President Donald Trump has threatened to revive a controversial $1.8 billion "anti-weaponization" fund if two Republican senators continue withholding support for Todd Blanche's nomination as attorney general.
The dispute has intensified ahead of a Senate Judiciary Committee meeting scheduled for Tuesday, where Blanche's nomination could face a vote.
Trump said he would keep Blanche as acting attorney general and pursue the compensation proposal if the nomination remains blocked.
The president also claimed Senators John Cornyn of Texas and Thom Tillis of North Carolina were withholding support because he had declined to endorse them politically.
Blanche has served as acting attorney general since April but requires unanimous Republican backing on the Senate Judiciary Committee for his nomination to advance.
Cornyn and Tillis have sought written confirmation that the Justice Department will not revive the proposed fund after Blanche previously said it was no longer being pursued.
The administration has not provided such a written commitment.
Committee Chairman Chuck Grassley said he wants Blanche confirmed before the August recess, describing him as qualified for the position.
Trump, however, warned that if the nomination fails to move forward, he will abandon the confirmation effort and instead push legislation to establish the compensation fund.
The proposed fund emerged as part of a legal settlement tied to Trump's lawsuit over the disclosure of his tax returns.
Supporters have argued it would compensate individuals they believe were unfairly targeted by the government, while critics contend it could benefit Trump's political allies, including people prosecuted over the January 6, 2021, Capitol riot.
The proposal was later abandoned following criticism and legal challenges, with a federal judge blocking the plan and raising ethical concerns.
Despite previously describing the fund as "dead," Trump later said he still wanted compensation for people he believes were wrongly treated by the justice system.
Tillis responded by accusing the president of attempting to revive what he described as a "payout pot for punks," while expressing hope that the dispute could be resolved before Tuesday's committee meeting.