked.

The lawsuit is riddled with flaws. For starters, it targets the wrong entity. No one in the IRS leaked his taxes; an outside contractor from Booz Allen Hamilton disclosed the information. For that and many other reasons, the lawsuit is entirely defensible by DOJ – indeed, a comparable one was settled for no payment at all.

Most outrageous of all is the amount originally sought: $10 billion. That is more than the entire annual appropriation for the IRS, an agency of 75,000 employees.

And it is an agency Trump ultimately oversees, as is the other defendant, the Treasury Department. Although Trump claims to be acting in his personal capacity as the plaintiff in this lawsuit, he is the chief executive of the federal government. He is in effect both the plaintiff and the defendant in this case! It is like a bank robbery committed by the CEO and board of directors of the bank.

In the annals of American law, it is hard to find an example of a president effectively suing himself. It’s not just wrong; it also raises profound constitutional issues. 

The President is prohibited by the Domestic Emoluments Clause of the Constitution from receiving any “profit, gain, or advantage“ from the United States other than his salary. This frivolous cash grab—whether paid to Trump directly or diverted at his direction to a fund that benefits his loyalists—is the exact type of corrupt self-dealing that the founders and framers were concerned with when they signed the Constitution.

And then there is Article III’s Case or Controversy requirement for a federal lawsuit. It provides that a legal action is only valid if the parties are actually adverse to one another. A case that is in effect Donald Trump v. Donald Trump hardly seems to fit.

Judge Kathleen Williams of the Southern District of Florida was rightly skeptical. She asked Trump’s personal lawyers and the government attorneys to submit briefs by May 20 explaining how the parties are genuinely adverse. She also asked six well-regarded lawyers to serve as amici, friends of the court, providing their view of the legitimacy of this lawsuit.

Needless to say, Trump is not keen on this kind of scrutiny and potential rejection of his legal complaint. Giving additional fuel to fears of collusion, on Tuesday, reports emerged that Justice is in settlement negotiations regarding this $10 billion lawsuit. Typically, when a plaintiff settles a case out of court, he is free to drop the case, and that is the end of the matter. If that kind of side deal were allowed to happen here, the settlement would escape judicial scrutiny.

Those concerns about a plot to dodge the court were only heightened by subsequent reports that emerged throughout the week. They suggest that Trump may now drop this and other lawsuits, including one seeking damages from DOJ relating to the seizure of classified documents he wrongly retained at his Florida home. In exchange, DOJ is said to be establishing a $1.7 billion fund to compensate those whom Trump claims were unfairly targeted by the Biden administration’s “weaponization” of the DOJ, including those who stormed the Capitol on Jan. 6, 2021.

Jan. 6 insurrectionists who assaulted police officers should not be able to seek a financial reward for their actions. Nor should the rest of the rogues gallery of wrongdoers and Trump allies who are included in his bogus “weaponization” claims. Though Trump is said not to be able to directly apply for payment, it appears that people or entities linked to him will not be precluded.

Judge Williams should not fall for it. She has the power to investigate all this, and she should do so. This is a historically unprecedented effort to undermine her jurisdiction and purloin vast sums through self-dealing.

The whole affair is even more sordid because Trump’s former defense lawyers are running the show at DOJ. That starts with acting Attorney General Todd Blanche, whose bumbling performance when Trump was convicted of 34 felonies in connection with 2016 campaign wrongdoing did not seem to harm the lawyer’s career prospects. How can a DOJ headed by the likes of Blanche be expected to fairly resolve the president’s claims? It cannot, of course.

If you are thinking this whole depraved situation could not possibly get any worse, think again. 

Thursday brought revelations that former DOJ ethics counsel Joseph Tirrell counseled Blanche that under the ethics laws he should not be involved in anything involving the personal issues of his former client. As a former White House ethics czar, I certainly agree. Though the American people are not privy to who is doing the negotiations over this latest Trump settlement, Blanche should immediately disclose whether he has had any involvement in anything personally relating to Trump.

As you Contrarians are well-aware, corruption has been a hallmark of Trump’s second term, but this cascade of scandal after scandal is in a category of its own. It all amounts to the most extreme example of self-dealing we’ve seen yet. As Trump makes the lives of everyday Americans more expensive by continuing the war in Iran and with higher tariffs, he is trying to shake down the American taxpayer for vast sums. No wonder consumer sentiment is hitting an all-time low.

With the support of your paid subscriptions, we have been sounding the alarm on this pattern of brazen corruption for months—and fighting it. In fact, we filed a complaint in November, requesting that the DOJ inspector general investigate the department’s potential $230 million settlement with Trump after he reportedly filed the claims related to the documents. As we described in our complaint, even Trump admitted, “It’s interesting, because I’m the one that makes a decision, right?... [I]t’s awfully strange to make a decision where I’m paying myself.”

-The Contrarian

(White House photo)