Key Republicans say they'll support Blanche for AG after he rescinds 'Anti-Weaponization Fund'

Under pressure from two Republican senators blocking his confirmation as the next attorney general, Todd Blanche said he is formally rescinding his establishment of President Donald Trump's so-called "Anti-Weaponization Fund."

Blanche posted two separate orders on X Sunday night, one rescinding the nearly $1.8 billion fund, as well as another clarifying language regarding the scope of an arrangement that had shielded Trump from facing further IRS audits of his past tax returns.

The move prompted Republican Sens. John Cornyn and Thom Tillis, who had been holding up Blanche's nomination, to announce Monday that they are ready to move forward.

The Senate Judiciary Committee is scheduled to vote on Blanche's nomination on Tuesday at 9 a.m. Blanche will likely need the support of every Republican on the committee to advance to the floor. He is expected to be voted out of committee, setting up a final confirmation vote later this week.

"We are pleased that the Department of Justice has issued a formal order terminating the anti-weaponization fund," Cornyn and Tillis said in a joint statement. "Additionally, the Department has acknowledged in a binding written order that the audit settlement is limited to the plaintiffs and the scope does not extend beyond the defendants in the lawsuit, the IRS and the Treasury, addressing concerns that multiple of our Republican colleagues share."

"We want to express our gratitude to Mr. Blanche and his staff for working with us on this, and we look forward to voting to advance his nomination out of the Senate Judiciary Committee soon," they said.

Trump on Monday told reporters he did not sign off on Blanche's decision to rescind the order that created the controversial fund.

"I didn't look at it. All I know is that Todd Blanche is great. He's going to do a great job," Trump said as he took questions in the Oval Office during an unrelated executive order signing.

Trump, though, continued to call for his political supporters to get payouts from the Department of Justice.

"These people were treated horribly, and this fund could have given them some solace," the president said. "But, you know, it happens to be very popular among many quarters. And I don't participate in that fund. I was certainly treated badly. I don't participate, but I thought it would be very fair for people that spent years in prison, people that were treated so badly for, in many cases, people that did absolutely nothing wrong."

But when asked whether there are other avenues that the president wants to see people get payouts from the government, Trump responded: "No, there's no other avenues that I know about."

As part of Trump's settlement with the IRS in his $10 billion lawsuit against the agency, the DOJ issued an addendum, signed by Blanche in his role as acting attorney general, that would bar the government from continuing any existing audits of tax returns filed by Trump, his family and their companies.

Cornyn said last week that he did need the DOJ to modify the language of the settlement, but that he wants written documentation that the settlement won't provide tax audit immunity that extends to affiliated organizations for Trump and his family that weren't part of the lawsuit.

Cornyn and Tillis had been working behind closed doors and in private talks with Blanche and his team to craft statements they'd find acceptable to alter the language of the controversial settlement.

"Sen. Cornyn has reached an agreement with the Department of Justice, which will be issuing a formal order permanently terminating the anti-weaponization fund and making clear in a binding written document that the scope of the audit settlement is limited to only the plaintiffs, including the President, and the IRS," Cornyn spokesperson Natalie Yezbick said in a statement late on Sunday.

Some legal experts and even MAGA supporters of the fund, however, have already begun questioning whether it precludes DOJ from giving mass payouts to pro-Trump rioters or the clarification that Cornyn had initially sought to the IRS immunity clause.

The order dealing with IRS immunity notably states that DOJ would interpret the order to mean that it only applies to plaintiffs in Trump and his son's initial $10 billion lawsuit against the IRS -- but that interpretation doesn't appear to be similarly binding on Trump's personal lawyers or his family.

And some previous vocal supporters of the so-called "Anti-Weaponization Fund" are already cheering on the language of the order rescinding it -- noting that there's nothing specifically barring DOJ from payouts to pro-Trump supporters who may have attacked police during the Jan. 6, 2021 attack on the Capitol.

Blanche's orders on Sunday come after Trump floated the possibility of temporarily withdrawing Blanche's nomination to permanently lead the Department of Justice because of the resistance from the two outgoing Republican senators.

Both senators' terms will end in January. Cornyn lost a primary battle in Texas earlier this year after Trump endorsed his opponent, Ken Paxton. Tillis announced last year he would not seek reelection after Trump threatened to field primary challengers.

ABC's Michelle Stoddart contributed to this report.