Trump drops lawsuit after billion-dollar fund deal

TT

Updated 19.05 | Published 15.34

 

US President Donald Trump at the White House on Friday. Photo: Jacquelyn Martin/AP/TT

US President Donald Trump is dropping his lawsuit against the IRS and the Treasury Department, US media reports.

The announcement comes after a settlement in which the Justice Department establishes a fund of nearly 1.8 billion dollars. The money will go to allies of Trump who believe they have been subjected to improper investigations and prosecutions under Joe Biden's rule.

The arrangement is receiving sharp criticism from Democrats who describe it as a way to use tax money to enrich people close to Trump.

Trump's lawsuit against the IRS and the Treasury Department - for ten billion dollars, equivalent to just over 88 billion Swedish kronor - was aimed at the release of the president's tax returns to news media.

Also named as plaintiffs in the lawsuit were Trump's sons, Donald Trump Jr. and Eric Trump, as well as the family company, the Trump Organization.